India: NMDC Lowers Base Price in Karnataka Iron Ore E-auctions

Following price cut in Chhattisgarh mines, India's largest iron ore miner - National Mineral Development Corporation (NMDC) has lowered prices in Karnataka too. The miner has decreased its floor prices by around INR 350-500/MT in both lumps and fines, depending on grades for Karnataka e-auctions scheduled tomorrow (10th Apr'20).

The base price of NMDC fines (Fe 64%) from Kumaraswamy mines for tomorrow's advance e-auction is kept at INR 2,267/MT (basic), down by INR 504/MT against the last e-auction at INR 2,771/MT.

Similarly for Fe 64% lump also base price has moved down by around INR 493/MT to INR 3,060/MT (basic) as against previous e-auction price at INR 3,553/MT. All prices mentioned are basic, royalty and other taxes extra.

NMDC has lowered base price by INR 350-430/MT for low & medium grade ore ranging from Fe 58-60%.

Last week, NMDC (C.G) had also decreased iron ore fines and lump prices by INR 500/MT and DR CLO by INR 580/MT.

NMDC sold 6.96 MnT iron ore via Karnataka e-auctions in FY20, less by 25% Y-o-Y against last year at 9.23 MnT (including Donimalai production till Nov'18). With mining operations remaining on hold in Donimalai, all the sales were made from its Kumaraswamy mines.