China iron ore pellet: Prices stable

China's seaborne pellet prices were little changed, with demand supported by sintering restrictions in parts of China and a seasonal shortage of domestic concentrate supplies.

The Argus 64pc Fe, 3pc Al pellet was assessed unchanged at $114/dry metric tonne (dmt) this week, while the 2pc Al was stable at $117/dmt.

A cargo of BRPL 64pc pellet was sold at $114/dmt on 13 December. Offers for BRPL pellet were heard at $115/dmt this week, although bids were at $114/dmt.

"Chinese buyers are thinking twice before bidding above $114/dmt," said a senior executive at a major Indian pellet producer.

An unconfirmed deal for KIOCL's 2pc Al pellet cargo was done at $119.50/dmt on 13 December.

A bid for Rashmi 64pc pellet was heard at $109/dmt on 16 December.

A portside deal for Indian pellet was done at 935 yuan/wet metric tonne (wmt), at a seaborne equivalent of $117.50. Offers for BRPL pellet were heard at Yn960/wmt and for KIOCL pellet at Yn990/wmt at Rizhao port, while JSPL pellet was offered at Yn940/wmt at Jingtang port.

"We recently made an offer of $113/dmt cfr China but withdrew it since domestic prices are quite good at around $116-117/dmt," said a senior executive at a large east India-based producer.