SAIL Tenders for Import of 500,000 MT Coking Coal

SAIL intends to import freshly mined prime quality coking coal for a period of 7 months starting Sept’15

Steel Authority of India Limited, the largest Indian steel producer, issued a global tender in order to import 500,000 MT hard coking coal. The material would be freshly mined prime quality washed/unwashed coal. The material is needed for a period of 7 months starting Sept’15 to Mar’16. The first shipment would be done during Sept-Oct’15. Last date of submission of bids will be 22 July’15 at 12:00 hrs.

Technical Specification 

SAIL’s Hot Metal Production in FY15

SAIL, being the largest hot metal producer, produced nearly 15.4 MnT pa hot metal in FY15 which was 14.5 MnT pa in FY14. Majority of coal requirement is fulfilled by imports under long term agreements or quarterly contracts with overseas suppliers. Almost 90% of the total imports are sourced from Australia.

SAIL- Largest Coking Coal Importer

In FY15, Indian coking coal & met coke imports stood at 49.6 MnT. SAIL imported about 15.8 MnT coking coal & met coke in FY 15 in order to meet the operational requirement of hot metal production (nearly 15 MnT pa). It is the largest contributor in Indian imports. There is 12% rise in coking coal imports as compared to FY14 which was 11.2 MnT. The company had also added few new coke oven plants last fiscal, which might be considered as a major reason for increase in coking coal imports.

SAIL’s Coking Coal & Met Coke Imports

Qty in MnT
Source: SteelMint Research