As per data tracked by SteelMint, total 2.40 MnT iron ore was allotted from the Karnataka e-auctions held in Dec’15 against 2.38 MnT in Nov’15. Both, NMDC and private miners have offered their material in the auctions.
NMDC sold 1.25 MnT (740,000 MT fines & 512,000 MT lump) and private miners sold 1.14 MnT ( fines 800,000 MT & lumps 349,818 MT). Out of the total quantity sold by NMDC i.e. 1.25 MnT, NMDC’s Donimalai sold 728,000 MT and Kumarswamy sold 524,000 MTof iron ore.
Majority of lots received flat bids in Dec’15
NMDC: Bids received were flat for NMDC’s lump. Base and bid prices for lump (Fe 62.4) offered by NMDC were in the range of INR 1,464-1,484/MT. Similarly, base and bid prices for fines (Fe 60.5) stood at INR 1,110/MT. If we talk about pricing difference, NMDC sold Fe 62.2 grade material by around INR 500/MT cheaper than in the month of Nov’15.
In Nov’15, base and bid prices for lump (Fe 62.2) offered by NMDC stood at INR 1,975/MT. Similarly, base and bid prices for fines (Fe 60.3) were in the range of INR 1,037-1,035/MT.
Private miners: In Dec’15, base and bid prices for lump (Fe 61.1.4) were INR 1,160-1,210/MT. And, base and bid prices for fines (Fe 59.4) stood at around INR 782/MT.
However in Nov’15, base and bid prices for lump (Fe 60.4) were in the range of INR 1,684-1,700/MT. Base and bid prices for fines (Fe 59.7) were INR 865-873/MT.
Note: Prices mentioned above are basic excluding 15% royalty and 12% forest development tax.
Supplier-wise allotted quantity in Dec’15
| Supplier | Fines | Lump | Grand Total |
| NMDC | 740,000 | 512,000 | 1,252,000 |
| Private Miners | 800,000 | 349,818 | 1,149,818 |
| Grand Total | 1,540,000 | 861,818 | 2,401,818 |
Quantity in MT
Source: Karnataka DMG
JSW Steel procured 1.70 MnT (1.34 MnT fines and 452,000 MT lump) from Karnataka’s e-auctions conducted in the month of Dec’15. The company procured 828,000 MT iron from NMDC ( 380,000 MT from Kumarswamy and 616,000 MT from Donimalai mines) and 700,000 MT iron ore (only fines) from private miners.
At the same time, the company also sourced imported high grade iron ore concentrate from Brazil as well as procured 50,000 MT (Fe 64%) iron ore fines from Goa e-auctions. This could be the reason for lesser procurement of iron ore from Karnataka e-auctions in Dec’15.
Bidder-wise allotted quantity in Dec’15
| Company | Fines | Lump | Grand Total |
| JSW Steel | 1,348,000 | 348,000 | 1,696,000 |
| Gerdau Steel India | 52,000 | 8,000 | 60,000 |
| Kalyani Steels | 12,000 | 28,000 | 40,000 |
| Srikalahasthi Pipes | 20,000 | 20,000 | 40,000 |
| Others | 108,000 | 457,818 | 565,818 |
| Grand Total | 1,540,000 | 861,818 | 2,401,818 |
Quantity in MT
Source: Karnataka DMG
Note: Grade & prices mentioned above are weighted average.
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