Bhushan Power and Steel Increase Iron Ore Sourcing by 19% in May'18

Bhushan Power & Steel - a major integrated steel maker with a capacity of 3.5 MnT has recorded iron ore sourcing at 0.29 MnT in May'18. The sourcing witnessed increase of 19% as against sourcing in Apr'18 at 0.25 MnT.

However, on yearly basis the sourcing has declined 20% in May'18 as against May'17 at 0.36 MnT.

In FY'18, the company's iron ore procurement recorded at 3.36 MnT. Rungta Mines stood the largest supplier for the year at 1.82 MnT followed by Essel Mining at 0.62 MnT. Other major suppliers included OMC at 0.47 MnT, Serajuddin at 0.23 MnT and Kaypee Enterprises at 0.20 MnT.

OMC iron ore supplies to Bhushan Power and Steel doubled in May'18 �"

For the month of May'18, OMC stood the largest supplier at 0.13 MnT, contributing 46% of total sourcing by the company (up by almost two folds M-o-M) followed by Rungta mines at 0.06 MnT (down 39% M-o-M) and Serajuddin at 0.04 MnT (down 23% on monthly basis).
Essel mining recorded significant increase in supplies to more than twice on monthly basis at 0.05 MnT as against being 0.02 MnT a month before.

Bhushan Power and Steel's iron ore sourcing: May'18 v/s Apr'18

Source: SteelMint Research
Quantity in MT
Provisional Data

Bhushan Power and Steel is one of the companies undergoing bankruptcy proceedings. The Bhushan Power and Steel auction initially received interest from 12 bidders, out of which JSW and Tata made to the final stage with former securing higher bids. UK based Liberty house submitted the bids post the deadline of 8th Feb, which was initially rejected by CoC (committee of creditors). But later, on 23rd Apr NCLAT (National Company Law Tribunal) directed the lenders of the company to consider the bids submitted by Liberty House.

However, the decision still remains pending with next NCLAT hearing scheduled on 12th July.