India: ECL sells 100,450 t in 25 Nov auction; G3 fetches highest premium

• G3 premiums highlight extreme scarcity and strong preference for high-CV coal
• UG mines drove sharp bid dispersion, reflecting deep quality-sensitive buyer behaviour

Eastern Coalfields Ltd (ECL) sold 100,450 t of non-coking coal in its auction held on 25 November 2025, reflecting firm demand for mid-to-high CV grades and a broad mix of participation from both opencast (OC) and underground (UG) mines. G4 remained the volume anchor, while G3 stood out with steep premiums due to extremely limited supply.

Grade-wise performance showed G4 (5,800-6,100 GAR) dominating the auction with 62,450 t sold at an average of INR 4,667/t, supported by strong interest from sponge iron and industrial buyers. G3 (6,100-6,400 GAR), although limited at 6,000 t, fetched the steepest premium at INR 6,891/t due to UG-origin supply from Jambad and other high-demand collieries. G12 (3,400-3,700 GAR) recorded 22,050 t at INR 2,068/t, while G11 (3,700-4,000 GAR) added 5,050 t at INR 2,151/t. G5 (5,500-5,800 GAR) saw 2,250 t booked at INR 4,101/t, whereas G13 (3,100-3,400 GAR) registered 1,950 t at INR 1,713/t. Smaller parcels included 500 t of W03 at INR 4,203/t and 200 t of G6 at INR 3,024/t.

Mine-wise allocations showed strong supply diversity. Rajmahal OC contributed the largest share with 24,000 t at INR 2,022/t, primarily covering G12 and G13. High-CV UG mines drove premiums: Jhanjra UG supplied 19,450 t at INR 4,440/t, Jambad UG delivered 6,000 t of G3 at INR 6,891/t, and Kunustoria UG and JK Nagar UG fetched higher bids at INR 6,333/t and INR 5,701/t respectively. Chitra OC provided 11,800 t at INR 4,437/t, while Nakrakonda OC added 13,050 t of mid-CV material at INR 4,440/t. Smaller but premium-rich UG parcels from Belbaid, Bankola, Kalidaspur, and Mandarboni underscored continued appetite for cleaner, low-ash coal.

Buyer-side participation was broad and competitive. Khatua Shyam Steels booked 6,700 t at INR 5,500/t, followed by Khemka Minerals securing 5,600 t at INR 5,582/t. Bhagwati Enterprises purchased 7,000 t at INR 2,110/t, SS Enterprises procured 4,250 t at INR 4,437/t, and Laxmi Narayan Enterprises took 3,100 t at INR 4,437/t. Buyers focused sharply on G4 and UG-origin G3 due to strong CV-to-price advantages.

The market scenario suggested firm and balanced bidding across most grades. G3 recorded exceptional premiums due to limited high-CV availability. G4 saw the strongest quantity-led participation supported by extensive supply from both OC and UG sources. Lower-grade coal such as G11-G13 cleared at realistic price levels, indicating steady demand from cost-conscious industrial users. Heavy UG participation widened bid dispersion, reflecting varying buyer preferences for quality, mine reputation, and ash content.

Overall, price discovery aligned closely with grade quality, CV advantage, and mine origin. The auction demonstrated sustained buying interest across segments despite varying grade availability.