SteelMint: Odisha iron ore fines index rises INR 200/t

SteelMint's weekly Odisha iron ore fines (Fe 62%) index increased by INR 200/t to INR 5,550/t (ex-mines, including royalty, DMF and NMET) owing to tight availability of high-grade iron ore as well as the hike in iron ore pellet and semi-finished steel prices.

Rationale:

A solitary deal was recorded this week but not considered as T1 trade. It was not accorded weightage in the index calculation for Fe 62% fines.

SteelMint received six (06) offers, indicative prices under T2 trade in this publishing window. Three (03) were taken into consideration and given 100% weightage. To check out SteelMint's iron ore assessment, pricing methodology and specification documents Click here

• Lump prices edge up - SteelMint's Odisha iron ore lump (5-18mm, Fe 63%) index rose to INR 10,400-10,500/t (ex-mines, including royalty, DMF and NMET). No deal was reported to have concluded this week.
  
  

A few trade sources highlighted that high-grade ore (Fe 63% and above) availability remained limited this week. Market participants highlighted no firm offers from either Rungta or Serajuddin this week. As per sources, Rungta Mines put offers on hold for a week due to production issues during the monsoons.

• OMDC floats sale tender for 29,137 t of iron ore - The Orissa Minerals Development Company Ltd. (OMDC) has issued a tender for sale of 29,137 t of screened and crushed iron ore fines and lumps (Fe 58%-65%) from its Bhadrasahi iron and manganese ore mines in Odisha's Keonjhar. The due date of the tender is 19 Oct.
  
  
• NMDC's Donimalai iron ore e-auction receives good response - NMDC's Donimalai mines conducted an iron ore e-auction on 8 Oct at which 488,000 t was booked out of the total quantity of 600,000 t on offer. JSW Steel emerged as the largest buyer at 324,000 t followed by RINL at 80,000 t. The iron ore fines (Fe 59%) lot was booked at INR 3,270/t (basic, taxes extra), a decline of INR 237/t compared to the previous auction.