Beowulf Mining Plc, a UK-based miner primarily dedicated to exploring iron ore resources in Sweden, has announced that an independent conceptual study by Raw Materials Group has showed that the Kallak iron ore deposit, located in the Arctic Circle in northern Sweden, contains a significant resource of iron ore close to the surface and therefore amenable to open-pit mining.
A company press release said that the mine has a total potential net cash flow of US$2.86 billion and potential gross revenues of approximately US$6.8 billion per annum in total for a 15-year mining operation at an extraction rate of 10 million mt per annum. Total operating costs for 15 years of mining are estimated at US$3 billion at the same extraction rate.
Kallak is one of Scandinavia's largest known iron ore deposits still awaiting commercial exploitation.