Swedish iron ore producer, Dannemora, has signed an agreement with Germany’s ThyssenKrupp Steel Europe AG for delivery of between 20,000 and 30,000 tonnes of iron ore.
Delivery will be in the second quarter of this year and the iron ore will be used in
full-scale production at ThyssenKrupp’s steelworks in Duisburg.
Following technical verification of the production results, negotiations on long-term supply contracts are expected to begin.
Dannemora has already signed agreements for trial deliveries of iron ore to Austrian steel company Voestalpine and German’s Salzgitter. The three companies’ total annual iron ore consumption is 30 million tonnes.
Dannemora will have an annual production of 1.5 million tonnes of iron ore at full capacity.
Staffan Bennerdt CEO and President of Dannemora Mineral: "We are also engaged in
trial delivery negotiations with several other steel companies. Since the
beginning of the year, interest in iron ore deliveries from Dannemora has
soared. We shall increase our efforts to get iron ore to potential customers."
Production is expected to be up-and-running in 2011.
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