India: Essel Mining lifts iron ore prices on tight Odisha supplies

Essel Mining - a major Odisha-based merchant miner - has increased its iron ore fines and lump list price by INR 200-400/t each w.e.f today (01st Aug'20) as supplies tighten in Odisha.

Essel had increased its offer prices by around INR 550-700/t for both lump and fines in the last 10 days.

Current offers from Koira mines are at INR 2,225/t for Fe 62% fines. Iron ore lump (5-18 mm, Fe 62%) offers were at around INR 4,100/t.

Offers for Kasia mine's Fe 62% fines was at INR 2,300/t while Fe 63% fines was offered at INR 2,500/t. Iron ore lump (5-18 mm, Fe 62%) offer is at around INR 4,050/t. All offers are on an ex-mines basis and include statutory payments for royalty, DMF & NMET.

Earlier Odisha-based miner had increased iron ore offers for lump and fines by INR 300-350/t on 23 July.

Yesterday, the Odisha Mining Corporation (OMC) sold 600,000t lump at upto INR 500/t above the set base price at its e-auction. Bid prices rose amid tight availability of ore in Odisha owing to monsoons and also with the majority of auctioned mines yet to resume production.

Rungta Mines has also hiked offers for 63% fines by INR 300/t to INR 2,600 - 2,650/t (ex-mines), said market participants, though Rungta did not confirm the price increases.