Essar Steel: Iron Ore and Pellet Sourcing Down by 23% M-o-M in Dec’17

Essar Steel – an integrated steelmaker with steel making capacity of 10 MnT p.a. recorded a decline in its iron ore & pellet sourcing by 23% M-o-M to 0.96 MnT in Dec’17 compared to 1.24 MnT in Nov’17.

The Y-o-Y iron ore & pellet sourcing also recorded a decline of 22% in Dec’17 as against 1.24 MnT in Dec’16.

Iron ore procurement from NMDC (C.G.) up by 7% M-o-M – Essar Steel procured 0.66 MnT of iron ore in Dec’17 from NMDC’s Bailadila mines in Chhattisgarh via slurry pipeline which stood 7% up as against 0.62 MnT in Nov’17. However, it also witnessed a marginal increase of 3% Y-o-Y in Dec’17 compared to 0.64 MnT in Dec’16.

Procurement from Serajuddin mines decreased sharply – Essar Steel sourced 0.30 MnT iron ore from Odisha’s merchant mines down by 32% M-o-M in Dec’17 compared to 0.45 MnT in Nov’17. Out of the total iron ore sourced from Odisha in Dec’17, largest share was borne by Indrani Patnaik (0.15 MnT), followed by KJS Ahluwalia Mines (0.14 MnT), and Serajuddin mines at (0.01) MnT.

Essar Steel’s iron ore sourcing from Serajuddin mines has declined sharply by 95% M-o-M in Dec’17 against 0.20 MnT in Nov’17.In another side, Indranik Patnaik has been increased iron ore supply significantly to Essar by 161% M-o-M to 0.15 MnT in Dec’17 against 0.08 MnT in Nov’17.

Essar steel pellet imports remained nil in Dec’17.

Essar Steel’s iron ore & pellet sourcing-:

Qty in MnT
Provisional data
Source: SteelMint Research, Customs, Odisha govt.