The state run Odisha Mining Corporation (OMC) has put 111,200 MT Iron ore for the re-auctioning through MSTC. It failed to generate a proper response in last e-auction conducted on 20th Feb’15.
The e-auction will be conducted on 27th Feb’15 for 111,200 MT Iron ore (8,200 MT lump &103,000 MT fines) from Barbil and Gandhamardhan mines. Company has cut base prices by 27% for this auction.
Base Price Comparison in Iron Ore E-auctions
| Product | Region | Size (mm) | Grade (Fe %) | Base Price (20Feb’15) |
Base Price (27 Feb’15) |
% Change |
Current Quantity Offered (MT) |
| Iron ore lump | Barbil | 10-40 | 62 | 3,237 | 3,237 | 0 | 8,200 |
| Iron ore fines | Barbil | (-) 10 | 60-62 | 2,057 | 1,500 | -27% | 13,000 |
| Iron ore fines | Gandamardhan | (-) 10 | 60-62 | 2,023 | 1520 | -24% | 90,000 |
| Total | 112,000 | ||||||
Base price in INR/MT on ex-mines basis; inclusive of royalty
Source: SteelMint Research
Previous Iron ore E-auction of 257,000 MT on 20 Feb’15
In the last e-auction of 257,000 MT Iron ore (99,000 MT lumps & 158,000 MT fines), the company managed to sell mere 13% (32,000 MT) of the total. Reasons behind such poor response were mainly logistic issues & cheaper ore availability from private miners.
Provisional Result of Iron Ore E-auction conducted on 20 Feb’15
| Iron ore lump | |||||||
| Region | Grade | Size (mm) | Base Price (20 Feb’15) |
Base Price (27 Jan’15) |
% Change | Remarks | Quantity (MT) |
| Barbil | Fe +62% | 10-40 | 3,237 | 4,379 | -26% | No Bids | 6,000 |
| Daitari | Fe +62% | 10-40 | 3,237 | 3,808 | -15% | 10,000 MT: VISA 10,000 MT: Aarti 4,000 MT: Shyam 3,000 MT: KJ Ispat 38,000 MT: No Bids |
65,000 |
| Gandhamardhan | Fe +62% | 10-40 | 3,318 | 3,903 | -15% | 5,000 MT: Bhaskar 20,000 MT:No Bids |
25,000 |
| Gandhamardhan | Fe +65% | 10-180 | 2,955 | 3,427 | -14% | No Bids | 3,000 |
| Total | 99,000 | ||||||
| Iron ore fines | |||||||
| Barbil | Fe 60-62% | (-) 10 | 2,057 | 2,571 | -20% | No Bids | 13,000 |
| Daitari | Fe 62-64% | (-) 10 | 2,427 | 2,856 | -15% | No Bids | 33,000 |
| Daitari | Fe 60-62% | (-) 10 | 2,261 | 2,666 | -15% | No Bids | 17,000 |
| Gandhamardhan | Fe 60-62% | (-) 10 | 2,023 | 2,380 | -15% | No Bids | 90,000 |
| Gandhamardhan | Fe 54-60% | (-) 10 | 1,333 | 1,333 | 0 | No Bids | 5,000 |
| Total | 158,000 | ||||||
Prices in INR/MT
* Provisional data as per participants and market sources
*Previous Base price of Iron ore auction conducted on 27 Jan’15
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