Essel Mining & Rungta Mines, Odisha’s largest merchant Iron Ore miners, have held their offers unchanged for the month of July (prices are reviewed fortnightly).
Current Offers
|
Rungta Mines |
||||
|
Place |
Size (mm) |
Grade |
Fe% |
Prices |
|
Joda |
5-18 |
DR |
65 |
7,100 |
|
5-18 |
DR |
63 |
6,800 |
|
|
10-30 |
BF |
65 |
6,450 |
|
|
10-30 |
BF |
63 |
6,050 |
|
|
Fines |
– |
63 |
2,950 |
|
|
Fines |
– |
60 |
2,300 |
|
|
Koira |
5-18 |
DR |
62 |
6,150 |
|
10-30 |
BF |
62 |
5,550 |
|
|
Fines |
– |
62 |
3,050 |
|
|
Fines |
– |
60 |
2,400 |
|
Prices in INR/MT, including royalty
Prices are as per loaded to wagons
Source: SteelMint Research
Combined production from both the miners was roughly 16 MnT in FY14, which is about 30% of total merchant production in Odisha.
Miners have raised their offers by upto INR 500/MT in the month of May’14, after the Supreme Court suspended some of key Iron ore mines in Odisha on 16 May, 2014.
Apart from Rungta & Essel, not many miners are offering ore in the market as most of them are overbooked. Indrani Patnaik, having a production capacity of 4.5 MnT, was settled at INR 5,000/MT (including Royalty; loaded to wagons) in the last trade for screened 5-18mm of grade Fe 62%.
Serajuddin, another big merchant miner has also kept their offers on hold. “We are yet to resume the bookings and will take a call after having clarity over 50:50 rule,” stated an official from Serajuddin Mines.
“Iron ore prices remain unchanged owing to stable Sponge iron prices in domestic market. There is less scope of any hike as ample supply of Pellets and imports have offset the shortfall of Iron ore in domestic market,” said an Executive of a mining company based in Odisha.
On the other hand, Sponge manufacturers highlighted that there is certainly a shortfall of Iron ore lumps in the market, but subdued demand will keep Iron ore prices stable.
India’s mineral giant NMDC with 30 MnT pa annual production is likely to review prices on 03 Jul, 2014.
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