Sarda Energy & Minerals’ iron ore pellet production fell by 9pc to 148,000mt in Q2 FY2021 compared to the prior year period as the plant was shut for 17 days for maintenance. Production was up by 3pc compared to previous quarter.
Company’s pellet sales recorded a jump of 52pc to 142,000mt in Q2 compared to prior year quarter and up by 84pc compare to previous quarter.
Company’s management revealed in recent Earning Conference Call that pellet prices will remain stable in the upcoming quarter too due to shortage of iron ore, lumps and fines, in domestic market. The shortage is expected to stay for 4-6 months.
Sponge iron output down by 14pc
The company’s Sponge iron production decreased by 14pc to 80,000mt in Q2 (July-Sep) compared to prior year period and sales fell by 29pc to 39,000mt. However, production was up by 74pc compare to previous quarter and sales up by 70pc in the same period.
Billet production up by 5pc
The company’s billet production increased by 5pc to 45,000mt in Q2 compared to prior year quarter and jumped by 77pc from Q1. Company reveal that a part of the production is consumed for downstream products.
Ferro alloy output up by 4pc
Ferro alloys production up by 14pc to 34,000mt in Q2 and sales volume up by 4pc to 34,000mt.
The government recently conducted coal block auction of 19 mines, of which the company bagged two mines — one in Chhattisgarh which has a production capacity of 1.2mn mt annually and another in Madhya Pradesh which has a capacity of 0.6mn mt annually
Sarda Energy & Minerals is an integrated steel producer of long steel products based in Raipur in central India, with an iron ore production capacity of 600,000mt, billet at 176,000mt, wire rod at 142,000mt and ferro alloys at 1,24000mt.