MSTC has declared the results of the Karnataka Iron ore e-auction held on 29 May,14. As per the result, the total quantity offered by private miners was 248,000 MT while the total quantity sold amounted to 24,000 MT.
The most surprising fact about this e-auction was that there was only one buyer-MSPL. The company procured 24,000 MT Iron ore fines at INR 3,800/MT (basic). Thus, it can be inferred that MSPL had purchased fines which was put on auction from its own mines.
|
24,000 MT Iron Ore sold |
||
|
Type |
Qty Offered |
Qty Sold |
|
Lumps |
120,000 |
Nil |
|
Fines |
128,000 |
24,000 |
|
Total |
248,000 |
24,000 |
Qty in MT
Source: SteelMint Research
Only 10% of the total offered quantity was sold as in previous e-auction held on 26 May,14, buyers had purchased Iron ore in big quantities (87% of the total material offered was sold).
Also, fines prices were higher by INR 200/MT & lumps was expensive by INR 400/MT in comparison to previous e-auction.
Floor prices as on 29 May,14
|
MSPL |
RMML |
||||
|
Grade |
Material Type |
Floor Price |
Grade |
Material Type |
Floor Price |
|
Fe 65 |
Fines |
3,800 |
Fe 63 |
Lumps |
4,100 |
|
Fe 65 |
Lumps |
4,800 |
Fe 60 |
Fines |
3,500 |
|
Fe 64 |
Lumps |
4,650 |
Fe 58 |
Fines |
3,200 |
Prices in INR/MT
Basic Prices; Royalty Extra; FDT as applicable
Source: SteelMint Research
In comparison with last private mines e-auction conducted on 26 May,14, the floor & bid prices for Fe 64 Fines remain unchanged at INR 3,800/MT (basic).
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