MoU9 Sept 2026, 09:53 am
Steel Exchange India Ltd signs MoU with NMDC for Iron Ore
AI Summary
Steel Exchange India Limited (SEIL) has entered into a strategic Memorandum of Understanding (MoU) with NMDC Limited for the long-term procurement of iron ore fines (Fe 61-63% and above). This agreement will secure SEIL's supply chain by sourcing raw material from NMDC's upcoming Visakhapatnam Buffer Stockpile & Blending Yard. The MoU has a primary term of 4 years and aims to support SEIL's expanded steelmaking capacity, particularly its recent operationalization of a new Reheating Furnace. The strategic location synergy is expected to reduce logistics costs and transit times for SEIL's Vizianagaram plant operations, reinforcing its backward integration strategy and mitigating supply volatility.
Key Highlights
- SEIL secures long-term iron ore supply from NMDC's Visakhapatnam hub.
- MoU enhances raw material security for SEIL's steelmaking operations.
- Strategic location to reduce logistics costs and improve operational agility.
- Agreement supports SEIL's capacity expansion and backward integration strategy.
- Primary term of 4 years, paving the way for future Long-Term Agreements.
Price Impact
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