Rare earths are a collection of chemical elements including cerium (Ce), Neodymium (Nd), and Dysprosium (Dy) used in making cars, electronic devices, motors and IT products. They are indispensable to these industries.
The manufacture of household electronics is growing rapidly, so the demand for rare-earth minerals will also increase. This is why demand is rising in Japan.
Why has Japan chosen Viet Nam as a partner in rare-earth mining?
Japan once depended on China for this source of minerals. For the time being, we have sufficient for domestic demands, but when we look at the future, we decided to diversify the suppliers.
Besides Viet Nam, we will survey and explore the potential in Australia. There are two reasons Japan decided to chose Viet Nam as partner. Viet Nam has enough mining prospects to satisfy Japan"s huge future demand. Japan and Viet Nam have successful bilateral relations – and we trust Viet Nam"s economy. This project will show how good our bilateral relations are.
Toyota Tsusho and Sojitz companies have been to Viet Nam to learn about the rare-earth prospects. How about the others?
Toyota Tsusho and Sojitz have been very active in conducting development surveys in Viet Nam. The Japanese Government"s Japan Oil, Gas and Metals National Corporation has also been involved in the survey process.
As a consequence, they have found abundant mining areas near the Dong Pao deposit in northern Lai Chau Province. After the first development of these areas, the supply to Japan will represent 20 per cent of Japan"s total imports.
So Dong Pao will become an important supplier. At a last summit meeting between Viet Nam"s Prime Minister, Nguyen Tan Dung, and the Japanese PM, Naoto Kan, it was agreed to mine and purify the earth.
When will work begin?
It depends when the Vietnamese Government gives the go-ahead. I have met with Sojitz representatives who want the project to start soon.
Preparation is going well and we are waiting for final signals from the Vietnamese Government. Specifically, the Ministry of Commerce and the Ministry of Natural Resources and Environment are in charge of Viet Nam"s side.
What are the benefits from the process?
Of course, the mining will benefit both sides. From a Japanese view point, we expect a secure supply from Viet Nam. That will certainly benefit Japan and the Japanese people. It is a very good message from Viet Nam to the Japanese people.
From a Vietnamese viewpoint, technology transfer relating to mining development will benefit the nation as well. Total investment has not been well calculated as yet. We need to conduct more surveys.
How will the environment around the mining areas be protected?
In general, Japanese companies are sensitive to protecting the environment. If anything damages the environment, there will be official criticism not only from Viet Nam but also from Japan. Also, Japanese companies have to prepare for possible criticism. They are sensitive to this in a foreign country.
That"s why we always pay attention to the environment with Japanese high technologies in mining. — VNS
http://vietnamnews.vnagency.com.vn/