SCCL Coal Auction received a dull response as only half of the total quantity being offered was sold.
The Singareni Collieries Company Limited (SCCL) is a Government coal mining company jointly owned by the Government of Telangana and Government of India on a 51:49 equity basis.
SCCL is operating 30 underground mines and 17 opencast mines to meet the linkage requirements of the major power (66%), Cement (13.5%), Captive Power (6.6%), Sponge Iron (3.1%) and other customers (10.8%). Apart from supplying coal through coal linkages, the company also conducts E-Auction for sales of coal every month.
Analysis of E-Auction Held in Mar’17:
In the recently concluded Auction held on 28 Mar’17, SCCL had offered sales of 139400 MT coal for sale. Out of which 59400 MT coal was offered through Road Mode and the remaining 80000 MT coal was through Rail mode.
The E- auction turns out to be a flop show as only 51% of the total offered quantity was sold. SCCL had offered coal of different grades from 13 sources, however only 7 sources get buyers who took 71001 MT coal, the remaining 5 coal mines didn’t get any buyers at all.
Moreover, sales of about 69% coal (48955 MT) of the total sold quantity were at base price. Only 28% of the total sold quantities received bids in the range of INR 200-680 higher than the base price.
| Source | Grade | Reserve Price | Quantity Offered | Quantity Sold | % Sold |
| Mode: ROAD | |||||
| Manuguru | G7-CRR | 2930 | 8000 | 8000 | 100% |
| Srirampur | G7-RND | 3290 | 5000 | 5000 | 100% |
| Mandamarri | G7-RND | 3290 | 6700 | 6700 | 100% |
| Godavari Khani | G8-ROM | 2840 | 2000 | 1275 | 64% |
| Srirampur | G8-ROM | 2840 | 3700 | – | – |
| Godavari Khani | G8-CRR | 2910 | 4000 | 2771 | 69% |
| Godavari Khani | G8-CRR | 2910 | 2000 | – | – |
| Bellampalli | G10-CRR | 2410 | 8000 | – | – |
| Godavari Khani | G11-CRR | 1970 | 3000 | 255 | 9% |
| Bellampalli | G13-ROM | 1180 | 7000 | 7000 | 100% |
| Manuguru | G13-CRR | 1240 | 10000 | – | – |
| Mode: RAIL 20 Rakes being offered( 1Rake= 4000 MT) | |||||
| Mandamarri | G11-CRR | 1970 | 40000 | – | – |
| Godavari Khani | G13-CRR | 1240 | 40000 | 40000 | 100% |
| Total | 139400 | 71001 | 51% | ||
Source: SCCL E-Auction Executive Summary Report
Quantities in MT
Prices in INR/MT
Major Coal Receivers Sector-wise:
The majority of the coal was received by Cement sector, followed by buyers from Chemical Industry and Coal Traders.
Cement Sector purchased 44654 MT coal, thus receiving 63% share of the total sold quantity.
Source: SCCL E-Auction Executive Summary Report
Quantities in MT
Major Coal Receiving Companies:
Orient Cement received the highest amount of coal in the E-Auction. The company purchased all the 10 rakes (1 Rake= 4000 MT) being offered from Godavari Khani through the Rail mode and received 40000 MT at the base price of INR 1240/MT.
Ultratech Cement, Navbharat Energy, Covalent Laboratories were the other major receivers in the auction.
| Receiver Name | Reserve Price | Bid Price | Quantity |
| Orient Cement | 40000 | ||
| Godavari Khani | |||
| G13-CRR | 1240 | 1240 | 40000 |
| Ultratech Cement | 4654 | ||
| Bellampalli | |||
| G13-ROM | 1180 | 1180 | 4654 |
| Navbharat Energy India | 2040 | ||
| Manuguru | |||
| G7-CRR | 2930 | 3350 | 2040 |
| Covalent Laboratories | 1972 | ||
| Manuguru | |||
| G7-CRR | 2930 | 3350 | 1972 |
| Virchow Petro Chemical | 1020 | ||
| Manuguru | |||
| G7-CRR | 2930 | 3350 | 1020 |
| RHI Clasil | 1020 | ||
| Mandamarri | |||
| G7-RND | 3290 | 3930 | 510 |
| Srirampur | |||
| G7-RND | 3290 | 3510 | 510 |
| Others | 20295 | ||
| Total | 71001 |
Source: SCCL E-Auction Executive Summary Report
Quantities in MT
Prices in INR/MT
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