NMDC have conducted an e-auction for 18,000 MT iron ore pellets from Karnataka on 5th Jul’17. Pellets of grade Fe 64-64.5% were offered in the e-auction.
The E-auction has received a overwhelming response from sponge manufacturers as the prices quoted by NMDC were lower than the current market offers.
Reference prices for Bellary pellets (Fe 63%) are currently at around INR 5,800-6,000/MT (basic, GST @ 5% extra). NMDC had lowered the base price for this e-auction by around INR 700/MT against previous e-auction. The highest bid fetched was at INR 5,390/MT.
In the current auction, pellet offered comprises of size ranging from 6-16 mm with silica content between 4 to 4.5%, alumina content 2-3% max and tumbler index of 95%.
National Mineral Development Corporation (NMDC) has a pellet plant with an installed capacity of 1.2 MnT pa at Donimalai in Karnataka as a part of its beneficiation program. Apart from this, it has also set up a beneficiation plant of 1.8 MnT pa in Karnataka.
Prior to this, NMDC had auctioned 19,000 MT pellets on 17 May’17. The e-auction received poor response with only 3,000 MT pellets were sold. As per sources, the material was booked by a Tamil Nadu based steel maker.
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