Karnataka Iron Ore Block Auctions: MSPL Wins 2 Mine After Aggressive Bidding

Southern India pellet maker - MSPL declared preferred bidder for HG Rangagouda mines with 63.3 MnT reserves.

Department of Mines, Govt. of Karnataka has concluded the bidding process of 'C' category iron ore blocks Phase III. The last iron ore block put under the hammer of Sri H.G.Rangangouda block has been won by MSPL Ltd. They have submitted the highest bid for the mine with Final Price offer at 129.9%. The mine has 63.33 MnT iron ore reserves.

MSPL is a flagship company of the Baldota Group of Companies and operates a pellet plant in Karnataka with a capacity of 1.2 MnT pa and pellet production of around 1 MnT and procures iron ore fines primarily through Karnataka e-auctions. In block auctions conducted in 2016, MSPL won 2 iron ore mines.

Out of five iron ore blocks allotted, MSPL won two blocks and Minera Steel & Power, JSW Steel and Kirloskar Ferrous bagged one block each.

Govt. of Karnataka had floated tender for 8 iron ore blocks belonging to category "C" mines. Out of 8 iron ore blocks put under the hammer, 5 iron ore blocks received a good response. Around 9 companies were announced technically qualified bidders for 5 mines and the remaining three mines had less than three bidders hence did not qualify for next round of bidding process.

Details of an iron ore block auctioned in Karnataka in Phase III