Odisha Mining Corporation (OMC) fetched a mixed response from buyers in the Chrome ore e-auction held on the 6th of this month. The H1 price for +54 grade increased by 2.23% to INR 12,719/MT as compared to INR 12,441/MT last month. However, a remarkably sharp rise of 18.6% to INR 11,326/MT and 27.9% to INR 11,833/MT was witnessed for the 48-50 and 46-48 grades respectively.
But the 52-54 grade friable chrome ore prices dropped by 5.5% to INR 12,367/MT against INR 13,088/MT last month. Similarly, 50-52 grade prices also dropped by 1.7% to INR 12,219/MT from INR 12,436/MT last month.
There was about 24,000 MT friable ore on offer at the South Kaliapani, 500 MT at Sukrungi and 900 MT at the Chrome Ore Beneficiation Plant (COBP) of OMC.
OMC Chrome Ore E-auction dated 6 Apr’15
|Location||Grade Band||Auction Quantity||Floor Price||Booked Quantity||Booked Price||L1 Price||H1 Price||Premium (INR)||Last Booked / H1|
|South Kaliapani –Chrome Ore||54+ Cr2O3||7,500||12,219||3,000||12,519||12,519||12,719||500||12,441|
Source: SteelMint Research
Apparently, FY15 did not fare well for the Indian Chrome ore industry as production fell by 28%. This was mainly due to Tata Steel’s Chrome ore production in FY15 falling to 0.2 MnT, down by 76% Y-o-Y. In FY14 India produced 2.8 MnT of Chrome ore and Chrome concentrate. However, in FY15 Indian production of Chrome ore and concentrates is recorded at 2 MnT, with OMC contributing to 30% of total production. OMC’s Chrome ore production in FY15 fell to 0.6 MnT, from 0.64 MnT in FY14, down by 6.25% Y-o-Y.