Odisha Mining Corporation (OMC), had recently conducted an iron ore e-auction for 357,000 MT iron ore (120,000 MT fines & 75,000 MT lump) on 13 Jan’16. The company had received good response in the e-auction as about 75% of the material offered in the e-auction was sold.
Koira mines, whose major share of material being offered in the auction, total 176,000 MT material has been sold. The company offered 150,000 MT Fe 62% 10-40 mm lumps, of which whole lot offered in the e-auction has been sold out at INR 50 additional to base prices of INR 1,750/MT. Also, out of the total fines offered ie 50,000 MT, 26,000 MT fines has been sold.
Out of the total material offered from Barbil mines, 8,000 MT Fe 62% 10-40 mm lump was sold. On the other hand, 11,000 MT fines offered from the same mines remained unsold. Material has been sold at base prices only.
Material offered from Daitari mines was 135,000 MT (100,000 MT CLO & 35,000 MT fines). Out of the total material offered, 83,000 MT lumps and 8,000 MT fines was sold.
TATA Steel participates in OMC E-auction for Kalinganagar Plant
Tata Steel, one of the largest steelmaker has recently participated in OMC e-auction conducted on 13 Jan’16. The steelmaker showed interest over OMC’s Daitari mines fines.
The steel maker procured 8,000 MT of Daitari fines from the e-auction. As per sources, the steelmaker procured the material on trial basis for the first time. If all goes well, steelmaker may source a share of iron ore fines for its Kalinganagar plant from OMC’s Daitari mines.
In Nov’15, the company inaugurated the 1st phase of its 3 MnT pa Kalinganagar steel plant at Odisha and is likely to commence commercial production of hot metal by April 2016.
Result of OMC iron ore e-auction held on 13 Jan’16
| Mines | Size (mm) | Fe (%) | Base Price on 13 Jan’16 |
Quantity offered (MT) |
Quantity Sold(MT) |
| Barpada Kasia (Barbil) | 10-40 | 62 | 1,600 | 11,000 | 8,000 |
| -10 | 62-60 | 1,000 | 11,000 | – | |
| Kurmitar (Koira) | 10-40 | 62 | 1,750 | 150,000 | 150,000 |
| -10 | 62-60 | 900 | 50,000 | 26,000 | |
| Daitari | 10-40 | 62 | 1,800 | 100,000 | 83,000 |
| -10 | 64-62 | 1,400 | 35,000 | 8,000 | |
| Total | 275,000 | ||||
Quantity in MT
Base & bid prices in INR/MT on ex-mines basis; including of royalty
Source: SteelMint Research
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