Odisha Mining Corporation has scheduled its next iron ore lump e-auction on 02nd Aug’19. The auction is conducted for 457,000 MT iron ore lumps and the material put under the hammer is from Gandhamardan, Daitari and Koira mines. No traders shall be allowed to take part in the e-auction.
Out of the total quantity, 441,000 MT is DR-CLO and remaining 16,000 MT is lump ore.
Miner decreased base prices by INR 100/MT from all its mines against the base price of previous e-auction conducted on 03rd June’19.
Price comparison of OMC iron ore e-auctions-
| Mines | Size (mm) | Fe (%) | Base Price as on 03 June’19 | Bid Price as on 03 June’19 | Base Price as on 02 Aug’19 | Quantity Offered (MT) |
| Gandhamardan | 10-40 | 62% | 2,950 | 2,950 | 2,850 | 135,000 |
| 10-180 | 65% | 2,250 | 2,250-2,300 | 2,150 | 16,000 | |
| Kurmitar (Koira) | 10-40 | 62% | 3,450 | 3,450-3,500 | 3,350 | 216,000 |
| Daitari | 10-40 | 62% | 3,350 | 3,350-3,400 | 3,250 | 90,000 |
| Total | 457,000 | |||||
Base prices in INR/MT on ex-mines basis; including royalty
Source: SteelMint Research
In the last lump e-auction held on 03rd June’19, nearly 75% (321,000 MT) of material fetched bids out of the total quantity of 425,000 MT. The bids received were mostly flat at base price with some material fetching bids higher by up to INR 50/MT.
OMC’s auction for sub grade iron ore fines
Odisha Mining Corporation (OMC) has scheduled an auction for sub-grade iron ore (Fe 56%) fines on 05 Aug’19. Total quantity put under the auction is for 525,000 MT fines (Fe 58%) offered from Gandhamardan mines. The base price for the material is set at INR 750/MT, in line with previous auction held on 18th Juy’19.
In the previous sub grade e-auction held on 18th July’19, 222,000 MT of material was booked out of the total quantity of 747,000 MT. The material from Gandhamardhan mines had received flat bids at the base price of INR 750/MT while material from Koira mines received bids higher by upto INR 150/MT over the set base price of INR 750/MT.
OMC is all set with iron ore production ramp-up plans for coming years to make up for expected supply disruption after March 2020 following lease expiry. OMC is planning to achieve 20 MnT iron ore output by FY21.
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