From its Donimalai and Kumarswamy mines in the state of Karnataka, NMDC offered a total of 200,000 MT of iron ore, through e-auctions on March 26.
The bid price was a 0.23% increase over the floor price. No. of bidders and winners were 3 and no. of bids was 8.
Lumps remained unsold from Donimalai mines.
Quantity sold out from Kumarswamy mines, as mentioned below:
Lumps: 8,000 MT of Calibrated lump ore with Fe% 64 at Rs 4,322 (equal to floor price)
Fines: 32,000 MT of fines with Fe% 61 at Rs 2,045-2,065/MT
Floor price was fixed at Rs 2,035/MT
JSW 28,000 MT at Rs 2,035/MT
Fines: 36,000 MT of fines at Rs 2,160/MT with Fe% 62 – JSW
Royalty 10%, VAT 5.5% (on auction price and royalty), FDT 12% are applicable.
An NMDC official told SteelMint, “Customers are not very interested to buy lumps in e-auctions due to the price difference in both lumps and fines.
They are rather interested to take Pellet, prices of which have remained firm.
Most of the sponge iron plants are also using Pellet instead of lumps.
JSW is our biggest buyer for fines as it has got all the required facilities such as sintering, pelletisation and beneficiation.
Fines is being preferred by Pellet manufacturers, number of which is growing.
Hence, demand for fines is good”.
Quantity that was offered:
From Donimalai mines
Iron ore lumps 52,000 MT
From Kumarswamy mines
Iron ore fines 68,000 MT
Iron ore calibrated lump 80,000 MT
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