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Why are raw ore prices higher than equivalent mineral prices?
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AnnaBelle Bartlet
AnnaBelle Farms
#1 - 2012-08-05 15:22:03 UTC
I have zero waste refining with low tax rate at my local high-sec NPC station. I also have several tradeskills to reduce taxes/broker fees.

I charted the amount of minerals I get from different batches of ore to get comparative prices. I figured that the minerals would be more valuable given the skill investment. Much to my surprise, people in my local region are paying notably more for the raw ore than the minerals are worth. For example, raw scordite has several buy orders for 26-27 ISK, with somebody else paying 32 ISK.

I'm happy for the extra money, but can anybody explain to me why people would pay considerably more for raw ore than the equivalent amount of minerals?
Barbara Nichole
Royal Amarr Institute
Amarr Empire
#2 - 2012-08-05 15:41:01 UTC
at a guess, someone hasn't done the math... or someone doesn't have the time or skill to refine and haul to market.

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Mortimer Civeri
Aliastra
Gallente Federation
#3 - 2012-08-05 19:01:25 UTC
Is there a faction storyline agent nearby? Some storyline agents want raw ore, and people cash in on the lazyness factor kicking in for people grinding faction standings.

"I don't know which is worse, ...that everyone has his price, or that the price is always so low." Calvin
AnnaBelle Bartlet
AnnaBelle Farms
#4 - 2012-08-05 19:31:10 UTC
The buyers are purchasing different types of ore by the millions of units. Don't think they would need that much for storyline use, but who knows.

I was just thinking there was some obvious skill I must be missing, or some marketing strategy they were using.
Mara Rinn
Cosmic Goo Convertor
#5 - 2012-08-05 20:04:19 UTC
It is entirely possible that someone put up a huge buy order when Scordite was more valuable, and has since forgotten that order.

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Pinstar Colton
Sweet Asteroid Acres
#6 - 2012-08-06 13:55:23 UTC
Ore prices are normally about 10% lower than the minerals they refine into...at least they were when prices were fairly steady and flat. When the Mineral prices start going all over the place, the ore buyers are sometimes at a loss for the proper price to buy them at.

That order could either be a forgotten one that was leftover from when mineral prices were high...or a speculator who thinks mineral prices will rocket back up. Though I'm thinking the former explanation is probably the correct one, as most mineral speculators don't want to fuss with the refining and logistics related to buying ore.



In the cat-and-mouse game that is low sec, there is no shame in learning to be a better mouse.

AnnaBelle Bartlet
AnnaBelle Farms
#7 - 2012-08-06 14:42:04 UTC
The buyers have been posting new large buy orders using those inflated ore prices every day for the past week at least. The orders are being filled quickly.

I think the speculator answer may be the right one. Guess I'll just enjoy the profits while they last.

thanks for all the responses
Dave stark
#8 - 2012-08-06 17:55:50 UTC
people will gladly take a loss on minerals because minerals take up less space so you can haul more at once which means less time not mining.
Idris Helion
Doomheim
#9 - 2012-08-06 18:23:48 UTC
AnnaBelle Bartlet wrote:
I have zero waste refining with low tax rate at my local high-sec NPC station. I also have several tradeskills to reduce taxes/broker fees.

I charted the amount of minerals I get from different batches of ore to get comparative prices. I figured that the minerals would be more valuable given the skill investment. Much to my surprise, people in my local region are paying notably more for the raw ore than the minerals are worth. For example, raw scordite has several buy orders for 26-27 ISK, with somebody else paying 32 ISK.

I'm happy for the extra money, but can anybody explain to me why people would pay considerably more for raw ore than the equivalent amount of minerals?


My own conspiracy theory is that speculators are buying up ore in anticipation of a surge in ship-building. There's a new mining frigate in the works (ironically enough) that lots of people are going to want, for example. And having drones give bounties rather than alloys has cut back on the amount and kind of minerals pilots can get without mining. (And didn't CCP nerf reprocessing of modules some time ago to reduce the amount of recoverable minerals?)

Also, lots of nullsec corps prefer to pay a premium for hisec ore and then jump-freighter it out to nullsec rather than mine it themselves. Nullsec is more about manufacturing and ship-building, so the nominal value of the ore/minerals is often secondary to the strategic importance of the commodities as building materials. Capital ships and structures take a ****-ton of trit to build, and Titans even more so. Not many nullsec players like to mine full-time, and its incredibly hazardous to life and limb for indie miners to attempt large-scale mining ops out there -- so when mining corps *do* venture out there, they go for the rare ores, not the common ones like Veld.

You may be getting orders from a corp who's building their fleet back up after a big battle or two.