Indian Oil Corporation Ltd. (IOC), the country’s second-largest producer of petroleum coke, has conducted online auctions of RPC (Raw Petroleum Coke) from its various refineries on 22nd and 23rd Jun’20 for intrastate consumers.
Details of the auctions are enumerated as follows:
| Refinery | Quantity Offered Within State (t) | Quantity Sold (t) | Reserve Price (INT/t) | Highest Bid (INR/t) | Quantity Offered Outside State (t) |
| Barauni (Gr.A) | 7,340 | 1,130 | 13,970 | 13,970 | 6,210 |
| Bongaigaon (Gr.A) | 19,940 | 2,000 | 13,700 | 13,700 | 17,940 |
| Guwahati (Gr.A) | 9 | 9,000 | 13,610 | 13,640 | 0 |
| Digboi (G.rA) | 8,500 | 450 | 13,250 | 13,250 | 8,050 |
| Koyali (Gr.A) | 22,920 | 0 | 12,840 | 22,920 | |
| TOTAL | 67,700 | 12,580 | 55,120 |
The delivery period for Within State and Outside State e-auctions are for 45 days from 24th Jun’20 to 7th Aug’20.
Mixed responses were received from calciners in these auctions. While the entire stock at Guwahati was sold out, no bid was received at Koyali. At Barauni, Bongaigaon and Digboi only a moderate quantity of 1130 t, 2000 t and 450 t were sold out respectively.
The auctions for Outside State consumers have been announced for the left-over quantity from 24th to 26th Jun’20. The delivery period is for 45 days for Outside State consumers from 27th Jun’20 to 10th Aug’20. Eligible bidders are required to submit their earnest money deposit (EMD) amounts to MSTC as per terms of the auction.
Market participants indicated that the responses were linked to different factors like demand from various calciners based on the order, inventory of finished product CPC on hand and lower demand by aluminium industries due to lower production level amid the Covid-19 pandemic.
Apart from this, they also indicated that the reserve price at Koyali was at higher level as compared to the previous auctions on comparative basis amongst various refineries.
As the left-over quantity being offered for the auction for Outside State consumers is quite large, as mentioned above, we will have to wait for the response from major consumers like RAIN CII, Sanvira industries etc. in the auction.
Reported by Aditya Sinha
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