Sweden-based LKAB has applied for a permit from the County Administrative Board of Norrbotten, Sweden, to start test mining an iron ore body of 300,000mt in Mertainen, near Svappavaara. LKAB is aiming to boost annual production from a current 27 million mt of iron ore products per year to 35-40 million mt by 2015 with USD 747 million in investments a year. Once approval is granted, the company plans to start test mining in April 2011. LKAB also plans to exploit three iron ore mines near Svappavaara in Sweden that represent a total of 300 million mt of iron ore with an iron content of nearly 60 percent, in an attempt to boost its ore products output. The Gruvberget mine that started operations in the summer of 2010 has been gradually increasing production, and is expected to reach 2 million mt of crude ore per year in early 2011. The ore body contains bodies of both magnetite and hematite, but only the magnetite will initially be mined. Malmberget is the third mind under consideration for development.
