Essar Steel Reduces Iron Ore Sourcing by 13% in Oct’16

The steel maker has procured 6.49 MnT iron ore & pellets so far (till Oct’16) in this fiscal.

Essar Steel – an integrated steelmaker with steel making capacity of 10 MnT pa has reduced its iron ore sourcing by 13% M-o-M from 1.1 MnT in Sept’16 to 0.96 MnT in Oct’16.

The steelmaker relied completely on domestic iron ore sources last month and no import vessel was noticed.

Sourcing from NMDC (C.G.) falls marginally – The steel giant sourced 0.56 MnT iron ore fines from NMDC’s Bailadila mines in Chhattisgarh in Oct’16 compared to 0.57 MnT in Sept’16.

Iron ore sourcing from Odisha based merchant mines fell by 13% M-o-M – The steel maker procured 0.24 MnT iron ore from Serajuddin Mines (down by 23% M-o-M) and and 0.13 MnT from KJS Ahluwalia mines (up by 44% M-o-M). Remaining quantity of iron ore sourced was from Indrani Patnaik mines, MESCO and Kaypee Enterprises.

Essar Steel iron ore sourcing : Sept’16 Vs Oct’16

Qty in MT
Provisional data
Source: SteelMint Research, Customs, Odisha govt.

So far in this fiscal (till Oct’16), the steel maker has procured 6.49 MnT iron ore  & pellets from domestic sources as well as through imports.

Coastal pellet movement of Essar Steel falls by 10% in Oct’16 – As per customs data maintained with SteelMint, Essar Steel moved nearly 0.71 MnT pellets from its Vizag and Paradip plants to its Hazira facility in Oct’16 against 0.79 MnT in Sept’16.