Orissa Mining Corporation (OMC), conducted e-auction yesterday (i.e. on 6 Apr’17) for 627,000 MT iron ore. The offered quantity consisted of 425,000 MT lump and 202,000 MT fines. The material put under hammer was from Gandhamardan, Daitari and Koira mines.
The miner has raised base prices for this e-auction by 36% against the previous auction. OMC has hiked lump prices up to INR 500/MT and fines prices up to INR 250/MT.
According to sources report to SteelMint, the e-auction received overwhelming response with almost entire quantity offered getting sold.
With encouraging participation from the exporters, fines were sold at premium over base price. Fines (Fe 62-64%) offered from OMC’s Daitari mines received bids at INR 2,250-2,300/MT against base price of INR 1,650/MT. Similarly fines offered from OMC’s Koira and Gandhamardan mines also fetched bids higher up to INR 600/MT over the base price.
On the other hand, lump offered in the e-auction managed to receive bids at base price.
Base price comparison of OMC iron ore e-auctions
|
Mines |
Size (mm) |
Fe (%) | Base Price as on 28 Nov’16 |
Base Price as on 3 Feb’17 |
Base Price as on 6 Apr’17 |
Change (in INR/MT) |
Change (in %) |
Quantity |
| Gandhamardan | 10-180 | 65 | 1,400 | 1,400 | 1,900 | +500 | 36% | 35,000 |
| 10-40 | 62 | 1,800 | 2,000 | 2,200 | +200 | 10% | 70,000 | |
| -10 | 60-62 | 800 | — | 900 | +100 | 13% | 2,000 | |
| Kurmitar (Koira) | 10-40 | 62 | 2,200 | 2,400 | 2,700 | +300 | 13% | 200,000 |
| -10 | 62-60 | 750 | 750 | 900 | +150 | 20% | 100,000 | |
| Daitari | 10-40 | 62 | 2,000 | 2,200 | 2,550 | +350 | 16% | 120,000 |
| -10 | 64-62 | 1,300 | 1,400 | 1,650 | +250 | 18% | 100,000 | |
| Total | 627,000 | |||||||
Base prices in INR/MT on ex-mines basis; including royalty
Source: SteelMint Research
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