Posted on Thursday, June 15, 2017
TOLEDO, Ohio, June 15, 2017 – The Toledo-Lucas County Port Authority announced today that Cliffs Natural Resources Inc. (NYSE: CLF) will locate its first hot briquetted iron (HBI) production plant at Ironville Terminal in East Toledo. This project has the potential to create up to 130 permanent jobs, more than 1,200 construction jobs and represents a $700 million investment in the Toledo Region. This project was made possible due to partnerships between the Port Authority, JobsOhio, Midwest Terminals of Toledo, City of Toledo, Lucas County, Regional Growth Partnership, and the Ohio Rail Development Commission.
“We are excited to add to the already substantial economic impact the Port of Toledo has on this region,” said Paul Toth, President and Chief Executive Officer of the Toledo-Lucas County Port Authority. “We acquired Ironville with the intention of locating a large-scale industrial user on the site who required marine and rail capabilities, and we truly feel this project is the perfect match for the remaining portion of the site.”
Lourenco Goncalves, Chairman, President and Chief Executive Officer of Cliffs Natural Resources Inc., said, “Today’s announcement marks a very important strategic milestone for Cliffs as we begin to implement our plans to be the sole producer of high-quality HBI for the EAF steel market in the Great Lakes region. We look forward to the strong margin and earnings potential this new product will generate for Cliffs shareholders.” Mr. Goncalves added: “We thank Governor John Kasich, JobsOhio and a number of local partners in the Toledo community for their efforts to help advance this project, including an offer of approximately $30 million in grants and other financial incentives. We will continue to work closely with the State of Ohio through the environmental permitting process, and are excited to bring a significant number of high-paying jobs to Ohio.”
Cliffs Natural Resources Inc. will lease approximately 100 acres on the east side of the site from the terminal operator, Midwest Terminals of Toledo. Existing infrastructure and material handling capabilities on the site met the company’s requirements for its site selection process. Construction on this project is expected to begin in early 2018, with the production of commercial tonnage of HBI beginning in mid-2020. Cliffs Natural Resources Inc. will receive more than two million tons of product, delivered by vessel, for the production of HBI, and has the potential to add 100 new vessel calls per year at the Port of Toledo. The finished product will ship from the facility via truck and rail.
“As with any company interested in locating or expanding here, our people came to the table nimble and ready to work with Cliffs. We are committed to continuing to work with this company to move the project forward,” said Mayor Hicks-Hudson.
“The Lucas County Commissioners are excited to be a part of this opportunity for redevelopment of the Ironville site. This investment is a game changing opportunity for Lucas County and our workforce. Transportation is our most competitive advantage and this project proves it. The partnerships we have fostered over many years with the Port Authority and other public and private entities is the gold standard in Ohio and we look forward to working with Cliffs to ensure our workforce is ready for these exciting new jobs,” said the Lucas County Commissioners.
About Ironville Terminal
Ironville Terminal, formerly known as the Chevron property, was purchased by the Toledo-Lucas County Port Authority in 2008. The Port Authority formed a public-private partnership with Midwest Terminals of Toledo through a long-term lease for the property. The acquisition of Ironville Terminal made the Port of Toledo the largest land mass seaport on the Great Lakes. Approximately $18 million has been invested in the site to date. The Port of Toledo supports 7,000 jobs and has an annual economic impact of over $1 billion on the local economy.
About Cliffs Natural Resources Inc.
Cliffs Natural Resources Inc. is a leading mining and natural resources company. Founded in 1847, Cliffs Natural Resources Inc. is recognized as the largest and oldest independent iron ore mining company in the United States. The Company is a major supplier of iron ore pellets to the North American steel industry from its mines and pellet plants located in Michigan and Minnesota. Cliffs also operates an iron ore mining complex in Western Australia. Driven by the core values of safety, social, environmental and capital stewardship, Cliffs’ employees endeavor to provide all stakeholders operating and financial transparency. For more information, visit http://cliffsnaturalresources.com.
Cliffs Natural Resources Inc. Media Contact:
Director, Corporate Communications
The mission of the Toledo-Lucas County Port Authority is to develop expertise and assets that drive and grow the region’s transportation and logistics infrastructure and its economic prosperity for all.
www.toledoport.org – 419.243.8251