Recent coal auction has fetched poor response from buyers and also witnessed a stability as bid prices are almost firm in the wake of low buying interest.
The state run largest coal producer and subsidiary of CIL, SECL had concluded coal e-auctions held on dates 9 and 10 of Feb’16, with 0.66 MnT of non-coking coal. In the auction, company has sold about 99% of quantity.
However, the bid prices were more or less same as compared to last month for different grades and mines. In this auction, about 21-22% of quantity was sold at base price.
Since the beginning of 2016, SECL’s coal auction platform is not receiving any positive hope. Participating companies are deterring to pay high for comparatively low grade domestic coal as slowing global demand and bottomed global coal market are confining them.
Big participants in the auction
In the recent auction, out of the total quantity put under hammer, about 50% of coal was brought by India’s big players such as BALCO, Ambuja Cement, ACC Limited, Lafarge India, Balaji Coal & Scrap, Bharat Benefication & Power, Century Pulp & Paper and Moonlight Commtrade etc.
- Bharat Aluminum received total 0.15 MnT of coal from Gevra OC with winning price of INR 1,260/MT for size G11 ROM coal, with a floor price at INR 1,140/MT.
- ACC Cement bought 49,000 MT of coal from Gevra OC (ROM, -250mm, G-11) at an average of INR 1,255/M T and on a floor price of INR 1,140/MT.
- Ambuja Cement brought 29,550 MT material from Gevra OC (G11) size coal at a price of INR 1,230/MT.
- Nalwa Steel & Power had brought about total 10,000 MT coal at floor price through this auction. The company bid at INR 2,028/MT for G8 size coal from Jampali OC.
- Bharat Benefication & Power (20,000 MT) and Hind Unitrade received 11,600 MT coal from Baroud OC (G12) and AMGAON OC (G7) size coal at a price of INR 1,068/MT and INR 2,678/MT respectively.
| Date | Colliery | Grade | Company Name | QTY | Floor Price | Bid Price |
| 10.02.2016 | Gevra OC(Stock) | ROM(-250mm)-G-11 | Bharat Aluminium | 150,000 | 1,140 | 1,260 |
| 10.02.2016 | Gevra OC(Stock) | ROM(-250mm)-G-11 | Acc Cement | 40,000 | 1,140 | 1,230 |
| 10.02.2016 | Gevra OC(Stock) | ROM(-250mm)-G-11 | Ambuja Cement | 29,550 | 1,140 | 1,230 |
| 10.02.2016 | Baroud OC | ROM(-100mm)-G-12 | Bharat Benefication & Power | 20,000 | 1,068 | 1,068 |
| 10.02.2016 | Jampali OC | ROM(-250mm)-G-12 | Balaji Coal & Scrap | 15,000 | 1,068 | 1,068 |
| 10.02.2016 | Gevra OC(Stock) | ROM(-250mm)-G-11 | Moonlight Commtrade | 12,000 | 1,140 | 1,280 |
| 10.02.2016 | Gevra OC(Stock) | ROM(-250mm)-G-11 | Century Pulp & Paper | 11,700 | 1,140 | 1,280 |
| 09.02.2016 | AMGAON OC(Stock) | ROM(-250mm)-G-7 | Hind Unitrade | 11,600 | 2,268 | 2,678 |
| 10.02.2016 | Jampali OC | ROM(-250mm)-G-8 | Nalwa Steel And Power | 10,000 | 2,028 | 2,028 |
| 10.02.2016 | Gevra OC(Stock) | ROM(-250mm)-G-11 | Vaswani Industries | 10,000 | 1,140 | 1,280 |
| 10.02.2016 | DAMINI UG(Bunker) | SLK-G-6 | Reliance Cement Company | 7,000 | 2,796 | 2,604 |
| 09.02.2016 | Mahan II OCM | ROM(-250mm)-G-5 | Agarwal Fuel Corporation | 3,000 | 2,800 | 2,800 |
| 09.02.2016 | Gayatri UG | ROM(-250mm)-G-6 | Hind Unitrade | 1,750 | 2,580 | 2,720 |
| 10.02.2016 | Dhanpuri- UG(Bunker) | SLK-G-6 | Orient Paper Mills | 1,000 | 2,604 | 2,604 |
| 10.02.2016 | SHARDA HIGHWALL | ROM(-100mm)-G-7 | Scan Steels | 4,000 | 2,268 | 2,268 |
Source: SteelMint
Quantity in MT
Prices in INR
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