Karnataka Iron Ore E-auction Sales Up 85% in Aug’17

3.37 MnT iron ore sold via Aug’17 e-auctions, up by 85% M-o-M.

The month of Aug’17 witnessed sharp rise in purchases in Karnataka e-auctions.  The quantity of 3.37 MnT iron ore was sold in Aug’17 against 1.82 MnT in Jul’17, up 85% M-o-M. Aug’17 total iron sales quantity was considerably higher compared to last month.

NMDC sold 1.22 MnT iron ore via e-auctions in Aug’17- NMDC’s iron ore sales at e-auctions were up 3% M-o-M at 1.22 MnT in Aug’17. Out of the total allotted quantity 0.53 MnT was offered by Mysore Minerals and rest 1.62 MnT by private miners.

JSW Steel’s iron ore purchases from Karnataka stood at 2.42 MnT in Aug’17-JSW Steel’s iron ore purchases from Karnataka e-auctions stood at 2.42 MnT in Aug’17, up 131% M-o-M. Other major iron ore buyers in Karnataka e-auction last month were BMM Ispat, Minera Steel and Power, Thakur Industries, Janki Corp Ltd and MSPL.

Buyer-wise allotted quantity in Aug’17 e-auctions

Qty in MT
Source: Karnataka DMG

Major highlights of Aug’17 Karnataka e-auctions:
1. Iron ore base prices of NMDC Donimalai mines were unchanged for the month.  For NMDC Donimalai mines booking prices were- fines (Fe 60.02%) – INR 2,076 and lump (Fe 62.5%) – INR 2,427/MT. For NMDC Kumaraswamy mines prices were- fines (Fe 61.5%) – INR 2,021/MT and lump (Fe 63%) – INR 2,480/MT.

2. Price scenario of sponge grade lump in Jun’17 Karnataka e-auctions – Sponge grade lump (Fe 63.5%, 10-20 mm ) offered by NMDC Kumaraswamy mines was base priced at INR 2,404/MT. The lot was sold at INR 2,734-2,744/MT.

3. Base prices of iron ore offered by a private miner, Vyasankere mines,  lump (Fe 65%) were unchanged M-o-M at INR 2,750/MT (basic).

4. Andhra Pradesh based steel maker Jeevaka Industries have sourced 7000 MT iron ore  form SMIORE and Goa based Vedanta Ltd have sourced one lot of  8,000 MT iron ore from P Balasubba Setty & Son.