India: ECL auction sees rebound in allocations, G4 premiums surge

• Total volumes more than double on 24 Jan from 20 Jan’26
• Bids indicate strong interest in UG-origin premium parcels

At the Eastern Coalfields Limited (ECL) auction held on 24 January 2026, a strong rebound in participation was observed compared with the 20 January auction. Total bid quantity surged to 120,550 t from 47,900 t earlier, indicating renewed buying interest. G4 allocations and prices increased sharply, with broader participation and stronger bidding overall suggesting improved market confidence.

Grade-wise performance

G4 dominated allocations at 50,000 t, significantly higher than 34,050 t on 20 January. The average G4 price rose to INR 5,358/t from INR 4,515/t previously, signalling a sharp premium recovery.

G11 witnessed healthy demand at 25,650 t, clearing at INR 2,151/t. W04 volumes stood at 16,600 t at INR 3,604/t, while W05 accounted for 14,600 t at INR 2,490/t.

Higher-grade G3 coal saw 4,500 t allocated at a steep INR 7,886/t, reflecting strong interest in limited UG-origin premium parcels. G5 recorded 8,900 t at INR 4,899/t. Compared with 20 January, participation broadened beyond G4, showing improved appetite across multiple grades.

Mine-wise allocations

Sonepur Bazari OC remained the largest contributor with 25,000 t of G4 clearing at INR 4,622/t. Jhanjra UG supplied 12,500 t of G4 at INR 4,662/t.

Premium pricing was evident at KhasKajora UG, where 4,500 t of G3 cleared at INR 7,886/t. Kunustoria UG (3,000 t at INR 7,476/t), JK Nagar UG (3,000 t at INR 6,615/t), Belbaid UG (3,000 t at INR 6,166/t), and Bankola UG (2,000 t at INR 5,919/t) reflected a clear revival in underground premiums, reversing the moderation observed on 20 January.

Rajmahal OC allocated 20,550 t of G11 at INR 2,151/t, while Chapapur OC cleared 16,600 t of W04 at INR 3,604/t. Gourangdi OC sold 14,600 t of W05 at INR 2,490/t.

Buyer participation

Participation widened compared with the previous auction. Ranisati Coal Carriers emerged as the largest buyer with 5,700 t across G4 and G5. Shyam Steel Manufacturing lifted 4,000 t of W04 at INR 3,604/t. Mark Trading Company secured 3,800 t, including G3 at INR 7,978/t and G4 at INR 6,202/t.

West Bengal Minerals Corporation, Janakpur Tradelink, Laxmi Narayan Enterprises, and Ratan Coal Suppliers were active in G4 procurement at prices largely above INR 4,500/t. Premium bids from select traders indicated improved confidence in mid- to high-CV coal.

Market comparison with 20 January

The 24 January auction marked a decisive shift from the softer 20 January outcome. Total volumes more than doubled. G4 prices rebounded sharply from INR 4,515/t to INR 5,358/t. Underground-origin premiums surged strongly, particularly in G3 and select G4 mines. Broader grade participation and stronger bidding signalled improved short-term confidence.

Takeaway

The latest auction indicated renewed procurement momentum after the brief correction seen earlier. Buyers appeared more willing to absorb premiums, especially for UG-origin and higher-grade coal, suggesting firmer short-term sentiment.