Cleveland-Cliffs Inc. Announces Acquisition of Remaining Equity Interest in the Tilden Mine
October 02 2017 - 7:00AM
Business Wire
Cleveland-Cliffs Inc. (NYSE:CLF) announced today that it
has acquired United States Steel Corporation’s 15 percent equity
interest in the Tilden Mining Company for $105 million in cash.
Cliffs previously owned an 85 percent interest in the joint venture
and now has 100 percent ownership of the mine. The transaction
closed on September 29, 2017.
With the closing of this transaction, Cliffs has added 1.2
million long tons of annual pellet production capacity and 55
million long tons of proven and probable crude ore reserves. With
the additional capacity, Cliffs U.S. Iron Ore business segment’s
expected pellet sales volume will increase to 20 million long tons
in 2018 from an expected 19 million long tons in 2017.
Lourenco Goncalves, Chairman, President and Chief Executive
Officer, said, “With the current strength in the Great Lakes iron
ore pellet market and anticipated future demand from our HBI
facility, acquiring additional pellet capacity became a top
priority for Cliffs. We have managed Tilden since 1974 and
acquiring the remaining interest of the mine became the most
logical path to accomplishing this through a risk free
transaction.”
The Tilden Mine is an iron ore mining, concentrating,
pelletizing, and railroad operation located in Ishpeming, Michigan,
that employs a workforce of approximately 900 employees.
About Cleveland-Cliffs Inc.
Founded in 1847, Cleveland-Cliffs Inc. is the largest and oldest
independent iron ore mining company in the United States. We are a
major supplier of iron ore pellets to the North American steel
industry from our mines and pellet plants located in Michigan and
Minnesota. Additionally, we operate an iron ore mining complex in
Western Australia. By 2020, Cliffs expects to be the sole producer
of hot briquetted iron (HBI) in the Great Lakes region with the
development of its first production plant in Toledo, OH. Driven by
the core values of safety, social, environmental and capital
stewardship, our employees endeavor to provide all stakeholders
with operating and financial transparency. For more information,
visit http://www.clevelandcliffs.com.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20171002005504/en/
For Cleveland-Cliffs Inc.:MEDIA:Patricia Persico,
216-694-5316Director, Corporate
CommunicationsorINVESTORS:Paul Finan, 216-694-6544Director,
Investor Relations
Cleveland Cliffs (NYSE:CLF)
Historical Stock Chart
From Mar 2024 to Apr 2024
Cleveland Cliffs (NYSE:CLF)
Historical Stock Chart
From Apr 2023 to Apr 2024