KJS Ahluwalia Mines Further Increases Lump Prices by INR 250/MT

Odisha based KJS Ahluwalia mines has further raised lump prices by INR 250/MT w.e.f 01 Oct’16. This for the third time in succession that the miner has raised prices.

Since beginning of Sept’16,  KJS Ahluwalia has raised lump prices by around INR 600/MT and fines prices by INR 100/MT. It is expected that the miner may revise fines prices in the next week.

KJS Ahluwalia (Nuagaon mines) has EC limit of 5.62 MnT pa and Kaypee Enterprises has EC limit of 5.5 MnT pa.

Reasons behind sharp increase in Odisha iron ore prices – Iron ore prices in Odisha are gaining momentum owing to following reasons.

1. Sharp hike in sponge iron prices – C-DRI prices in Rourkela have moved up by INR 1,500/MT M-o-M and are currently seen hovering at INR 13,500/MT (ex-works) for 80 FeM

2. Better response in OMC’s recent e-auction – OMC’s e-auction held on 28 Sept’16 received very good response as nearly 90% of the offered quantity was sold and the bids received were higher by upto 33% than base price.

KJS Ahluwalia and Kaypee iron ore prices w.e.f 01 Oct’16

Ex-mines prices & inclusive of Royalty, DMF and NMET
Source: SteelMint Research