SECL fetched higher bids in recent coal auction held in Sept’15 and sold about 83% of the total quantity.
Since May’15, this is the 1st time that SECL has e-auctioned coal at higher bid prices in the month of Sept’15 compared to Aug’15 auction.Out of the total quantity put under the hammer, about 40% of coal was brought by India’s big players such as BALCO, Jindal Power, DB Power, Prakash Industries etc.
The state run largest coal producer and subsidiary of CIL, SECL concluded coal e-auctions, held on dates like 18 Sept’15, 19 Sept’15 and 25 Sept’15, with 1.2 MnT of non-coking coal. In the auction, prices surged by INR 200-300/MT for different grades and mines.
[su_quote]“An eager participation by industry’s giants has been seen in the recent e-auction with a price rise of about INR 200-300/MT. A sharp devaluation of Indian currency, Rupee in month of Sept’15 has induced importers to prefer domestic material instead of imported,” said by a participant. [/su_quote]
Big participants in the auction
• Bharat Aluminum received total 0.2 MnT of coal from Gevra OC, Manikpur OC, Dipka Expn and Kusmunda OC mines. Highest quantity was brought from Manikpur OC with winning price at INR 1,298/MT (81,000 MT) for size G12 ROM coal (3700-4000 GCV) and at INR 1,882/MT (59,000 MT) for size G10 ROM coal from Dipka Expn (Stock).
• Jindal Power had brought about 0.11 MnT coal through this auction. The company bid at INR 1,388/MT for 85,000 MT of G14 size coal (3100-3400 GCV) from Gare Pelma IV/2&3 mine with base price of INR 888/MT.
• DB Power bid at INR 2,138/MT for 30,000 MT of G8 size coal (4900-5200 GCV) from Baroud OC mine with base price of INR 2,028/MT.
Domestic Vs imported prices
At present, imported stock & sale material of Indonesian 4200 GAR (5600 GCV KCAL/Kg) coal is being offered at INR 2,800-2,900/MT with all duties and clearance included. Contrastingly in this auction, domestic material G6 (5500-5800 GCV) from Gayatri UG was sold at INR 2,980-3,000/MT (all royalty and tax included after bid price).
Currently, South African RB2 (6200 GCV) coal (stock and sale) is being offered at INR 4,300/MT at different Indian ports. Meanwhile, SECL’s current coal auction has received an average bid of INR 3,700-3,800/MT (royalty and taxes included; G5 sized ROM/5800-6100 GCV) from Rajgamar 4&5 with base price of INR 2,800/MT.
| Company | Location | Grade | Quantity | Base Price | Bid Price | Category |
| Jindal Power | Gare PelmaIV/2&3 | G14 ROM | 85,000 | 888 | 1,388 | Power |
| BALCO | Manikpur OC | G12 ROM | 81,500 | 1,068 | 1,298 | Aluminium |
| DB Power | Chhal OC | G12 ROM | 74,750 | 1,068 | 1,448 | Power |
| BALCO | Dipka Expn | G10 ROM | 58,650 | 1,392 | 1,882 | Aluminium |
| BALCO | Gevra OC | G11 ROM | 50,000 | 1,140 | 1,560 | Aluminium |
| DB Power | Baroud OC | G8 ROM | 30,000 | 2,028 | 2,138 | Power |
| Jindal Power | Jampali OC | G12 ROM | 28,100 | 1,068 | 1,378 | Power |
| Bharat Ben. & Power | Chhal OC | G12 ROM | 18,000 | 1,068 | 1,468 | Trader |
| Godawari Power & Ispat | Gevra OC | G11 ROM | 13,900 | 1,140 | 1,560 | CPP |
| Swami Fuels | Gevra OC | G11 ROM | 12,500 | 1,140 | 1,580 | Trader |
| Prakash Industries | Manikpur OC | G12 ROM | 11,500 | 1,068 | 1,348 | Steel |
| UltraTech Cement | Gevra OC | G11 ROM | 8,000 | 1,140 | 1,580 | Cement |
Source: SteelMint
Quantity in MnT
Price in INR
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