This PSU stock skyrocketed after fixing prices of iron ore
Shares of the company have claimed over 4 per cent on Friday.
NMDC is currently trading at Rs 110.75, up by 5.10 points or 4.83 per cent from its previous closing of Rs 105.65 on the BSE.
The scrip opened at Rs 106.50 and has touched a high and low of Rs. 111 and Rs 106.50 respectively. The BSE group 'A' stock of face value of Rs 1 has touched a 52-week high of Rs 143.13 and a 52-week low of Rs 81.27.
NMDC has fixed the prices of iron ore with effect from November 17, 2022. The price of Lump Ore (65.5 per cent, 6-40 mm) has been fixed at Rs 3,800 per ton, while the price of Fines (64 per cent, -10mm) has been fixed at Rs 2,610 per ton. The FOR prices are excluding Royalty, DMF, NMET, Cess, Forest Permit fees and other taxes.
NMDC is one of the world’s low-cost iron ore producers and they have ventured into the steel-making business to benefit from their ability to procure iron ore at a cheaper price. The company has procured 2000 Acres of land in Chattisgarh to set up a steel plant with a manufacturing capacity of 3 MTPA and the facility will be the largest blast furnace in India with a capacity of 4506 Cum.
NMDC is a state-controlled mineral producer by the Government of India. It is fully owned by the Government of India and is under the administrative control of the Ministry of Steel.
NMDC has over 90 per cent equity holding in Legacy Iron Ore Ltd, based in Perth, Australia with a focus on Gold, Iron ore and base metals. NMDC holds about 26 per cent stake in ICVL and Benga mine is one of the operational assets of ICVL in Mozambique.
The company's vision for 2025 is to enhance iron ore production capacity to 67 MTPA to meet the growing requirements of iron ore. The promoters holding in the company stood at 60.79 per cent, while institutions and non-institutions held 26.92 per cent and 12.27 per cent, respectively.