MSTC Ltd., on behalf of Indian Oil Corporation Ltd. (IOCL), has successfully conducted yet another e-auction this week, on 3 Jul’18, for selling pet coke from IOCL’s 11th oil refinery at Paradip in Odisha.
The entire 90,000 MT of pet coke was sold out to six cement companies at an average price of INR 7,800 (approx.), which was well above the reserve price of around INR 7,470.
Reportedly, the highest bid received therein was of INR 7,820/MT, which was higher by INR 350/MT over the reserve price. Moreover, the highest bid received in this auction was higher by INR 230/MT compared to the last auction held on 31 May’18.
This undeniably signifies aggressive buying by major cement companies amidst tight availability of imported pet coke in the market and further firming of the prices.
In this context, it could well be expected that those industrial units that have been, until now, relying solely on pet coke as a fuel would scavenge from all domestic sources in order to stock the ‘dirty’ fuel before the Indian government imposes the nationwide restriction on imports of petroleum coke.
Meanwhile, on the pricing front, import offers for pet coke stay at highs, despite marginal price drops in the past week.
The latest offers for pet coke (6.5% sulphur) from USA are assessed at around USD 111/MT CNF India, while offers for pet coke (9% sulphur) from Saudi Arabia are assessed at around USD 107/MT CNF India.
Source: CoalMint Research
In India, Reliance Industries Ltd. (RIL) and Mangalore Refinery & Petrochemicals Ltd (MRPL) have hiked their pet coke prices to INR 9,600/MT and INR 8,540/MT respectively.
N.B.:
i. The above prices are effective 1 Jul’18.
ii. These prices are exclusive of GST @18%.
iii. The MRPL price is for pet coke transported by rake/barge.
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