India: OMC Iron Ore E-auction Fetches Good Response; 80% of the Material Booked
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| Mines | Size | Fe (%) | Base Price | Base Price | Base Price | Change | Change | Offered Quantity | Booked Quantity | ||
| (mm) | as on 05 Jun'17 | as on 04 Aug'17 | as on 04 Oct'17 | (in INR/MT) | (in %) | (MT) | (MT) | ||||
| Gandhamardan | 10-180 | 65 | 1,900 | 1,700 | 1,700 | = | = | 5,000 | 5,000 | ||
| 10-40 | 62 | 2,200 | 2,000 | 2,000 | = | = | 70,000 | 39,000 | |||
| Kurmitar (Koira) | 10-40 | 62 | 2,750 | 2,300 | 2,650 | +350 | +15% | 150,000 | 150,000 | ||
| Daitari | 10-40 | 62 | 2,600 | 2,400 | 2,600 | +200 | +8% | 85,000 | 48,000 | ||
| Total | 310,000 | 242,000 | |||||||||
Base prices in INR/MT on ex-mines basis; including royalty
Source: SteelMint Research
Entire quantity of iron ore lump offered from Koira mines was sold at a premium of 2% over base price.
Odisha Mining Corporation (OMC), a state-owned miner conducted iron ore e-auction yesterday (i.e on 4 Oct'17) for 310,000 MT iron ore lump. The material put under hammer was from Gandhamardan, Daitari and Koira mines.
The miner kept iron ore lump base prices unchanged for the material offered from Gandhamardan mines. However base prices for material offered from Koira and Daitari mines observed increment of INR 350/MT and INR 200/MT respectively.
As per market sources report to SteelMint, the auction fetched good response with 242,000 MT (80% of the offered quantity) iron ore lump getting booked.
Entire quantity of 150,000 MT iron ore lump offered from Koira mines was booked at premium of INR 50/MT against the base price of INR 2,650/MT. However quantity sold from OMC's other mines did not see any increase in bid price and were sold at base price.
Base price comparison of OMC iron ore e-auctions
| Mines | Size | Fe (%) | Base Price | Base Price | Base Price | Change | Change | Offered Quantity | Booked Quantity | ||
| (mm) | as on 05 Jun'17 | as on 04 Aug'17 | as on 04 Oct'17 | (in INR/MT) | (in %) | (MT) | (MT) | ||||
| Gandhamardan | 10-180 | 65 | 1,900 | 1,700 | 1,700 | = | = | 5,000 | 5,000 | ||
| 10-40 | 62 | 2,200 | 2,000 | 2,000 | = | = | 70,000 | 39,000 | |||
| Kurmitar (Koira) | 10-40 | 62 | 2,750 | 2,300 | 2,650 | +350 | +15% | 150,000 | 150,000 | ||
| Daitari | 10-40 | 62 | 2,600 | 2,400 | 2,600 | +200 | +8% | 85,000 | 48,000 | ||
| Total | 310,000 | 242,000 | |||||||||
Base prices in INR/MT on ex-mines basis; including royalty
Source: SteelMint Research
