Directorate of Mines & Geology (DMG) in Goa has invited bids for 4th e-auction on 19 Aug, 2014 in which 3 MnT of Iron ore will be offered.
Though the date of auction is not yet finalized by the DMG, we expect it likely to take place in August. Out of 3 MnT, 1.3 MnT is fines, 0.9 MnT is lumps and 0.8 MnT is ROM. Fe 55-60 Iron ore is 1.7 MnT, below Fe 55 is 1.2 MnT above Fe 60 is 0.2 MnT.
In the last 3 e-auctions out of 2.4 MnT Iron ore offered, 2.1 MnT was sold and 0.45 MnT was exported.
Since last e-auction held on 12 May, 2014 Chinese Fe 62% spot Iron ore fines prices have weakened by USD 8/MT. Current prices are at USD 95/MT CFR China.
Prasanna Acharya, director of mines & geology in a small discussion had stated to SteelMint, “Decreased Chinese spot Iron ore fines prices and monsoon are significant factors to delay the 4th e-auction. Issues on logistical constraint for transportation of material and increase in moisture have to be ensured.”
|
Company |
Fines |
Lumps |
ROM |
Grand Total |
|
Sociadade De Fomento Ind |
224,871 |
14,545 |
163,103 |
402,519 |
|
Timblo Enterprises |
104,241 |
253,733 |
– |
357,974 |
|
Sesa Goa |
2,982 |
266,572 |
– |
269,554 |
|
VM Salgaoncar & Bro |
119,069 |
107,369 |
– |
226,438 |
|
Geetabala Parulekar |
59,596 |
4,854 |
144,998 |
209,448 |
|
Agrawal Minerals(Goa) |
88,618 |
38,297 |
65,957 |
192,872 |
|
Soctimblo Irmaos A (Pti) |
114,819 |
– |
50,083 |
164,902 |
|
Bandekar Brothers |
119,465 |
34,821 |
– |
154,286 |
|
Chowgule & Company |
22,286 |
60,165 |
52,138 |
134,589 |
|
Rajaram Bandekar (Sirigao) |
95,500 |
20,000 |
– |
115,500 |
|
Others |
415,710 |
82,723 |
300,683 |
799,116 |
|
Total |
1,367,157 |
883,079 |
776,962 |
3,027,198 |
Qty in MT
Source: SteelMint Research
In Nov’13, the Supreme Court had allowed to sale 15 MnT of Iron ore stockpile, which was mined before the enforcement of ban. The raw material is laying at various sites in the state that’s 10.8 MnT at mines, 4 MnT at jetty and about 0.2 MnT at various ports. 9.9 MnT of ore is still to be offered for sale.
India was ranked as the world’s 3rd largest Iron ore exporter before the imposition of mining bans in Goa. The country had exported 14.4 MnT Iron ore in FY14.It is anticipated that the exports will further decline to nearly 12 MnT this fiscal.
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