Merchant iron ore miners in Odisha are in ‘wait & watch mode’ and continue to hold iron ore prices for now.
SteelMint, in talk with major Odisha merchant miners, received a mixed response. Some miners shared that there are less chances of increase in iron ore prices while others expect improvement in iron ore prices.
Following reasons may force Odisha iron ore prices to remain intact –
1. Jindal Steel & Power (JSPL) is optimistic on lifting its iron ore stocks lying at Sarda Mines as Supreme Court did not grant any stay order on the SLP filed by Odisha government against Odisha High Court order.
2. Sponge manufacturers opine that the increase in sponge price is due to increase in coal prices. Slight increase in iron ore prices will have adverse effect in demand and supply.
3. Sponge price increased in last 1 week only by INR 800/MT so miner will wait till 7-10th, to see how prices stabilize?
Odisha iron ore prices as on 01 Sept’16
|
Miner |
Size (mm) | Grade (Fe%) |
Prices in INR/MT |
| Rungta Mines (Joda)* | 5-18 | 62 | 2,550 |
| 10-30 | 62 | 2,400 | |
| Fines | 63 | 1,550 | |
| Serajuddin Mines | 5-18 | 63 | 1,900 |
| Fines | 63 | 1,100 | |
| Essel Mining (Koira) | 5-18 | 62 | 2,025 |
| 10-30 | 61 | 1,375 | |
| Fines | 63 | 1,050 | |
| KJS Ahluwalia | 5-18 | 63 | 2,025 |
| 10-30 | 61 | 1,900 | |
| Fines | 63 | 1,075 | |
| Kaypee Enterprises | 5-18 | 63 | 1,925 |
| 10-30 | 62 | 1,850 | |
| Fines | 63 | 1,090 | |
| Indrani Patnaik | 5-18 | 63 | 2,000 |
| 10-30 | 62 | 1,950 | |
| Fines | 62 | 1,200 | |
| KN Ram | 5-18 | 63 | 2,300 |
| Fines | 63 | 1,400 |
Ex-mines prices in INR/MT
*Prices as per loaded to wagons & inclusive of Royalty, DMF & NMET
Source: SteelMint Research
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