The saga goes on.
A deal announced Tuesday under which Mesabi Metallics purchased 3,200 acres of land at the site of its planned iron ore plant in Nashwauk gives the company ownership of the land, according to the company.
But it doesn t give Mesabi Metallics the ability to mine iron ore from the acquired property.
Cleveland-Cliffs, Inc., holds lease rights on the property for 47 more years, Pat Persico, Cleveland-Cliffs director, corporate communications said Wednesday.
âMM s (Mesabi Metallics) announcement does not impact or affect in any manner the full control Cleveland-Cliffs has over approximately 3,800 acres of land which we own outright or for which we have lease rights through 2068,â Persico said in an email.
The company bought 3,200 acres of land from Butlertac Holdings LLC, Mesabi Metallics officials said Tuesday.
âIt brings us one step closer to completing and running a facility that will provide more than 350 well-paying operations jobs plus 800 spinoff jobs,â Larry Sutherland, Mesabi Metallics Co. LLC, president and chief executive officer said in a news release.
Butlertac Holdings is a part of Glacier Park Iron Ore Properties, LLC, according to Dale Kurschner, a Mesabi Metallics spokesman.
Glacier Park Iron Ore Properties in 2017 leased 3,200 acres to Cleveland-Cliffs, Inc.
However, Mesabi Metallics now owns the 3,200 acres, Kurschner said.
That means Cleveland-Cliffs is now leasing from Mesabi Metallics, he said.
Monday, March 1, 2021
Glacier Park Iron Ore Properties, LLC, Appellant vs. United States Steel Corporation, Respondent – Case No. A19-1923: In 2010, respondent United States Steel Corporation and the Great Northern Iron Ore Properties Trust entered into a consolidated lease that authorized U.S. Steel to mine on land owned by the Trust until 2057. The trust terminated and some of its assets, including mineral leases, were transferred to appellant Glacier Park Iron Ore Properties, LLC.
In 2019, Glacier Park served an arbitration demand on U.S. Steel, claiming the trustees of the trust had breached fiduciary duties when negotiating the lease and that U.S. Steel aided and abetted that breach. The arbitration clause in the lease provides for arbitration of “any disagreement or controversy . . . between Lessor and Lessee as to whether any of Lessee’s mining practices conform to the standards stipulated herein, or as to any fact that might affect the determination of royalty pay