According to local news reports, a Cleveland-Cliffs' Minnesota subsidiary has bought or leased 3,768 acres of iron ore reserves in Itasca County.
In a company announcement, Cliffs said it purchased and leased the land from Glacier Park Iron Ore Properties LLC. The land had previously been leased by Essar Steel Minnesota, near Essar’s uncompleted taconite project in Nashwauk. However, the land has no connection to the mineral leases associated with Essar’s bankruptcy.
Chippewa Capital is in the final stages of raising $500 million in equity and loan financing to buy Essar out of bankruptcy.
Cliffs said it expects to eventually leverage the newly acquired land rights and work with nearby private land owners and the state in order to “develop a financially sustainable plan for the site” in the future.