Magnetation Could Have New Owners
The New Owners Hope to Bring Jobs Back to the Iron Range
Magnetation had closed down its plants, and had been under bankruptcy protection for 19 months, before making the decision to sell the rest of its assets to ERP Iron Ore LLC.
Magnetation filed a motion with the U.S. Bankruptcy court, to enter into an asset purchase agreement with ERP Iron Ore. If approved, ERP Iron Ore will take Magnetation assets, and work to recover high quality iron ore concentrate from the previously abandoned Iron Ore Waste Stockpiles. Though there is no specific timeline, ERP Iron Ore’s founder is confident the purchase will bring mining related jobs back to Grand Rapids.
“Magnetation at its peak employed about 350 people, and it would certainly be our objective to as we’re able to restart operations to absolutely bring back the people with the most knowledge and experience with operating the facility,” said Tom Clarke, Founder of ERP Iron Ore.
ERP Iron Ore’s Goal is to get back to producing up to 3 million tons of pellets a year
If the agreement goes through, ERP Iron Ore will own Iron Ore Concentrate plants in Keewatin, Bovey, and Grand Rapids.