A company official told Reuters that the company was planning to increase annual output by about 50% over the next seven years and planned to attract foreign investors.

Currently foreign investment in the country's coal mines is non-existent. The Reuters report pointed out that foreign investors have been reluctant to pump capital into the country's mines because coal produced must be sold to Vinacomin under a regulated pricing mechanism, making it unprofitable.

Technology currently held by Vinacomin only allows it to mine to a relatively shallow depth of 100m.

Vietnam has cut exports for 2008 with output being increasingly diverted to stronger domestic demand, ANZ analysts said this week.

According to Barlow Jonker statistics, Vietnam exported 32.5Mt of coal in 2007, up from 30Mt the previous year.