- NMDC seeks long-term pellet customers
- Domestic, overseas buyers eligible for LTAs
NMDC Limited has invited Expressions of Interest (EOI) from domestic and international buyers for long-term procurement of iron ore pellets from its Donimalai pellet plant in Karnataka, according to a company notice dated 16 May 2026.
As per notice published by seller, the move is aimed at enlisting long-term customers through supply agreements for pellets produced at its Donimalai facility.
The company has invited participation from end-user plants including integrated steel plants, mini steel plants, sponge iron units as well as traders for entering into Long-Term Agreements (LTAs) for pellet procurement.
The development comes amid rising pellet production and capacity additions across India. Karnataka’s pellet output increased to 20 million tonnes (mnt) in FY’26 (provisional), compared to 18 mnt in FY’25, supported by stable operations at major pellet plants including Donimalai.
Currently, the pellet producer is offering Fe 63% pellet via e-auction to the merchant buyers. The 1.2 mnt pa pellet plant is located in Donimalai Complex at Bellary District in Karnataka.
Meanwhile, India’s pellet production rose by around 10% y-o-y to 120 mnt in FY’26 against 109 mnt in FY’25. BigMint data show that the country’s iron ore pellet production capacity increased to around 165 mnt in FY’25, compared with 140 mnt in FY’24, reflecting continued capacity additions amid growing domestic steel demand.
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