NMDC Retrieved Iron Ore E-Auction Fetches Good Response - Sources

India's largest iron ore miner- National Mineral Development Corporation (NMDC) conducted an e-auction for 75,000 MT retrieved iron ore in Andhra Pradesh on 23 Aug'18. The material put under auction consisted of 63.31% Fe content with 2.09% Alumina.

As per the sources report, the auction received good response with highest bid around INR 3,810/MT (ex-Vizag) against the base prices of INR 2,600/MT (ex-Vizag).

According to traders, southern India based steel maker - Steel Exchange India Ltd. participated in the auction along with other traders.

NMDC announced price revision this week, on 22nd Aug for its Chhattisgarh mines. The miner has increased Baila fines and lumps prices by INR 150/MT and prices of ROM by INR 140/MT and DR-CLO prices by INR 170/MT. As per market sources, constrained production amidst monsoon, and sharp increase in pellet domestic offers rendered miner to raise iron ore prices. However, in Karnataka, the miner kept prices unchanged.

Towards the end of last month (26th July'18) NMDC had reduced base prices in Karnataka e-auctions. Fines prices reduced by INR 300/MT and lump prices by INR 100/MT.

NMDC iron ore production for the month of July'18 recorded at 1.52 MnT, down 35% M-o-M against 2.34 MnT in June'18. Owing to monsoons production has suffered a setback.