[ad_1]
In the depths of Kiruna, there is not as much iron ore as the government mining group LKAB has calculated.
"This poses great challenges for us," says Jan Moström, CEO of LKAB, at TT.
As part of its exploration work for future mining projects, LKAB has discovered that the orebody where the fracture is located is not as expected. According to the LKAB CEO, the ore deposit is dropping considerably below the level at which it is currently working.
– There is a much more complicated ore image and we have an interruption with the existing ore. That's what we know in the short term, says Jan Moström.
TT: Do you know where there is more ore underneath?
"We do not know what it looks like in the area where we have mineralization, what we do know is that there is nothing directly below the actual mineralized body," Jan says. Moström.
Municipal councils are not worried
With the previously identified mineral reserve, LKAB can mine ore up to 2030 in full production. Then it decreases to one third of the volume and by 2035 it is expected that it will be finished, according to the CEO.
"It's a very short time for a mine of this size," says Jan Moström.
Kiruna City Council, Kristina Zakrisson (S), has met with representatives of LKAB and is not concerned with the message of the mining company.
"I interpret this as a message that it will probably not break the new main level we expected in 1335, the level that has broken down today." On the other hand, we continue to explore wide, and we have other deposits all around, to see where it will be sustainable in the long run, both economically and ecologically, "she said.
"Reasonable challenge"
Jan Moström stresses that LKAB will continue to take responsibility for the supply in Kiruna and the surrounding area. He finds that LKAB is struggling, but he is not worried about the situation.
– No, I'm not worried. But it's a very big challenge, says Jan Moström.
LKAB has identified a refractive opening in the extension of the ore body extending north, but the situation complicates the situation.
"It's so unfavorable that we expect it will take about three years to understand what it looks like," says Moström.
His conclusion is that LKAB can now operate as any other mining company, with increased demand for more intensive research of new ore volumes.
"We had a very homogenous mineralization but now we do not have it, which means we have to spend a lot of resources on exploration and develop new production systems," he says.
The state mining giant, who has been mining ore in Kiruna since 1900, describes the mineralized body of the region as a sloping disk in the rock. Since the 1960s, mining has collapsed underground, before that, the ore was broken in the open air.
Today, the break is at the level of a thousand meters.
Facts: Third Quarter Earnings Rise
The LKAB Government reports pre-tax profit of SEK 2,512 million for the third quarter, up from SEK 1,849 million in the prior quarter. Sales increased to SEK 5,598 million, to SEK 6,594 million.
The market continues to offer high quality iron ore products and demand remains strong, according to LKAB.
Production volume in the third quarter reached 6.8 million tonnes of iron ore products, up from 6.5 million tonnes a year earlier. Shipments increased from 7.1 million tonnes to 6.9 million tonnes, which is mainly due to the Malmbanan disruptions.
In addition, the operation was affected by a shutdown of the Svappavaara processing plant.
Source: LKAB
[ad_2]
Source link
