NMDC Iron Ore Sales Down Marginally in Feb'20

NMDC's total iron ore sales recorded at 2.91 MnT for the month of Feb'20, down by 2% as compared to 2.96 MnT in Jan'20. The miner registered sales from Chhattisgarh mines at 2.42 MnT in Feb'20, against 2.40 MnT in Jan'20. Sales from Karnataka moved down to 0.49 MnT for the month against 0.56 MnT in Jan'20. Towards end of Jan'20, the miner had increased floor prices by around INR 300-400/MT in lumps and INR 100/MT fines (depending on grades) for Karnataka e-auctions.

NMDC total iron ore sales for FY20 (Apr'19-Feb'20) stood almost stable Y-o-Y at 28.9 MnT against 28.8 MnT in same time frame last fiscal (Apr'18-Feb'19).

NMDC iron ore production inch down M-o-M

NMDC iron ore production for the month of Feb'20 depicted slight fall to 3.24 MnT as compared to output in Jan'20 at 3.31 MnT. On yearly basis too, production dropped as compared to 3.34 MnT in Feb'19.

NMDC iron ore production for FY20 (Apr'19-Feb'20) stands at 29.12 MnT, up marginally compared to 28.39 MnT in same period FY19 .

NMDC Donimalai pellet plant towards Feb end resumed offering pellets after a gap of around five months. The company quoted fresh offer Fe 64% pellets at INR 7,000/MT (FoT basis for a quantity of 20,000-30,000 MT on advance payment basis. The price validity was till 29th Feb'20. NMDC Ltd is operating 1.2 MnT pa capacity pellet plant located at Donimalai, Karnataka.

SteelMint Events is hosting 4th Indian Iron Ore & Pellet Summit from 2-3rd Mar'20 in Delhi, India. Mr M Mahadevan from NMDC highlighted that NMDC is likely to start iron ore production from it's Deposit 13 mines in Chhattisgarh. The company expects the mine to produce 2 MnT iron ore in FY21 and will increase it further to 10 MnT by FY25.

This mine is jointly developed by NMDC and CMDC (Chhattisgarh Mineral Development Corporation) . Adani has been appointed Mine Development Operator (MDO) for it.

Source-: BSE filings, SteelMint Research
Qty in MnT