Vancouver British Columbia Canada based CoTec Holdings Corp has entered into an agreement to acquire a 15.8% equity interest in MagIron LLC for USD 2 million. MagIron is a US based company that is in the process of acquiring a green iron ore project that it intends to refurbish and bring back into production. The investment includes terms customary for an investment of this nature, including Board representation subject to CoTec maintaining a 10% equity interest.MagIron has entered into a purchase agreement for the acquisition of a dormant iron ore concentrator known as Plant 4 based in Grand Rapids in Minnesota and 2,483 acres of land in the Itasca and St Louis Counties, Minnesota that contains fine and coarse iron ore tailings. MagIron will also lease a further 1,700 acres of land which houses Plant 4 and facilitates access to additional iron ore fines and tailings. This waste material from historical mining operations nearby Plant 4 can be used as feedstock for Plant 4 and could potentially support an estimated 15-year business plan. MagIron is acquiring Plant 4 from the Chapter 7 Trustee for ERP Iron Ore LLC CoTec understands that MagIron intends to restart the operations at Plant 4 following completion of a refurbishment program, which is currently anticipated to take approximately 24 months and cost approximately US$80 million. MagIron's ability to complete the refurbishment program and restart operations at Plant 4 will be subject, among other things, on its ability to secure additional funding sufficient to fund the refurbishment program and the restart.CoTec is an ESG-focused company investing in innovative technologies that have the potential to fundamentally change the way metals and minerals can be extracted and processed.
Vancouver British Columbia Canada based CoTec Holdings Corp has entered into an agreement to acquire a 15.8% equity interest in MagIron LLC for USD 2 million. MagIron is a US based company that is in the process of acquiring a green iron ore project that it intends to refurbish and bring back into production. The investment includes terms customary for an investment of this nature, including Board representation subject to CoTec maintaining a 10% equity interest.MagIron has entered into a purchase agreement for the acquisition of a dormant iron ore concentrator known as Plant 4 based in Grand Rapids in Minnesota and 2,483 acres of land in the Itasca and St Louis Counties, Minnesota that contains fine and coarse iron ore tailings. MagIron will also lease a further 1,700 acres of land which houses Plant 4 and facilitates access to additional iron ore fines and tailings. This waste material from historical mining operations nearby Plant 4 can be used as feedstock for Plant 4 and could potentially support an estimated 15-year business plan. MagIron is acquiring Plant 4 from the Chapter 7 Trustee for ERP Iron Ore LLC CoTec understands that MagIron intends to restart the operations at Plant 4 following completion of a refurbishment program, which is currently anticipated to take approximately 24 months and cost approximately US$80 million. MagIron's ability to complete the refurbishment program and restart operations at Plant 4 will be subject, among other things, on its ability to secure additional funding sufficient to fund the refurbishment program and the restart.CoTec is an ESG-focused company investing in innovative technologies that have the potential to fundamentally change the way metals and minerals can be extracted and processed.
