Since lock-down, limited buying was seen in Odisha iron ore market as mills had either suspended or curtailed operations. Also, the majority of them are holding inventories with them, resulting in limited fresh bookings. According to the recent reports received to SteelMint, few trades of fines have been concluded recently.
One of the major steelmakers has concluded around 150,000 MT iron ore fines (Fe 62/61%) from Odisha miners at INR 1,600-1,700/MT (ex-mines, including Royalty, DMF, & NMET) recently. Last week, a renowned trader from Odisha also booked Fe 62% iron ore fines from the same mines at a similar level mentioned above.
However, SteelMint’s Odisha iron ore fines (Fe 63%) assessment stands at INR 1,800-1,900/MT (ex-mines, including Royalty, DMF & NMET) stable against last assessment.
Odisha iron ore lumps 5-18 mm (Fe 63%) is around INR 3,600-3,800/MT (ex-mines, including Royalty, DMF & NMET).
Few major miners such as Serajuddin and Rungta mines (Jajang) whose leases expired by 31 Mar’20 have halted their production. Odisha iron ore production recorded at 15.31 MnT in Feb’19 up 9%, as against 14.05 MnT in Jan’20, according to the provisional data of Odisha Govt. maintained by SteelMint. The figures include the type of material – fines, lump, and concentrate.
Sarda mines recorded production at 2.37 MnT for the month of Feb’20. Supreme Court as on 30th Jan 2020 allowed Sarda mines to resume operations. Apex court allowed on the condition to pay dues towards environmental compensation to Odisha Govt. by 29 Feb’20. The Honorable court also made it clear that JSPL can transport iron ore lying at Sarda mines only after Sarda pays INR 933 crore towards compensation for the environment.
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