LKAB’s estimated mineral resources have risen by 45pc to 1.7bn mt in 2020 from a previous estimate of 1.2bn mt after vast exploration activities at Kiruna, Malmberget, and Svappavaara were undertaken since 2018.
The company indicated in a statement on Monday that it had lifted its Kiruna mine estimates by 230mn mt to 713mn mt, Malmberget by 219mn mt to 707mn mt, and Svappavaara by 88mn mt to 334mn mt.
The mineral resource contains more than 60pc iron content, the firm noted. LKAB has invested close to SEK 700mn ($84.5mn) on exploration over the past two years, which will enable the firm to maintain production until 2060.
LKAB’s aim is to reduce carbon dioxide emissions by 35mn mt annually and to achieve this goal, the company plans to deliver sponge iron produced with hydrogen thereby reducing its carbon footprint. The firm also plans to take more initiatives to reduce CO2 emissions, which will require an investment of SEK10-20bn annually for the next 15-20 years.
As the demand for iron ore products increase, the firm delivered 28.5mn mt of iron ore in 2020 compared to 24.9mn mt of iron ore in 2019.