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Dannemora commissions Skanska to build sorting plant

Dannemora commissions Skanska to build sorting plant
Dannemora Mineral has signed a partnership agreement with Skanska IME for the
construction of the new sorting plant at the Dannemora Site.
 
Skanska IME was also responsible for coordinating the project planning and
design of the plant during the first quarter of this year, and this has formed
the basis for the present contracts. Skanska IME will carry out the land and
construction work and coordinate the process installation.
 
          "Skanska is an experienced industrial building company, and the
partnership agreement means we can rest assured that their expertise and
commitment will provide us with a cost-effective construction within the
project's tight time frame," says Staffan Bennerdt, CEO and President of
Dannemora Mineral. "The financing of the Dannemora project progressed according
to plan and we expect the sorting plant to be ready for operation in spring
2012."
 
The sorting plant has been designed for an annual capacity of 2.0 million tonnes
of finished products in the proportion of 60 percent lump ore and 40 percent
fines. The plant's annual capacity of 2.0 million tonnes will exceed the annual
production capacity of 1.5 million tonnes stated in the Company's feasibility
study.
 
Skanska IME is Skanska's organisation for industrial projects in Northern
Sweden. The contract for the land and construction work is worth approx. SEK 80
million, while the entire investment in the sorting plant, including loading,
waste product handling and the personnel areas is estimated at approx. SEK 235
million.
 
           "We are proud to be entrusted with providing a cost-effective plant
under this agreement, which will allow Dannemora Mineral to resume operations on
schedule in this historical iron ore mine," says Bengt Hedberg, Project Manager
at Skanska IME.
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