India: NMDC’s Kumaraswamy auction sees strong premiums for high-grade ore

• 368,000 t of fines, 124,000 t of lumps booked at auction
• Tight availability drives aggressive bidding for higher grades

NMDC’s Kumaraswamy auction on date in Karnataka witnessed strong bidding, with around 492,000 tonnes (t) of iron ore booked across fines and lumps. Around 368,000 t of fines with Fe 56.57-62.36% were booked at INR 2,752-4,883/t ($29-51/t), with premiums of INR 20-860/t ($0.2-9/t) over base prices of INR 2,752-4,023/t ($29-42/t). The higher premiums indicate firm buying interest, particularly for higher-grade material.

Around 124,000 t of 10-40 mm lumps with Fe 60.84-62.24% were booked at INR 4,311-5,628/t ($45-59/t), attracting premiums of INR 20-980/t ($0.2-10/t) over base prices of INR 4,281-4,648/t ($45-49/t), ex-mines and excluding royalty, DMF and NMET. The aggressive bidding was more pronounced for selected high-grade lots, reflecting buyers’ preference for better-quality ore amid relatively tight availability.

Overall, the auction outcome highlights continued grade-specific demand in Karnataka, with higher-grade Kumaraswamy material commanding significant premiums over base prices.