Odisha Mining Corporation (OMC), a state-owned miner conducted e-auction yesterday (on 7 Nov’17) for 490,000 MT iron ore fines. The material put under hammer is from Gandhamardan, Daitari and Koira mines.
The miner had kept iron ore fines base prices unchanged for the material offered from Gandhamardan and Koira mines. However base prices for material offered from Daitari mines has increased by INR 100/MT.
According to market sources report to SteelMint, the e-auction fetched good response with nearly 61% of the offered quantity getting sold. Bids fetched in the e-auction remained flat and close to base price.
Market participants mentioned that entire quantity offered from Daitari mines was sold out of which nearly 80,000 MT was booked by Vizag Steel (RINL). Out of 300,000 MT iron ore fines offered from Koira mines, nearly 50% was sold. 90,000 MT iron ore fines was put up under auction from OMC’s Gandhamardhan mines out of which 50,000 MT was allotted.
It seems, owing to fallen iron ore supplies after disruption in railway line connecting NMDC (C.G.) & Andhra Pradesh, the steel maker has switched towards OMC e-auctions.
Base price comparison of OMC iron ore e-auctions
|
Mines |
Size | Fe (%) | Base Price | Base Price | Base Price | Change | Change | Quantity |
| (mm) | as on 05 Jul’17 | as on 07 Sept’17 | as on 07 Nov’17 | (in INR/MT) | (in %) |
(MT) |
||
| Gandhamardan | -10 | 60-62 | 800 | 800 | 800 | = | = | 90,000 |
| Kurmitar (Koira) | -10 | 62-60 | 800 | 800 | 800 | = | = | 300,000 |
| Daitari | -10 | 64-62 | 1,600 | 1,500 | 1,600 | +100 | +7% | 100,000 |
| Total | 490,000 | |||||||
Base prices in INR/MT on ex-mines basis; including royalty
Source: SteelMint Research
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