Swedish iron ore producer LKAB has confirmed a SEK 6 billion ($643 million) investment in a new sorting plant at its Malmberget iron ore mine in Gällivare.
The facility, scheduled to begin construction in 2025 and enter operation in 2028, is designed to secure long-term production capacity, improve efficiency, and cut environmental impact.
Capacity expansion and critical minerals
According to Michael Palo, senior vice president for iron ore at LKAB, the current sorting plant is nearing the end of its service life. The new facility will:
- Sort an additional 7-8 million mt of crude ore annually
- Secure apatite volumes, critical for potential extraction of phosphorus and rare earth elements
- Strengthen long-term profitability and sustainability of operations in Gällivare
Site and construction details
The new plant will be built on a 24,000-square-meter site adjacent to the existing facility. LKAB had evaluated renovating the old plant but found it insufficient for increasing capacity.
By building a modern facility, LKAB ensures compliance with today’s environmental, operational, and workplace standards, while enabling future production growth.
Environmental and workplace benefits
The facility is expected to significantly reduce the environmental footprint of operations by lowering noise levels, cutting dust emissions and reducing carbon emissions from processing. It will also provide better working conditions for employees, with modernized systems and safer operational standards.