Vietnam Mining, Oil and Gas Law: 15 Questions Answered
Mining and petroleum in Vietnam carry their own licensing, contract and tax regimes on top of ordinary company law, and both changed in 2025 and 2026: geology and minerals moved to the Ministry of Industry and Trade in September 2026, and a new Petroleum Law takes effect on 1 March 2027. These answers cover mineral licences and auctions, rare earths, fees and taxes, and how oil and gas contracts with Petrovietnam work.
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What laws govern minerals, mining, oil and gas in Vietnam?
Minerals are governed by Law No. 54/2024/QH15 on Geology and Minerals, in force since 1 July 2025 and amended by Law No. 147/2025/QH15 from 1 January 2026, with detailed rules in Decree No. 193/2025/ND-CP as amended by Decree No. 21/2026/ND-CP. Since 15 September 2026, Decree No. 351/2026/ND-CP has moved state management of geology and minerals from the Ministry of Agriculture and Environment to the Ministry of Industry and Trade (MOIT), with provinces licensing smaller deposits. Oil and gas are governed by Law No. 12/2022/QH15 on Petroleum and Decree No. 45/2023/ND-CP, also administered by MOIT. A new Petroleum Law, Law No. 10/2026/QH16, was passed on 23 August 2026 and replaces the 2022 law from 1 March 2027.
Who owns minerals and petroleum, and what if the deposit is under someone's land?
The State. Article 53 of the Constitution makes mineral and other natural resources public property owned by the entire people, with the State as owner's representative, so a land use right, whether held by a Vietnamese or a foreign-invested owner, carries no right to minerals or petroleum beneath it. Minerals need a licence and petroleum a contract with Petrovietnam. For a licensed mining project the State can recover the land under the Land Law 2024 and lease it to the licence holder, with land users compensated, supported and resettled under land law; the company may instead negotiate a transfer of land use rights. Miners must also help affected households with job training and give priority to local labour.
How are minerals classified, and who grants mineral licences?
Article 6 of the Law on Geology and Minerals sorts minerals into four groups: Group I (metallic and energy minerals, precious and semi-precious stones, industrial minerals), Group II (minerals for cement, tiles, sanitary ware, glass, facing stone, industrial lime and refractories), Group III (common construction materials, peat, mineral mud, natural mineral and hot water) and Group IV (fill materials such as clay, earth and sand). Since 1 January 2026 the ministry licenses Group I and offshore areas outside provincial sea boundaries (a role that passed from the Ministry of Agriculture and Environment to MOIT on 15 September 2026), while provincial People's Committee chairpersons license Groups II, III and IV, Group I in designated small and dispersed areas, and salvage mining. Rare earth licences also need the Prime Minister's approval.
How long do exploration and mining licences last, and can they be extended?
Under Article 44 of the Law on Geology and Minerals, an exploration licence runs for up to 48 months and may be extended no more than twice, for a combined 24 months at most. Under Article 56, a mining licence covers the approved project period, including mine construction, up to 30 years, and may be extended several times for a combined total of up to 20 years; if reserves remain, the holder can seek a re-issued licence. Since Law No. 147/2025/QH15, extensions and renewals are no longer limited by the period of the mineral plan. An explorer with recognised results has priority to apply for a mining licence within 36 months (Groups I and II) or 18 months (Group III).
Are mining rights auctioned, and what are the exceptions?
Yes, as a rule. Article 100 of the Law on Geology and Minerals requires mining rights in mineral planning areas, salvage areas and most Group IV areas to be auctioned by the ministry (MOIT since 15 September 2026) or the provincial chairperson, depending on who licenses, and an auction proceeds only with at least two eligible bidders. Law No. 147/2025/QH15 widened the non-auction areas to cover energy security, defence and strategic minerals; materials for national, public investment and PPP priority projects; limestone and clay for cement and feedstock for operating processing plants; areas with recognised exploration results; and renewals or extensions of existing licences. Winners must then file for an exploration or mining licence within fixed deadlines or risk losing the award.
Can a foreign-invested company hold a mineral licence in Vietnam?
Yes. Article 53 of the Law on Geology and Minerals allows a mining licence for any enterprise established under the Law on Enterprises, so a foreign-invested company incorporated in Vietnam qualifies on the same footing as a domestic one, though it will first need its investment registration certificate, which a domestic investor generally does not. For exploration, Article 37 also admits a foreign enterprise with a branch or representative office in Vietnam. Decree No. 193/2025/ND-CP requires proof of financial capacity: equity or a bank guarantee covering the whole exploration budget, and for mining equity of at least 30% of total investment or committed financing. Rare earths are reserved for enterprises the State designates or permits.
Miners pay a fee for granting mining rights, calculated on licensed reserves using the formula T = Q x G x R in Decree No. 193/2025/ND-CP, where R is the rate set by the decree or the winning auction bid; it is paid annually and settled against actual output. Natural resources tax applies under Law No. 45/2009/QH12, at rates set by Resolution No. 1084/2015/UBTVQH13 (for example 18% for rare earths), plus an environmental protection fee under Decree No. 27/2023/ND-CP at provincial rates within a national frame. Corporate income tax is 50% for precious and rare minerals such as gold, silver, tin, tungsten, antimony, gemstones and rare earths, or 40% where most of the area is in especially disadvantaged areas.
Can I export unprocessed minerals, and what are the rules on rare earths?
Export is tightly controlled. Under Decree No. 193/2025/ND-CP, MOIT sets the list and technical standards for Group I and industrial minerals that may be exported, the Ministry of Construction does so for construction minerals, and the Prime Minister decides which strategic minerals may be exported and after what processing. Many ores also bear export duty under Decree No. 26/2023/ND-CP, most recently amended by Decree No. 201/2026/ND-CP. Since 1 January 2026 rare earths are a special strategic mineral: raw rare earth ore may not be exported, only deep-processed products on the Prime Minister's list, and Decree No. 21/2026/ND-CP requires mining to be linked to processing to a product of at least 90% total rare earth oxides.
What environmental approvals, deposits and closure duties apply to a mine?
A mining licence application must include an approved environmental impact assessment report, or an environmental licence where that route applies, under Law No. 72/2020/QH14 on Environmental Protection. The miner must also lodge an environmental rehabilitation deposit with an environmental protection fund, as a lump sum or in annual instalments, based on its approved rehabilitation plan under Article 137 of that law and Decree No. 08/2022/ND-CP; it is refunded once rehabilitation is verified. Articles 81 to 85 of the Law on Geology and Minerals require a mine closure scheme when reserves are exhausted or the licence ends, restoring land, water and vegetation and leaving the site stable and safe. The miner bears all these costs.
Who regulates oil and gas, and what is Petrovietnam's role?
MOIT is the regulator: it appraises petroleum contracts, issues the contractor's investment registration certificate and approves development and decommissioning plans, while the Prime Minister approves contracts, the list of incentivised blocks and transfers of interests under the 2022 Petroleum Law. Petrovietnam, renamed the Vietnam National Industry - Energy Group by Decision No. 733/QD-TTg of 9 April 2025 but still known as PVN, signs and manages every contract for the State, approves work programmes and budgets, audits costs, may take a participating interest after a commercial discovery and has a pre-emption right on transfers. Resolution No. 66.6/2025/NQ-CP delegates some MOIT approvals to PVN until 28 February 2027, and the 2026 Petroleum Law decentralises further.
What types of petroleum contract are used, and how are contractors selected?
The standard vehicle is the production sharing contract, for which the Government issues a model; the law also allows other contract types whose main terms the Prime Minister decides. For open blocks, contractors are chosen by open bidding, limited bidding, competitive offer or direct appointment, and bidders need financial and technical capacity and petroleum experience or must join a consortium. Vietnamese and foreign companies can both bid, and a foreign operator must establish an operating office in Vietnam with its own seal and bank accounts. After PVN negotiates, MOIT appraises and the Prime Minister approves the contract, which replaces investment policy approval; MOIT then issues the IRC. Disputes go to the arbitration or court named in the contract.
How long does a petroleum contract last, and can it be extended?
Under Article 31 of the 2022 Petroleum Law, a contract may run for up to 30 years with an exploration period of up to 5 years; for blocks on the Prime Minister's list of incentivised and specially incentivised blocks the limits are 35 and 10 years. With MOIT approval the contract and the exploration period may each be extended by up to 5 years, and the Prime Minister may allow more in special cases such as defence or complex geology. A gas discovery with no market or pipeline may be retained for up to 5 years, plus up to 2 more. At least two years before expiry, the contractor may propose new investment and a new contract.
What taxes and government take apply to oil and gas production?
The State's take comes through the production split in the contract plus taxes. Cost recovery is capped at 50% of annual production for ordinary blocks, 70% for incentivised blocks and 80% for specially incentivised ones. Corporate income tax on petroleum activities ranges from 25% to 50% per contract under Law No. 67/2025/QH15, with the Prime Minister fixing the rate, while incentivised blocks pay 32% and 10% crude export duty, and specially incentivised blocks 25% and 5%. Natural resources tax rises with daily output under Resolution No. 1084/2015/UBTVQH13, starting at 10% for crude up to 20,000 barrels a day. An environmental protection fee of VND 100,000 per tonne of crude and VND 50 per cubic metre of gas also applies.
What decommissioning and local-content duties does a petroleum contractor have?
Within one year of first commercial production the contractor must submit a decommissioning plan through PVN for MOIT approval and set up a decommissioning fund, paid annually to PVN in line with each party's participating interest and treated as a recoverable cost; any shortfall must be topped up and any surplus is returned. The plan is updated at least a year before the contract or field ends. On local content, the contract must include commitments on training, a research fund and priority for Vietnamese labour and services; contractors must train and employ Vietnamese staff, transfer technology and choose suppliers competitively, reporting to PVN, and must sell gas and crude domestically when the Government so requires.
Where can I check licence or block availability and get advice?
For minerals, start with the mineral plans, auction plans and data of the Vietnam Department of Geology and Minerals, which moved to the Ministry of Industry and Trade in September 2026, for Group I, and of the provincial authorities for Groups II to IV; the licensing authority can confirm whether an area is licensed, up for auction, prohibited or in a national reserve. For oil and gas, open blocks, bidding rounds and the Prime Minister's list of incentivised blocks come through MOIT and Petrovietnam. Given the 2026 reforms, instruct a Vietnamese lawyer with natural-resources experience; the app's guide How to find and check a lawyer in Vietnam explains how to verify one.
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This page gives legal and tax information, not legal advice. Rates, thresholds and procedures change; the answers are re-checked against official sources every month, but you should confirm anything important with the relevant authority or a licensed Vietnamese lawyer before you act.