Dannemora Mineral has signed a letter of intent with the Austrian steel group voestalpine for deliveries of iron ore products. Deliveries cover about 300,000 tonnes of fines annually, equivalent to a quarter of Dannemora Mineral’s current production. The volume will cover a large part of the additional volumes that will be produced as a result of the planned expansion of the sorting plant.

The intention is to sign a minimum three year agreement before the end of 2014.

voestalpine currently produces more than 7 million tonnes of steel per year. The Group operates mainly in Austria, with steelworks in Linz and Donawitz but has operations throughout the world.

Dannemora Mineral AB is a mining and exploration company of which the primary activity is mining operations in the Dannemora iron ore mine. The Company intends to engage in exploration activities to increase the iron ore base locally and regionally.The Company’s most important asset is the iron deposit in the Dannemora Mine, and activity is focused mainly on the mining of this deposit at present.

(Source - www.steelguru.com)