Bhushan Power & Steel - a major integrated steel maker with a capacity of 3.5 MnT has recorded iron ore sourcing at 0.20 MnT in July`18. The sourcing witnessed decline of 35% as against sourcing in June`18 at 0.31 MnT.
In FY’19 (Apr-July’18) the company’s total sourcing witnessed at 1.05 MnT, with largest supplier being OMC at 0.37 MnT.
Rungta mine marked the largest source of supplies to Bhushan Steel –
For the month of July`18, Rungta mines stood the largest supplier at 0.08 MnT, contributing 39% of total sourcing by the company (down 8% M-o-M) followed by OMC mines at 0.06 MnT (down 40% M-o-M) and Essel Mining at 0.06MnT (down 24% on monthly basis).
Serajuddin recorded no supplies for the month against being 0.05 MnT a month before.
Bhushan Power and Steel`s iron ore sourcing: July`18 v/s June`18
| Seller | July`18 | June`18 |
| Rungta Mines | 77,957 | 84,738 |
| OMC | 62,942 | 104,688 |
| Essel Mining | 56,707 | 74,331 |
| Serajuddin | - | 49,152 |
| Grand Total | 197,606 | 312,910 |
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 accepted. Tata Steel emerged the highest bidder in first round of bidding. However, on 27 Jul’18, NCLAT (National Company Law Appellate Tribunal) directed Bhushan Power’s Committee of Creditors (CoC) to go for rebids after the other firms expressed wish to increase their offers.
JSW Steel Ltd, Tata Steel Ltd and Liberty took part in the second round of bidding held on 13th Aug’18. JSW Steel emerged as the highest bidder for stressed Bhushan Power and Steel (BPSL) leaving behind Tata Steel and Liberty House. However, the decision is still pending with next hearing scheduled in NCLAT.