Coal news and updates

Steel-maker gets offer for met coke via reverse auction

November 12: A leading steel-maker recently got offers from a domestic manufacturer of low ash metallurgical (met) coke via the reverse auction route to supply 20,000 tons of the material, according to information available with ICMW.

The auction was conducted by buyjunction, a division of mjunction services limited.

A limited number of domestic coke makers had participated in the auction, indicating low availability of material and consequent firmness in prices over the past few weeks.

The lowest offer of Rs 19,880 per ton on landed cost net of cenvat (LCNC) basis came from a south India-based coke maker.

Industry sources said the offered price was slightly on the higher side compared to the imported material which is currently pegged at $274 per ton CFR, which works out to Rs 17,265 per ton till ports.

Even if the transport costs and handling charges from port to plant are added, the landed cost of the imported material should not be more than Rs 18,750 per ton.

The reverse auction was conducted by buyjunction on November 5.