Under the agreement, Anglo American will relinquish its existing USD 37 million royalty arrangement in exchange for exclusive offtake rights covering the full life of the mine. In addition, Anglo American will provide USD 5 million in non dilutive bridge financing, further strengthening the projects financial structure.
The partnership is expected to support Grangexs ongoing financing process and reduce overall commercial risk, while securing a long term market for Sydvarangers high grade magnetite concentrate. The company aims to position the mine as a key supplier to the European and global steel industries, particularly as producers increase their focus on direct reduction based steelmaking routes.
Grangex continues to target a restart of operations in late 2026, while also advancing its environmental and sustainability commitments as part of the project development.
Commenting on the agreement, Grangex chief executive officer Christer Lindqvist stated that the partnership represents a significant step toward improving the overall economics of the Sydvaranger project and strengthening its long term viability. Anglo American also emphasized that the mine has the potential to play an important role in supporting the steel industrys transition toward lower carbon production.
Comments
No comment yet.