OMC Chrome Ore Auction received poor response in line with sinking Ferro chrome prices.
State-owned Odisha Mining Corporation (OMC), recently conducted an e-auction for Chrome Ore on 2th Jun’17. Total quantity offered was 44,640 MT, out of which 27,000 MT was from South Kaliapani Chromite Mines, 5,500 MT from Sukrangi Chromite Mines and 12,140 MT from Bangur Mines.
As per market sources, this round of auction received poor response with only 27,600 MT received bids. Chrome Ore from two significant mines remained unsold – 2,600 MT of grade 44-46% left unsold from Kaliapani Mines and 2,400 MT from Sukrangi mines respectively.
Chrome Ore auctioned from Bangun Mines were hit the hardest with only 100 MT out of 12,140 MT was sold. Market sources revealed that most of material offered from the aforementioned mine was old unsold material. Grade 50-56% Chrome Ore lumps from Bangur mines received bid at its base price of INR 17,515/MT. Chrome Ore concentrates also received very few bids, with grade 52-54% sold at its base price only at INR 11,250/MT.
In the auction, Friable Chrome Ore also received very poor response, and most of the material received bids marginally above the set base price. Chrome Ore grade 54%+ received bids at two different prices at INR 11,750/MT and INR 11,850/MT respectively, with most bids at the higher price. Grade 52-54% ores received bids at 5.5% hike on its base price at INR 11,433/MT. Such marginal hike has also been witnessed in grade 50-52% and 48-50% ores where they registered 2% and 7% rise at INR 10,617/MT and INR 10,700/MT.
Previous OMC Chrome Ore Auction on 5th Apr’17
OMC Chrome Ore Auction, which was held in April, had received substantially high bids with 100% of offered quantity receiving bids. The bid price for Chrome Ore grade 52-54% received 4% hike at INR 23,510/MT. Grade 48-50%, registering a hike of 20% over the base price of INR 18,845/MT. Grade 50-52%, on the other hand received 10% higher bids on its floor price.
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