Odisha Mining Corporation (OMC) had recently conducted an e-auction for 389,000 MT iron ore (266,000 MT lumps & 123,000 MT fines) on 30 Nov’15. The company has received moderate response in the e-auction as almost 50% of the material offered is sold. This time the company had reduced base prices upto 31%.
The material has been offered from Barbil, Koira and Daitari mines. Out of the total iron ore offered, 196,000 MT iron ore was sold which involves 46,000 MT fines and 150,000 MT lumps.
Koira mines, from which the majority of material had sold i.e. 83,000 MT lumps and 38,000 MT fines. Out of total quantity sold for lumps i.e. 83,000 MT, Prakash Industries purchased 56,000 MT, Ganesh Metalics Ltd, Samleswari Ferro Limited, Bhaskar Steel limited purchased 5,000 MT individually followed by rest of the material procured by few Odisha based sponge manufacturer as well as ferro alloy manufacturers.
On the other hand, out of the total lump offered from Daitari Mines i.e. 150,000 MT, only 51,000 MT lumps was sold. Among which,35,000 MT was sold to VISA Steel, 12,000 MT to Aarti Steel, and rest 4,000 MT was sold to Odisha based sponge manufacturer.
For the latest e-auction conducted on 30 Nov’15, the company had cut base prices upto 31% for Barbil lumps and 24% for Barbil fines against last e-auctions. Reduction of 8% in base price of lump and 13% for fines offered by Koira mines and upto 18% in base prices of lumps offered by Daitari mines.
Result of OMC iron ore e-auction held on 30 Nov’15
| Mines | Size (mm) | Fe (%) | Base Price | Quantity offered | Quantity Sold |
| Barpada Kasia (Barbil) | 10-40 | 62 | 1,600 | 16,000 | 16,000 |
| -10 | 62-60 | 1,000 | 13,000 | 8,000 | |
| Kurmitar (Koira) | 10-40 | 62 | 1,850 | 150,000 | 83,000 |
| -10 | 62-60 | 1,000 | 50,000 | 38,000 | |
| Daitari | 10-40 | 62 | 1,800 | 100,000 | 51,000 |
| -10 | 64-62 | 1,400 | 60,000 | – | |
| Total |
196,000 |
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Quantity in MT
Base & bid prices in INR/MT on ex-mines basis; inclusive of royalty
Source: SteelMint Research
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