The sixth phase of the iron ore e-auction held on May 19, earned the State Rs 34.82 crore, much higher than the setup bid price of Rs 26.98 crore. A total of 4.40 lakh tonnes of ore was sold during the e-auction.
Of the six companies that bid for the 4.40 lakh tonnes of ore, Sesa Sterlite purchased 2.73 lakh tonnes of ore for Rs 22 crore. The company was followed by Bagadiya Brothers Pvt Ltd who purchased 52,250 tonnes of ore for Rs 4.23 crore.
The other companies that purchased ore were Kalinga Allied Industries that purchased 50,100 tonnes for Rs 3.76 crore, V M Salgaocar and Bro that purchased 43,920 tonnes for Rs 3 crore, Royaline Resources Ltd (Maharashtra) purchased 19,850 tonnes for Rs 1.68 crore and Fomento Resources Ltd purchased 700 tonnes for Rs 5 lakh.
Over one million tonnes of ore were identified for e-auction, of which only 4.40 lakh tonnes were bid for. Of the balance 5.59 lakh tonnes of ore, government is expecting around Rs 7.85 crore.
The base price for the auction was between Rs 300 per tonne to Rs 700 per tonne. The grade of the ore varied from 45 ferrous content to 60 Fe content.
DMG had identified 15 million tonnes of ore for e-auction, of which by now six million tonnes have been auctioned, fetching a revenue of Rs 840 crore. Nearly 10 lakh tonnes of ore have been exported to China.
The balance nine lakh tonnes of ore have to be auctioned before fresh excavation of iron ore can be commenced, which the government hopes to start in the coming mining season in October
Source: goacom.com