Karnataka Iron Ore E-auction Sales Down 39% in Jan’18

Monthly iron ore sales volumes in Karnataka e-auctions has registered a decrease of 39% M-o-M in Jan’18. Total iron ore allotted quantity stood at to 2.06 MnT in Jan’18 compared to 3.37 MnT in Dec’17.

NMDC iron ore sales decreased by 27% in Jan’18- NMDC’s iron ore sales decreased by 27% M-o-M to 0.92 MnT in Jan’18 compared to 1.27 MnT in Dec’17. NMDC Kumarswamy recorded a decrease in its sales volume by 33% to 0.48 MnT in Jan’18 compared to 0.71 MnT in Dec’17 while sales from NMDC Donimalai mines decreased by 19% to 0.45 MnT in Jan’18 compared to 0.55 MnT in Dec’17.

JSW Steel iron ore sourcing from Karnataka down 46% -JSW Steel’s iron ore purchases from Karnataka e-auctions stood at 1.27 MnT in Jan’18 significantly decreased by 46% M-o-M compared to 2.36 MnT in Dec’17. Out of 1.27 MnT, NMDC supplied 0.74 MnT iron ore via e-auction in Jan’18, a down of 27% as against 1.01 MnT in Dec’17.

Buyer-wise allotted quantity in Jan’18 E-auctions-:

Qty in MT
Source: Karnataka DMG

Major highlights of Jan’18 Karnataka iron ore e-auctions:

1. NMDC had increased iron ore base prices up to INR 200-300/MT for Jan’18  e-auctions. For NMDC Kumaraswamy mines base prices were- fines (Fe 63%) – INR 3,282/MT and lump (Fe 64%) – INR 3,603/MT. For Jan’18 base prices for NMDC Donimalai fines (Fe 60.2%) has been increased to INR 2,851/MT and lump (Fe 62.5%) – INR 3,355/MT.
2.  Gujarat based steel maker – Electrotherm continued its participation in E-auction in Jan’18 also and purchased 4,000 MT Fe 65% grade lumps at INR 3,880/MT (basic).
3. Narayan Mines Private Limited supplied 0.13 MnT iron ore in Jan’18, about 80% of total iron ore purchased by JSW.
4. Vedanta procured 12,000 MT Fe 64% and 64.5% grade lumps from private miners at the bid price of INR 4,290-4,370/MT (basic).