Meanwhile, the BSE Sensex was up 104.60 points, or 0.64%, at 16520.89.

On BSE, 42,311 shares were traded in the counter. The scrip had an average daily volume of 1.45 lakh shares in the past one quarter.

The stock saw volatile swings between day's high and low of Rs 4,310 and Rs 4,120 respectively, so far during the day. The stock had a 52-week high of Rs 4,390 on 5 May 2008 and a 52-week low of Rs 1,630 on 7 June 2007.

The scrip had outperformed the market over the past one month till 30 May 2008, gaining 1.64% compared to the Sensex’s 5.04% decline. It had also outperformed the market in the past one quarter, adding 23.74% compared to Sensex’s 6.62% fall.

The mid-cap iron ore exporter has an equity capital of Rs 39.36 crore. Face value per share is Rs 10.

The current price of Rs 4144.30 discounts its Q4 March 2008 annualised EPS of Rs 811.28, by a PE multiple of 5.10.

According to reports, the decision was taken at the meeting of the Committee of Secretaries (CoS) on 30 May 2008.

At present, an export duty at a specific rate of Rs 300 per tonne is imposed on iron ore with 62% of higher iron content and Rs 50 per tonne on lower grade ore. Under the new dispensation, the export duty would be based on the value of the product shipped abroad.

Decisions on both roll back of export duty on steel and imposition of the same on its raw material are expected to announced in the next few days, the reports added.

Sesa Goa is India's largest private sector iron ore exporter and this move is likely to impact its profitability.

Sesa Goa reported 216.4% surge in net profit to Rs 798.30 crore on 112.1% increase in sales to Rs 1644.48 crore in Q4 March 2008 over Q4 March 2007.

Sesa Goa, an iron ore mining company of the Vedanta group, has been involved in iron ore mining, beneficiation and exports besides. It is also into the manufacture of pig iron and metallurgical coke.