- 0.8 mnt allocated of 3.4 mnt offered
- Jindal Steel & Power emerges as largest bidder
Mahanadi Coalfields Ltd. (MCL) witnessed strong competition for G12 coal in its spot e-auction held on 11 August 2026, while bidding remained selective across other grades. Against the 3.40 mnt offered, 798,650 t was allotted. The strongest buying interest was concentrated in Bhubaneswari, Ananta, Lingaraj and Kaniha G12, while G13 and G11 continued to attract firm premiums at preferred sources. In contrast, G14 from several sources cleared at notified prices or with only modest premiums.
G12 leads auction with sharp premium
G12 was the standout grade in the latest auction, particularly at mines that had also attracted strong interest in previous auctions. Bhubaneswari G12 received the highest bid at INR 1,925/t against a notified price of INR 1,101/t, while Ananta G12 cleared at INR 1,865/t. Lingaraj G12 and Kaniha G12 also attracted strong bidding.
The sharp increase in premiums at Bhubaneswari and Ananta compared with the previous auction indicates stronger competition for these specific mine sources rather than a broad-based increase across all MCL grades.
The comparison shows that bidding strength was concentrated in selected G12 mines. Meanwhile, premiums for Kulda G13 and Siarmal G11 remained unchanged at 25%, suggesting continued but stable demand for these preferred sources.
Mine-specific preference remains evident
The variation in bids within the same grade indicates that buyers continued to differentiate between mine sources based on coal quality, consistency and end-use suitability.
Bhubaneswari, Ananta and Kaniha G12 attracted substantially higher premiums than their previous auction results. Lingaraj G12 also cleared at INR 1,775/t, while smaller parcels at Bhubaneswari Silo and Spur 5 Rail Siding attracted INR 1,772/t and INR 1,712/t, respectively.
By comparison, G14 bidding remained subdued. Hingula OCP, which accounted for 212,200 t, cleared entirely at its notified price of INR 930/t. Garjanbahal G14 received a modest premium of 5.1%, broadly in line with the previous auction.
Industrial buyers dominate procurement
Jindal Steel & Power Ltd. was the largest buyer, securing 232,650 t, including 82,650 t of G12 and 150,000 t of G14. GMR Kamalanga Energy Ltd. purchased 79,500 t, with 74,500 t comprising G12.
National Aluminium Company Ltd. secured 49,350 t of G12, while Shree Balaji Coal Udyog purchased 42,000 t across G13, G14 and G11. Rungta Mines’ Dhenkanal Steel Plant and Tata Steel secured 36,650 t and 35,000 t, respectively, with G12 accounting for a significant portion of their purchases.
The buyer mix indicates firm participation from steel, power and metals consumers, particularly for higher-grade coal.
Market sentiment
The auction pointed to strong competition for preferred MCL coal despite the monsoon. The sharp rise in G12 premiums at Bhubaneswari, Ananta and Kaniha suggests buyers were willing to pay substantially more for specific sources, while stable premiums for Kulda G13 and Siarmal G11 indicate continued demand at established levels.
However, the weaker bidding for most G14 sources suggests the market remained selective rather than broadly bullish across all grades. The key takeaway from the latest auction was therefore strong mine-specific demand for quality coal, rather than uniform strength across MCL’s entire offering.
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