U.S. Steel Corp. received federal permits for a $40 million expansion that will add 483 acres to its Minntac taconite facility in Mountain Iron, company and union officials announced Friday.
The expansion will create 100 jobs to facility, which now employs 1,400, and allow the facility to continue to mine iron ore and produce taconite pellets for another 16 years. Taconite is a key ingredient in steelmaking.
"This extension project will help us continue to provide good jobs," said Chris Masciantonio, U.S. Steel governmental affairs general manager. "We are proud of the significant contribution we have made to Minnesota's economy."
The U.S. Army Corps of Engineers and Environmental Protection Agency issued the federal permits. U.S. Steel officials noted that the permitting process received help from Minnesota's congressional delegation and Gov. Mark Dayton. As a result, Minntac did not have to secure a new environmental impact statement, which would have cost $1 million to $3 million.
The expansion permits are the latest shot of good news for U.S. Steel and the industry, which just this summer was wracked with worry that illegal steel dumping by producers from nine other countries would harm them. Protests, rallies and various campaigns erupted at U.S. mining and steel facilities and at the U.S. Capitol earlier this year. U.S. Steel filed a formal complaint with the U.S. government.
Last month, the U.S. International Trade Commission ruled in U.S. Steel's favor, saying that dumping had occurred. It issued trade sanctions against South Korea, India, Taiwan, Turkey, Ukraine and Vietnam.
The expansion of the Mountain Iron mine solidifies U.S. Steel's place as the state's largest taconite producer. U.S. Steel owns Keetac in Keewatin in addition to Minntac, which is the largest iron ore pelletizing plant in the country.
"The iron ore mining industry is critical to northeastern Minnesota's economy," said John Rebrovich, United Steelworkers' assistant to the director.
