Odisha: Merchant miners in Odisha did not revise iron ore prices in 1st half of Jul’16. Towards the end of Jun’16 major miners had cut prices by upto INR 150/MT. However towards 2nd half of the month, looking at declining sponge prices market sources expect that iron ore prices may come down. Also Odisha HC has directed state govt. to allow JSPL lift its Sarda mines stock within 4 weeks which is likely to further pressurize prices.
Odisha iron ore prices
|
Miner |
Size (mm) | Grade (Fe%) |
Prices in INR/MT |
| Rungta Mines (Joda)* | 5-18 | 62 | 2,650 |
| 10-30 | 62 | 2,500 | |
| Fines | 63 | 1,550 | |
| Serajuddin Mines | 5-18 | 63 | 2,000 |
| Fines | 63 | 1,100 | |
| Essel Mining (Koira) | 5-18 | 62 | 2,025 |
| 10-30 | 61 | 1,050 | |
| Fines | 63 | 1,175 | |
| KJS Ahluwalia | 5-18 | 63 | 2,225 |
| 10-30 | 61 | 2,000 | |
| Fines | 63 | 1,100 | |
| Kaypee Enterprises | 5-18 | 63 | 2,150 |
| 10-30 | 62 | 2,000 | |
| Fines | 63 | 1,150 | |
| Indrani Patnaik | 5-18 | 63 | 2,000 |
| 10-30 | 62 | 1,950 | |
| Fines | 62 | 1,200 |
Ex-mines prices in INR/MT
*Prices as per loaded to wagons & inclusive of Royalty, DMF & NMET
Source: SteelMint Research
Trade-wise:
KN Ram mines prices are as follows: 5-18 mm (Fe 63%)-INR 2,300/MT and fines (Fe 63%) – INR 1,400/MT (Prices in INR/MT are loaded to wagons & including Royalty and DMF)
Royalty on fines reduces in latest IBM price circular – In the recently published circular of average sale price of iron ore, IBM has reduced royalty on fines. Royalty on fines (Fe 62% to below Fe 65%) has fallen from INR 177/MT to INR 169.8/MT. Royalty of low grade fines (Fe 55-below 58%) has reduced from INR 120.8/MT to INR 89.3/MT. In case of lump, IBM has reduced royalty on few grades while increased on other grades. Royalty on lump (Fe 62% to below 65%) has reduced from INR 307/MT to INR 295.7/MT.
Chhattisgarh: NMDC reduced iron ore lump and ROM prices for Jul’16 deliveries. However fines prices continue to remain unchanged.
NMDC Iron Ore Prices for Jul’16
|
Size |
Grade (Fe %) | Prices in INR/MT |
M-o-M |
| 10-40 mm, DR CLO | 67 | 1,960 | -110 |
| Baila lump , 6-40 mm | 65 | 1,700 | -100 |
| ROM, 10-150 mm | 65 | 1,530 | -90 |
| Blue Dust/ Fines | 64 | 1,460 | 0 |
Prices w.e.f 03 Jul’16 in INR/MT
Royalty@15%, DMF, NMET & other taxes extra
Source: SteelMint Research
Goa: Owing to monsoon season, no iron ore e-auction was conducted last month. Directorate of Mines & Geology (Govt. of Goa) issued a notification on 27 Jun’16 to stop iron ore transportation through roads with onset of monsoons keeping in view the safety of public using the road network.
Karnataka: Base prices in Karnataka e-auctions remained stable in Jul’16.
NMDC- Base prices of lump (Fe 62.5%) offered by NMDC Donimalai mines stood at INR 1,953/MT and fines (Fe 60.2%) at INR 1,650/MT. Base prices for NMDC Kumaraswamy mines are currently as follows: fines (Fe 59.3%) stood at INR 1,373/MT and for lump (Fe 63.8%) stood at INR 1,864/MT.
Private miners- Base & bid prices of Sesa Sterlite’s lump (Fe 61%) stood at INR 1,575/MT (basic). Base prices of lump offered by SMIORE went up by INR 100/MT M-o-M. For instance base price of lump (Fe 59.5%) offered by SMIORE was INR 1,800/MT in Jun’16 which increased to INR 1,900/MT in Jul’16.
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