Vinachem: Speeding up Potash Salt Mine Project in Laos

Vietnam National Chemical Group (Vinachem) is determined to accelerate the progress of its potash salt mine project in Laos - an initiative that holds significant importance not only for the Group’s sustainable development but also as a symbol of strategic Vietnam-Laos investment cooperation.

On July 9, 2025, in Vientiane (Laos), in the framework of a dialogue between the governments of Vietnam and Laos and leading Vietnamese businesses, Mr. Dao Trong Cuong, Deputy General Director of Vinachem, delivered a speech underscoring the importance of the potash salt mining and processing project in Laos and reaffirming the group’s commitment to expediting its implementation.

Efforts to restart the project and initial results

Cuong said, Vietnam imports nearly 1 million tons of potassium each year, with around 350,000 tons coming from Laos (Vinachem alone imports about 190,000 tons annually). He emphasized: “The potash salt mine project in Laos is of critical importance for Vinachem’s sustainable development and carries special significance for the friendly and cooperative relations between the two countries.” The project not only aims to ensure fertilizer supply for Vietnam’s agriculture but is also regarded as a symbol of Vietnam-Laos strategic investment cooperation.

After a period of delay, the potash salt mining and processing project in Khammouane province (Laos) has been officially allowed to resume by the two governments. Immediately following this decision, Vinachem organized multiple working delegations to Laos to report directly and work with relevant ministries and Khammouane authorities, propose solutions and support to resolve various obstacles. Notably, on May 27, 2025, during a meeting with Lao Deputy Prime Minister Saleumxay Kommasith, Vinachem held discussions on the project’s progress and received strong encouragement and a firm commitment of support from the Lao Government. The Deputy Prime Minister highly appreciated Vinachem’s determination and instructed competent bodies like the Laos-Vietnam Cooperation Committee, the Ministry of Planning and Investment, the Ministry of Energy and Mines, the Ministry of Natural Resources and Environment, and Ministry of Labor and Social Welfare to promptly address Vinachem’s proposals within their jurisdiction.

With its high determination, Vinachem has actively carried out a series of tasks in the project’s pre-investment phase and already achieved initial positive outcomes. All activities are executed in line with the directives of both governments and according to the internal timeline. These include completing legal procedures, preparing resources, exchanging expertise and conducting important technical and financial consultations to stay ready for the next phase of project implementation.

Recommendations to the Lao Government to advocate the project

Vinachem believes that timely and effective support from the Lao Government is essential to ensuring the project's schedule and comprehensive success. During the dialogue, Mr. Dao Trong Cuong proposed that the Lao Deputy Prime Minister continue to direct relevant ministries and local authorities to closely coordinate and create favorable mechanisms and policies to accelerate project implementation. Vinachem’s recommendations focused on resolving procedural bottlenecks, resource allocation, and site preparation to ensure all necessary conditions for the construction and eventual operation of the project.

Mr. Dao Trong Cuong affirmed that Vinachem is committed to mobilizing all available resources and working closely with all relevant parties to execute the project with the highest resolve, aiming to commence commercial operations of the potash salt mine factory in Laos by mid-2027.

Given its extraordinary significance in both economic and diplomatic terms, the potash salt mine project in Laos is expected to become a flagship example of investment cooperation between the two countries. Vinachem’s pioneering role and consistent efforts reflect the responsibility of a Vietnamese state-owned enterprise in fostering investment collaboration in Laos, thereby further strengthening the economic and political ties between Vietnam and Laos.

By Thao Hien, Vietnam Business Forum