Bhushan Steel: Iron Ore & Pellet Sourcing Stable in Oct’18

Bhushan Steel – a major integrated steel maker with a capacity of 5.6 MnT has recorded iron ore and pellet sourcing at 0.42 MnT in Oct’18. The sourcing stood almost stable M-o-M as against 0.44 MnT in Sep’18.

The total iron ore procurement in Oct’18 dropped 5% on monthly basis to 0.41 MnT as against 0.44 MnT in Sep’18.

Iron ore procurement from OMC up significantly M-o-M

State owned miner- OMC recorded 54% increase in supplies to the miner at 0.10 MnT as against 0.07 MnT in Sep’18.

Serajuddin mines stood the largest supplier of iron ore to Bhushan Steel at 0.14 MnT, up 16% M-o-M as against 0.12 MnT a month ago.

Indrani Ptanaik, Tata Steel and AMTC recorded sharp decline in Oct’18 supplies of iron ore. Indrani Patnaik supplied 0.08 MnT (down 34% M-o-M) iron ore, Tata Steel at 0.05 MnT (down 17% M-o-M) and AMTC at 0.02 MnT (down 31% on monthly basis).

Tata steel is planning to expand Bhushan steel capacity from 5.6 MnT to 8.3 MnT. Also, it is planning to enhance production at its captive iron ore mines around Jamshedpur and Kalinganagar which will help in raw material availability to ramp up capacity at Bhushan Steel.

Sourcing from RP Sao has increased sharply by 87% to 0.01 MnT as against 7,082 MT a month ago.

Bhushan Steel procured 2 rakes of pellets in Oct’18:

Bhushan Steel recorded pellet procurement at 2 rakes as against being nil a months before.

Bhushan Steel Iron Ore Sourcing

Source: SteelMint Research
Quantity in MT
Provisional Data

Bhushan Steel was one of the companies underwent Bankruptcy proceedings. In May’18, NCLT (National Company Law Tribunal) finally gave its approval to Tata Steel’s resolution plan of acquiring debt-ridden Bhushan Steel under the Insolvency and Bankruptcy Code (IBC).