India: OMC Chrome Ore Auction Witnessed Healthy Response; Entire Quantity Sold

OMC witnessed a positive response in the May round of Chrome Ore auction as the entire offered quantity received bids at an average of 15% above the base price.

State-owned, Odisha Mining Corporation (OMC) recently conducted the e-auction, offering a total of 32,500 MT chrome ore and concentrates. Out of which 31,700 MT are friable ore, and 800 MT is concentrate.

The company has offered a total quantity of 24,800 MT from South Kalapani chromite mines, 6,900 MT from Sukrangi Chromite Mines, and 800 MT from COBP Kaliapani.

For this round of auction, OMC raised the base price for chrome ore by an average of INR 807/MT against the previous month, owing to firm Ferro Chrome prices on rising demand from China. Moreover, China has witnessed some production cut due to environment inspection coupled with low stainless-steel realization prices earlier, which although has now improved.

The bid received for the friable ores are at a weighted average price of INR 14,441/MT for +54% grade, INR 13,535/MT for 52-54% grade, INR 11,757/MT for 48-50% grade, INR 10,850/MT for 46-48% grade, INR 9,604/MT for 44-46% grade and INR 7,673/MT for 42-44%.

Also, the bid received for the Chrome Conc. are at INR 10,360/MT for 46-48% grade and INR 5,500/MT for 38-40% grade.