NEWS
Iron Ore   Mercantile Exchange  

IME Plans to Trade in Domestic Iron Ore Pellet, Concentrate

Iran Mercantile Exchange plans to start trading in domestically produced iron ore pellet and concentrate, IME Managing Director Hamed Soltani-Nejad said on Monday.

The IME also plans to trade imported iron ore in the future,” he added.

Iran’s iron ore imports were insignificant, however, though a market analyst said on Monday they were expected to grow as steel production capacity increases, S&P Global Platts reported.

“Golgohar, Iran’s largest iron ore miner, is the first company to be approved by IME for trading,” the company’s managing director, Nasser Taqizadeh, was quoted as saying on the exchange’s website.

“At this stage, a portion of Golgohar’s pellet and concentrated iron ore output will be traded on IME in lots of 50,000 tons [each], but in the next stage the company is going to trade sponge iron through IME.”

IME tried to launch trading in domestically produced iron ore in 2013, but was not successful owing to a lack of acceptance by the local steel industry, a market participant said on Monday.

“The domestic price of iron ore lump, concentrate, fines and pellet is determined by the government, based on the average price of billet trading on IME. Therefore, the iron ore price depends on the steel price,” he said.

“The floating of pellet and concentrated iron ore prices was expected to increase the production cost for the steel industry to some extent, but not immediately. It will not affect any of the current contracts between miners and steel producers.”

Iron ore concentrate had the biggest share in Iran’s mineral production during the first 10 months of the current fiscal year (March 21, 2017-Jan. 20) with 31.18 million tons, registering a 16% growth year-on-year.

Gologhar Mining and Industrial Complex accounted for 11.53 million tons of the total output, followed by Chadormalu Mining and Industrial Complex with 7.05 million tons, Iran Central Iron Ore Company with 4.11 tons, Goharzamin Iron Ore Company with 3.42 million tons, Middle East Mines and Mining Industries Development Holding Company with 3.32 million tons and Opal Parsian Sangan with 1.71 million tons.

The production of granulated iron stood at 5.34 million tons, up 6% YOY.

Pellet had the second largest share with a total output of 26.44 million tons, up 25% YOY. Golgohar was the largest producer with 9.17 million tons, followed by Mobarakeh Steel Company with 6.33 million tons, Khouzestan Steel Company with 5.37 million tons, Chadormalu with 2.89 million tons and MIDHCO with 2.68 million tons.

Iron ore exports during the period stood at 15.89 million tons worth $877 million. The volume of shipments dropped by 2% while its value rose 44% respectively YOY.

Founded in 2006, IME trades in agricultural, industrial and petrochemical products in the spot and futures markets. IME’s trade value stood at 817 trillion rials ($21.78 billion) during the previous fiscal year (March 2016-17), accounting for 6.5% of Iran’s gross domestic product.

Last year’s trade value outperformed Tehran Stock Exchange by more than 182 trillion rials ($4.85 billion).

According to Soltani-Nejad, IME trade value hit 1.03 quadrillion rials ($23 billion) during the first 11 months of the current fiscal year (March 21-Feb. 19), marking a 39% year-on-year growth and reaching an all-time high.

Commodity trade in the physical market accounted for 446.35 trillion rials ($9.91 billion) of the total figure, showing a 33% YOY growth. Trade value at IME’s derivative market grew 61% to 579.14 trillion rials ($12.86 billion).

News No: 1972
Date: 2018/03/03 - 21:15
News Source: Financial Tribune

Iran Mercantile Exchange  Golgohar  iron ore  Chadormalu 

Comments:

Leave a Comment:

   
   
   
 

Iron Ore Concentrate Output Up19%

Iron ore concentrate production of major Iranian mining companies stood at 41,919,926 tonnes in the first eleven-month of current Iranian year (March 21,2018-February19,2019),up 19 percent year-on-year.
 

India: MMTC Invites EoI for Supply on Non- Canalised Iron Ore

MMTC- India’s largest and state-owned trading house, has floated EOI for empanelment of mine owners/ suppliers/ traders for the supply of non-canalised Iron Ore Fines and CLO.
 

Essel Mining Cuts Iron Ore Lump Prices by Rs 400/MT (USD 6/MT)- Sources

Eseel Mining, a unit of Aditya Birla group is set to reduce its offers for iron ore lumps by Rs 400/t ($5.6). Essel Mining is one of the largest merchant iron ore miners with an annual capacity of 10 million tonnes per annum in the state of Odisha.
 

India: NMDC Hikes Iron ore Base Price in Karnataka E-Auctions

India's largest iron ore miner - National Mineral Development Corporation (NMDC) has announced a hike in floor prices in upcoming Karnataka e-auctions scheduled on 1st Mar’19. Iron ore base prices at NMDC Kumaraswamy have increased by around INR 400/MT in both fines and lumps.
 

What are Export Realizations for Indian Pellet Producers?

Post Vale disruption, Indian pellet export prices rallied anticipating shortage in seaborne pellet trades. However, market sentiments have turned dull after Chinese New year holidays. Amid shrinking steel margins, Chinese mills are preferring low-grade iron ore and concentrate rather than going for high-grade ore & pellets.
 

Karnataka High Court Reserves Judgment on NMDC Donimalai Case Hearing

According to the updates received, the NMDC Donimalai case has heard by the Karnataka High Court today and it has reserved the Judgement till next hearing for which date was not confirmed till the time of publishing this report.
Upcoming Events
Publications
 Mines & Metals

Mine & Business Today

 Scrap & Recycling

Ahangan

Our partners