Orissa Mining Corporation (OMC) has received higher bids for 2nd quarter by INR 200-900/MT.
Odisha Mining Corporation, a state-owned miner which had floated a tender for sale of 31,100 MT Iron ore lumps (10-40 mm) for Q2 FY15 from different mines based in Barbil, Daitari, Gandhamardhan, has received higher bids in line with rising Iron ore prices by other private miners in Odisha.
The Supreme Court on 16 May, 2014 had ordered to suspend operations of mines running under second deemed renewal in Odisha, however later allowed 8 mines (Tata, SAIL & OMC) to resume operations. Other private miners had raised their offers by INR 500/MT last month itself.
OMC produced around 2 MnT of Iron ore in FY14 against the annual target of 5.5 MnT. 90% ore is reserved for state based mills. Another 10% is being tendered, which is open for both state and outside states’ mills on quarterly basis and is used as a benchmark for setting prices.
OMC Iron Ore Bids received for 2nd Quarter
|
Mines |
Size (mm) |
Fe% |
Qty Tendered |
Bids Received |
Bidder |
Apr-Jun’14 |
Jan-Mar’14 |
Oct-Dec’13 |
|
Barbil |
10-40 |
62 |
5,000 |
4,595 |
Llyod |
3,701 |
3,701 |
3,701 |
|
Gandhamardan |
10-40 |
62 |
10,000 |
4,059 |
Llyod |
3,531 |
3,531 |
3,303 |
|
Gandhamardan |
10-180 |
65 |
5,000 |
3,505 |
Nakoda |
3,355 |
3,355 |
3,710 |
|
Gandhamardhan |
10-40 |
62 |
3,000 |
– |
No Bids |
3,303 |
– |
– |
|
Koira |
10-40 |
62 |
– |
– |
– |
4,250 |
4,855 |
4,501 |
|
Koira |
5-18 |
65 |
– |
– |
– |
4,053 |
– |
– |
|
Daitari* |
10-40 |
62 |
8,100 |
3,526 |
Viraja |
3,501 |
3,303 |
3,501 |
Prices in INR/MT including royalty; Qty in MT
*FOR Railway Siding; Bid received for Jul-Sep’14
Industry participants mentioned that bids have moved up owing to low quantity of Iron ore tendered. They also stated that certainly there is crisis of Iron ore lumps in the market, but ample availability of Pellets in merchant market has compensated the short supply of lumps.
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