Minnesota: We're Here to Stay

For generations, Cleveland-Cliffs has been a good steward of Minnesota's natural resources, investing in its people, its operations, and its economy.  Currently, we have three operations in Minnesota and are a major employer in the Iron Range.  We mine responsibly, produce iron ore pellets and preserve the environment. Our environmentally friendly iron ore pellets, made in Minnesota, are driving clean steelmaking and American manufacturing. 

Cleveland-Cliffs is an integral part of the regional and state economies, generating $1 billion of economic impact in Minnesota annually. We devote on average $50 million in sustaining capital in our operations yearly. In the past two years, we have invested $175 million in new projects at Northshore and United Taconite operations. We have a history of funding philanthropic programs dedicated to education and healthy, vibrant communities.  

We are excited about the future of our Company as we supply our existing North American steel customers and expand into serving mini-mill steel producers. As we grow, Minnesota grows with us.

Annual Economic Impact

  • 1,779 skilled and professional workers across three mining operations
  • $1 billion total economic impact
  • $272 million paid in annual payroll
  • $57 million contributed to state, local and taconite taxes
  • $749 million purchased regional services and supplies

Operations

As one of the Mesabi Iron Range’s top companies, Cleveland-Cliffs is an integral part of the region. We have been investing in our business and the region for over a century.  Throughout our history, our focus has been long-term investment opportunities through growing and sustaining our existing business operations and acquiring assets.  Cleveland-Cliffs’ three Minnesota mines produce from the deposits located within the Biwabik Iron Formation. All of the iron ore mining operations are open-pit mines.

Northshore Mining

Northshore Mining (NSM), which originally operated as Reserve Mining Company, was the first taconite processing facility in North America when it opened in 1956. It was purchased by Cyprus Minerals in 1989, and Cleveland-Cliffs became the sole owner of the property in 1994. Northshore Mining’s Peter Mitchell Mine is located in Babbitt and the taconite is transported 47 miles by rail to the processing facility in Silver Bay, near Lake Superior.

Northshore operations consist of an open pit truck and shovel mine where two stages of crushing occur before the ore is transported along a wholly owned rail line to the plant site in Silver Bay. At the plant site, two additional stages of crushing occur before the ore is sent to the concentrator. The concentrator utilizes rod mills and magnetic separation to produce a magnetite concentrate, which is delivered to the pellet plant located on-site. The plant site has its own ship loading port located on Lake Superior.

In 2018, Cliffs began a capital upgrade to produce low silica DR-grade pellets on a commercial scale. Throughout the construction project, management has maintained production of its standard iron ore pellets for its blast furnace customers. The upgrade project is expected to be completed in mid-2019. While overall production capacity at the processing facility will remain the same, Northshore will be able to produce up to 3.5 million long tons of DR-grade pellets. This will be the only facility in the United States capable of producing both DR-grade and regular blast furnace iron ore pellets.

  • Cliffs Ownership: 100%
  • Type of Ore: Magnetite
  • Operating Since: 1994
  • Current Rated Capacity: 6.0 million tons
  • 2018 Production: 5.6 million tons

United Taconite

United Taconite (UTAC) Mine is located in Eveleth, MN. The taconite is mined and then transported approximately 10 miles by rail to its processing facility in Forbes, MN. The mine began operating in 1965 as EVTAC Mining Company until 2003. Subsequently, Cleveland-Cliffs and Laiwu Steel Group jointly purchased the mine assets in Dec. 2003. In 2008, Cliffs acquired ownership interest to wholly own and operate United Taconite.

United Taconite operations consist of an open pit truck and shovel mine where two stages of crushing occur before the ore is transported by rail, to the plant site. At the plant site, the additional stage of crushing occurs before the ore is sent to the concentrator. The concentrator utilizes rod mills and magnetic separation to produce a magnetite concentrate, which is delivered to the pellet plant. From the site, pellets are transported by rail to a ship loading port at Duluth, Minnesota.

In 2017, Cliffs completed a $75 million capital investment project for operational upgrades and new infrastructure to produce a newly developed Mustang superflux iron ore pellet.

  • Cliffs Ownership: 100%
  • Type of Ore: Magnetite
  • Operating Since: 1965
  • Current Rated Capacity: 5.4 million tons
  • 2018 Production: 5.2 million tons

Hibbing Taconite

Hibbing Taconite (HTC) began production in 1976 and made its initial shipment in January of 1977. HTC is ISO certified in Quality and Environmental Management Systems and is owned by ArcelorMittal (62.3%), Cleveland-Cliffs (23%) and US Steel (14.7%).

Hibbing operations consist of an open pit truck and shovel mine, a concentrator that utilizes single stage crushing, AG mills and magnetic separation to produce a magnetite concentrate, which is then delivered to an on-site pellet plant. From the site, pellets are transported by BNSF rail to a ship loading port at Superior, Wisconsin.

  • Cliffs Ownership: 23%
  • Type of Ore: Magnetite
  • Operating Since: 1976
  • Current Rated Capacity: 8.0 million tons
  • 2018 Production: 7.8 million tons

Investor Inquiries

Paul Finan
(216) 694-6544
paul.finan@clevelandcliffs.com

 

 

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200 Public Square, Suite 3300, Cleveland. OH 44114-2544 - Phone: 216-694-5700