Vinacomin targets total revenue of VND113.8 trillion, profit of VND2 trillion and contribution of VND13.6 trillion to the State budget in 2018. (Photo: VNA)

Dung was speaking at a conference held in Hanoi on January 16th to sum up Vinacomin’s operations in 2017 and launch tasks for 2018.

“The group should continue to develop drastic solutions to ensure labour safety. It is also required to ensure environmental protection and consider it as a top requirement in production,” he said.

Dung hailed Vinacomin’s contributions to the country’s development in 2017.

He asked the group to strengthen discipline in exploitation and preventing trade fraud.

He also highlighted the group’s shortcomings in exploiting unsuitable coals, which resulted in large inventory without meeting customers’ requirements.

The application of science and technology in the exploitation and processing of the group’s main products has been undertaken slowly. Some investment projects have been delayed or ineffective, causing losses in State capital.

The Deputy PM said this year would determine the country’s success in completing the five-year socio-economic development plan in the 2016-2020 period, creating heavy pressure for the coal and minerals sector.

Vinacomin was also asked to enhance the mobilisation of social resources to attract investment into projects to upgrade current mines to increase coal output for the economy.

Vinacomin should focus on restructuring its investments to create highly competitive products. This would help the group improve productivity, quality and effectiveness. It should also enhance its relationship with localities and partners both inside and outside the country.

Vinacomin’s total revenue in 2017 reached VND109.2 trillion (USD4.8 billion), posting a 7.3 percent year-on-year increase. Its profit was estimated at VND2.5 trillion, up VND1.5 trillion from 2016. It contributed VND13.4 trillion to the State budget.

Dang Thanh Hai, Vinacomin’s General Director, said the profit was partly contributed by its two aluminum plants producing 1.14 million tonnes. Revenue from the two plants was VND8.6 trillion. Nhan Co Aluminum Plant alone posted an output of 501,000 tonnes or 80 percent of its designed capital.

In 2017, Vinacomin’s coal consumption was estimated at 35.5 million tonnes. Of this, the local coal consumption was 34 million tonnes and the remaining was exported.

Hai said by the end of last year, the group had 104,500 laborers, 6,000 people fewer than the previous year.

Its labor productivity rose by 8.6 percent from 2016 with the average salary of VND9.4 million per month.

The group’s electricity output last year reached 9.38 billion kWh, increasing 10 percent from the previous year.

“Vinacomin will invest VND12.8 trillion in parent companies and its subsidiaries in 2018,” he said.

He added that the group also aimed to produce and consume 36 million tonnes of coal this year including 34.1 million tonnes for local consumption and 1.9 million tonnes of exports.

It targeted total revenue of VND113.8 trillion, profit of VND2 trillion and contributions of VND13.6 trillion to the State budget in 2018.

The aluminum output was scheduled at 1.23 million tonnes.

The group planned to reduce its payroll by some 4,500 people to bring its total staff to 100,000./.