India: BPSL iron ore sourcing plunges 58% in Jul'21

Bhushan Power and Steel Limited (BPSL), an integrated steel maker with a capacity of 3.5 million tonnes per annum (mntpa), has recorded iron ore sourcing at 185,722 tonnes (t) in Jul'21. The sourcing witnessed a major fall of 58% m-o-m against 442,757 t in Jun'21.

• JSW Steel remained the largest supplier of iron ore to BPSL at 173,787 t in Jul'21, against 416,949 t in Jun'21.
  
  
• Sourcing from OMC dropped to 11,934 t for the month against 25,808 t in Jun'21.
  
  

Bhushan Power and Steel Iron Ore sourcing in Jul'21 & Jun'21

Quantity in t
Source: SteelMint
Provisional data
Figures include JSW Steel iron ore sourcing

Key highlights

• Bhushan Power and Steel's (BPSL's) exports over Jan-Jul'21 catapulted by 269% to 0.48 million tonnes (mn t) compared to 0.13 mn t seen in the same seven months in CY'20.
  
  

SteelMint notes that BPSL's exports increased sharply after its official takeover by JSW Steel in March this year. The official takeover announcement was made in Mar'21. It may be mentioned that JSW Steel had acquired BPSL under the provisions of the Insolvency Bankruptcy Code (IBC), 2016, at an investment of around INR 19,700 crore.

• The bid to acquire BPSL had hit a stalemate as the Enforcement Directorate (ED) had moved the apex court earlier against the National Company Law Appellate Tribunal (NCLAT) order to lift the attachment order against BPSL's properties.