Bhushan Steel – a major integrated steel maker with a capacity of 5.6 MnT has recorded iron ore & pellet sourcing at 0.44 MnT in June’19. The sourcing fell 11% as against 0.50 MnT in May’19.
Tata Steel BSL, formerly Bhushan Steel underwent Bankruptcy proceedings. In May’18, NCLT (National Company Law Tribunal) finally gave its approval to Tata Steel’s resolution plan of acquiring debt-ridden Bhushan Steel under the Insolvency and Bankruptcy Code (IBC).
Bhushan steel total iron ore sourcing for the month stood at 0.44 MnT, down 9% against 0.48 MnT in May’19.
Indrani Patnaik stood the largest supplier of iron ore at 0.12 MnT in June’19, up 82% as against 0.07 MnT in May’19.
Tata Steel supplies fell 14% for the month to 0.12 MnT as against 0.14 MnT a month ago.
State owned miner- OMC supplied 0.10 MnT of iron to the steel maker, down 15% as compared to 0.12 MnT in May’19.
Bhushan Steel iron ore procurement from Serajuddin, AMTC and RP Sao dropped for the month to 50,632 MT, 23,678 MT and and 7,925 MT respectively.
Tata Steel BSL crude steel production crossed 4 MnT in FY19
Bhushan crude steel production for the fiscal crossed 4 MnT, an increase of about 9.4% Y-o-Y. The output for the last quarter of the year (Q4 FY19) increased to 1.02 MnT against 0.99 MnT in Q4 FY18. The company witnessed a rise of 6.5% in sales for FY19 to 4.05 MnT against 3.8 MnT in last fiscal. The sales for Q4 FY19 witnessed at 1.14 MnT, an increase of 25% compared to Q3 FY19.
Bhushan Steel pellet sourcing stood nil in June’19
The pellet sourcing by the steel maker dropped to nil in June’19 as against 11,550 MT a month ago. The miner recorded nil sourcing of pellets for four consecutive months since Dec’18 and resumed since Apr’19.
| Bhushan Steel Iron Ore Sourcing June’19 & May’19 | ||
| Seller | June’19 | May’19 |
| Indrani Patnaik | 122,243 | 67,233 |
| Tata Steel | 121,693 | 141,655 |
| OMC | 99,680 | 117,532 |
| Serajuddin | 50,632 | 106,476 |
| A.M.T.C | 23,678 | 31,134 |
| RP Sao | 7,925 | 9,585 |
| Essel Mining | 7,514 | – |
| MGM Minerals | 4,396 | 2,770 |
| SN Mohanty | 1,462 | 6,388 |
| Grand Total | 439,224 | 482,773 |
| Bhushan Steel Pellet Sourcing June’19 & May’19 | ||
| Seller | June’19 | May’19 |
| Arya Iron & Steel Ltd | – | 11,550 |
| Total | – | 11,550 |
| Grand Total | 439,224 | 494,323 |
Source: SteelMint Research
Quantity in MT
Provisional Data
Tata Steel BSL is focusing on ramp up to full capacity with an estimated time of around 24 months. Company is planning to expand Bhushan steel capacity from 5.6 MnT to 8.3 MnT. They are also planning to enhance production at its captive iron ore mines around Jamshedpur and Kalinganagar.
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