Sandur district

LOCATION: Karnataka

1. There is almost 50 lakh metric ton of zero material available at sandur district in various plots.
2. These are all without permit material stocked over many years before, in several revenue lands.
3. Now the state government has acquired total material through the respective department.
4. One of our friend is the land lease owner where 8 lakh metric ton of 61 grade iron ore is stored.
5. With the government permission, we can purchase this material and supply to the domestic end users.
6. 61 grade Market price is approx Rs 5000 per metric ton
7. Here we get the same material for 3800 rupees per metric ton
8. So we are saving 1200 rupees per metric ton.
9. In the 3800 rupees, we will have to pay in 2 modes
10. Mode A- 1200 To 1500 rupees per metric ton, we have to pay to Karnataka government directly.
11. After receiving the payment, the government will award ownership of that quantity of material.
12. Mode B- Balance 2300 rupees we have to pay to plot owner at the time of delivery. he will take care of all the clearances from various departments along with loading and weighment charges.
13. The payment of plot owner can be discussed across the table during Friday meeting.
14. 4 to 5 companies are ready to buy the material and they are also signing mou on coming Monday.
15. If we are prepared , then we need to sign the mou for 5 lac MT and then buy 1 lakh MT for the 1st order. Remaining 4 lacs MT after this.
Indsmtammu