AP

Cliffs CEO: Minnesota mine will close without mineral rights

Nov 18, 2022, 8:45 AM | Updated: 10:21 am

MINNEAPOLIS (AP) — The CEO of Cleveland-Cliffs says an iron ore mine in northern Minnesota will close in a few years if it doesn’t get mineral rights from a nearby project that hasn’t been completed.

Hibbing Taconite, which is owned by Cleveland-Cliffs, is expected to run out of iron ore around 2025. Cleveland-Cliffs CEO Lourenco Goncalves said Thursday that his company needs the rights from the Mesabi Metallics project to keep the operation going, the Star Tribune reported.

The state of Minnesota terminated Mesabi Metallics’ mineral rights after the company missed the deadline for a $200 million down payment to finish the taconite plant near Nashwauk. The state plans to reassign the leases.

Goncalves said if Cleveland Cliffs secures the leases, the Hibbing mine’s operations will be extended by about 27 years.

“I believe we are getting close,” Goncalves said at a Minnesota Chamber of Commerce event in Minneapolis. “I believe we are one Supreme Court decision away.”

Mesabi Metallics has asked the Minnesota Supreme Court to review a state Court of Appeals’ ruling that favored terminating the company’s leases. If the Supreme Court declines to take the case, the state Department of Natural Resources would reassign the leases. U.S. Steel has also shown interest.

The DNR said it hasn’t decided how it will release the Nashwauk ore.

In an interview with reporters after his speech, Goncalves said that “if the Minnesota Supreme Court does not take the case — we expect that to happen — I believe the next thing will be sitting down with the DNR to finalize a deal … If they put to bid, I am not even going to bid. So whoever wins, I don’t give a rat’s behind.”

He said any winning bidder will simply tie up the land and its minerals and do nothing with them.

Hibbing Taconite, an economic anchor in Minnesota’s Iron Range, employs 750 people.

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

AP

Arizona and New York attorneys feud over extraditing suspect...

Associated Press

Why Alvin Bragg and Rachel Mitchell are fighting over extraditing suspect in New York hotel killing

Maricopa County Attorney Rachel Mitchell says she isn't into extraditing a suspect due to her lack of faith in Manhattan’s top prosecutor.

1 day ago

A Gila monster is displayed at the Woodland Park Zoo in Seattle, Dec. 14, 2018. A 34-year-old Color...

Associated Press

Colorado man dies after being bitten by pet Gila monster

A Colorado man has died after being bitten by his pet Gila monster in what would be a rare death by one of the desert lizards if the creature's venom turns out to have been the cause.

3 days ago

Police clear the area following a shooting at the Kansas City Chiefs NFL football Super Bowl celebr...

Associated Press

1 dead, many wounded after shooting at Kansas City Chiefs’ Super Bowl victory parade

One person died after 22 people were hit by gunfire in a shooting at the end of the Kansas Chiefs' Super Bowl victory celebration Wednesday.

10 days ago

This image from House Television shows House Speaker Mike Johnson of La., banging the gavel after h...

Associated Press

GOP-led House impeaches Homeland Security Secretary Mayorkas — by one vote — over border management

Having failed to impeach Homeland Security Secretary Alejandro Mayorkas the first time, House Republicans are determined to try again Tuesday.

11 days ago

Defense Secretary Lloyd Austin, right, and Kenya's Defense Minister Aden Duale, left, listen during...

Associated Press

Defense Secretary Lloyd Austin hospitalized with bladder issue

Defense Secretary Lloyd Austin has been hospitalized following symptoms pointing to an “emergent bladder issue."

12 days ago

Joel Osteen, the pastor of Lakewood Church, stands with his wife, Victoria Osteen, as he conducts a...

Associated Press

Woman firing rifle killed by 2 off-duty officers at Houston’s Lakewood Church run by Joel Osteen

A woman entered the Texas megachurch of Joel Osteen and started shooting with a rifle Sunday and was killed by two off-duty officers.

13 days ago

Sponsored Articles

...

Collins Comfort Masters

Here’s 1 way to ensure your family is drinking safe water

Water is maybe one of the most important resources in our lives, and especially if you have kids, you want them to have access to safe water.

...

Fiesta Bowl Foundation

The 51st annual Vrbo Fiesta Bowl Parade is excitingly upon us

The 51st annual Vrbo Fiesta Bowl Parade presented by Lerner & Rowe is upon us! The attraction honors Arizona and the history of the game.

...

Day & Night Air Conditioning, Heating and Plumbing

Valley residents should be mindful of plumbing ahead of holidays

With Halloween in the rear-view and more holidays coming up, Day & Night recommends that Valley residents prepare accordingly.

Cliffs CEO: Minnesota mine will close without mineral rights