Grängesberg Fe project, central Sweden     Sidan på svenska

Current plans

(Updated September 1st 2011)

The Pre-feasibility study work now in its final stage

Since the autumn of 2011, Grängesberg Iron has been conducting a Pre-Feasibility Study (PFS) for the re-opening of the iron ore mine in Grängesberg, in south-central Sweden. Depending on phase of work, between 30 to 50 consultants have been involved in the study, which analyse the profitability and costs of the future mining operations with a +/- 25% accuracy. The study also covers a thorough pre-planning of all the aspects of the future mining operations.

The main responsibility for the PFS lies with the consultancy URS-Scott Wilson. Processing and agglomeration is taken care of by Outotec. Dewatering, tailings pond and general on-site infrastructure is the responsibility of Sweco Industry, and hoisting by ABB. URS-Scott Wilson together with Itasca Consultants are responsible for rock mechanics. Swedish consultancy Hifab is taking care of the environmental impact assessment and law firm Mannheimer Swartling legal aspects. In addition, a number of independent consultants are involved, mainly in the rail and port and mine planning areas.

Although the PFS have been somewhat delayed, the work is now reaching its final stages.

The application for a mining concession to the Swedish Mining Inspectorate is another ongoing project, which partly is reliant on some of the PFS work. This means that the application work now soon can be finalized.

The necessary environmental permit will cover all of the planned mining operations, including the dewatering of the now waterfilled mine. A first formal consultation with the local authorities, within the framework of the environmental impact assessment included in the application, took place in june 2011. Later this autumn formal local consultations with the public will be arranged in Grängesberg. The application for the environmental permit is planned for early 2012.

Preparations for the recruitment of an MD for Grängesberg Iron has now begun. The company will appoint a Managing Director who can create an organisation for the construction and start of production in the Grängesberg mine.

In addition, preparations for an IPO is ongoing, although dependent on the market outlook during the coming months.