Grängesberg Iron AB

Overview

For decades Grängesberg was one of Sweden’s most important iron ore mines, next only to Kiruna and Malmberget. Although the Grängesberg mine closed in December 1989, mainly due to the prevailing market conditions in the late 1980s, significant amounts of iron ore still remain in the mine. The iron ore mineral deposit is one of the largest homogenous iron ore bodies in northern Europe, with a high iron ore grade.

Orebody

3D orebody model showing the ore bodies between 375 and 920 m levels. (Colours are for identification purposes.)

In an NI43-101 Technical Report prepared by Roscoe Postles Associates Inc (“RPA”), dated 26th September 2014, a resource summary table was established for the Grängesberg iron ore mine project:

Mineral Resource Estimate Summary – August 22, 2014

Category
Tonnes
Fe (%)
P (%)
Cont. Fe (tonnes)
Indicated
115,200,000
40.2
0.78
46,300,000
Inferred
33,100,000
45.2
0.91
15,000,000

 

Notes:
– CIM definitions were followed for Mineral Resources.
– The values for tonnages, grades and contained iron have been rounded.
– Mineral resources are estimated at a cut-off grade of approximately 20% Fe.
– A minimum mining width of approximately 10 m was used.

RPA concluded that the Grängesberg iron ore deposit hosts a significant iron resource that has excellent potential for expansion at depth. Geophysical interpretations from the 1960s suggest that the ore body continues to at least 1,700 m below surface. Diamond drill holes confirm the mineralization continues to at least 1,100 m to 1,200 m below surface.

 

A mining concession for the Grängesberg Iron Ore mine was granted on the 15th of May 2013.