The company has reduced base prices for lumps upto 31% and fines upto 24% for the re-auction.
Odisha Mining Corporation (OMC) has put forward a re-auction for 389,000 MT iron ore (266,000 MT lumps & 123,000 MT fines) to be held on 30 Nov’15. The material has been offered from Barbil, Koira and Daitari mines.
Earlier, the company had conducted an e-auction of 779,000 MT iron ore on 09 Nov’15. The company received weak response as only 220,000 MT could have sold. For the last e-auction conducted on 9 Nov’15, the company had cut prices for some grades and has kept others unchanged against last e-auctions.
In the current round, the company had cut base prices for all the grades being offered in the upcoming e-auction. Reduction of 31% in base price of lumps and upto 22% in base prices of fines offered by Barbil mines had been done against previous e-auctions.
In addition, base price for material offered from Koira mines had been reduced by 13% for fines and 8% for lumps. Also, for material offered by Daitari mines, base prices for lumps had been reduced by 18% and fines by 7% respectively.
Base Price Comparisons of OMC Iron ore E-auctions
| Mines | Size (mm) | Fe (%) | Base Price on 30 Nov’15 |
Base Price on 09 Nov’15 |
Change (%) | Quantity Offered (MT) |
| Barpada Kasia (Barbil) | 10-40 | 62 | 1,600 | 2,310 | 31% | 16,000 |
| -10 | 62-60 | 1,000 | 1,310 | 24% | 13,000 | |
| Kurmitar (Koira) | 10-40 | 62 | 1,850 | 2,010 | 8% | 150,000 |
| -10 | 62-60 | 1,000 | 1,150 | 13% | 50,000 | |
| Daitari | 10-40 | 62 | 1,800 | 2,200 | 18% | 100,000 |
| -10 | 64-62 | 1,400 | 1,500 | 7% | 60,000 | |
| Total |
389,000 |
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Quantity in MT
Base prices in INR/MT on ex-mines basis; inclusive of royalty
Source: SteelMint Research
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