India: NMDC Iron Ore Production Cross 30 MnT Mark in FY19 Despite Suspension at Donimalai Mines
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NMDC produced 32.47 MnT iron ore in FY19 against 35.58 MnT in previous fiscal.
NMDC - India's largest iron ore mine production in FY19 was recorded at 32.47 MnT despite multiple challenges like closure at Donimalai mines for 5 months, nil exports till Aug'18, highest rainfall in Bailadila sector and poor off take in Karnataka sector for first quarter. For FY18 the production and sales was marked at 35.58 MnT and 36.07 MnT respectively.
Iron ore sales during fiscal year FY'19 stood at 32.39 MnT for FY19. This is the third consecutive year in a row the company has crossed production and sales 30 MnT mark.
Towards the beginning of Nov'18, lease validity of NMDC's Donimalai iron ore mines in Karnataka ended following which operations at these mines were put to halt. However, Donimalai iron ore mines lease has been extended by the Cabinet of Karnataka Govt. w.e.f 04.11.2018 for the 20 years. NMDC Donimalai case was heard by the Karnataka High Court and it reserved the judgement till next hearing. Hence, amid reserved Judgement by High Court continued to remain iron ore production temporarily suspended.
The miner achieved highest monthly dispatch at 3.8 MnT in Mar'19 against previous best at 3.7 MnT in Jan'17. Also, the miner achieved highest ever single day production at 0.19 MnT on Mar 31st against the previous best 0.163 MnT on Mar 28.
NMDC FY'19 v/s FY'18 Production and Sales
| NMDC | Production | Sales | ||
| FY'19 | FY'18 | FY'19 | FY'18 | |
| Chhattisgarh | 23.39 | 23.57 | 23.36 | 23.16 |
| Karnataka | 9.08 | 12.01 | 9.03 | 12.91 |
| Total | 32.47 | 35.58 | 32.39 | 36.07 |
Qty in MnT
Source: SteelMint Research & Company Reports
