Essar Steel has been in the news plenty these days. The stories can all run together, so let’s combine the things we’ve learned recently to form a clearer picture. In a nutshell, I think Essar is headed for a sale. Perhaps a partial sale, but a major new investor is likely necessary for this new Iron Range… Read More →
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Essar misses deadline for $10 million repayment
April 6, 2016 by Leave a Comment
While the half-finished project continues to jut from the landscape in eastern Itasca County, Essar Steel Minnesota is likely going to change considerably before work continues. In fact, it might not even be called Essar anymore if many involved have their say. Dee DePass at the Star Tribune reports today that Essar Steel Minnesota has missed a late… Read More →
Essar Steel Minnesota nears bankruptcy
March 28, 2016 by 1 Comment
Essar Steel Minnesota is preparing for bankruptcy. This morning the Duluth News Tribune shared a Reuters report that the company building a new taconite plant near Nashwauk is close to bankruptcy. From a John Myers story: Essar has hired financial and legal advisers to help restructure its debt, several financial news sources reported over the… Read More →
Cliffs eyes acquiring Essar plant
March 25, 2016 by Leave a Comment
As snow fades from the ditches of Northern Minnesota, the Essar Steel construction site north of Nashwauk remains frozen in time. Minor movement in and out of the site is but partial salve for the idled hope of hundreds of jobs from the region’s largest new mining project in a generation. Essar has stated that it hopes… Read More →
Essar layoffs signal project hibernation
January 10, 2016 by Leave a Comment
Around 3 o’clock Friday afternoon, the streets of Nashwauk were busier than usual, a dozen full sized pickups parked outside the town’s two bars, DeNucci’s and Wizards. The bars face each other at the last stop sign I see before heading past Essar Steel, north to my home in the woods of Itasca County on the western Iron Range. “That’s… Read More →
Essar accepts Gov. Dayton’s repayment terms
January 1, 2016 by Leave a Comment
On Dec. 31, Gov. Mark Dayton announced that Essar Steel Minnesota has accepted the repayment terms he laid out just before Christmas. This means that the company will repay almost $66 million over the next five years. “This project is tremendously important to the Iron Range, supporting more than 700 construction jobs and an expected… Read More →
Gov. Dayton issues terms for Essar repayment
December 23, 2015 by Leave a Comment
Today, Minnesota Gov. Mark Dayton’s administration released a letter sent to Madhu Vuppuluri, CEO of Essar Steel Minnesota, demanding the company accept repayment terms for about $66 million in state grants. Dayton gives the company until Dec. 30 to accept the terms of the repayment agreement in writing. Essar owes the grant money because it did not… Read More →
Essar pays back $6 million to IRRRB
December 21, 2015 by Leave a Comment
The Mesabi Daily News reports that Essar Steel Minnesota has paid back $6 million owed to the Iron Range Resources and Rehabilitation Board (IRRRB). The loan was part of the initial public financing for the project back in 2007. Though the agency was essentially calling the loan, Essar officials were the ones to tell the… Read More →
Essar still owes millions to Iron Range contractors
December 12, 2015 by Leave a Comment
Major media outlets report that despite Essar’s payment of $20 million to local vendors after an ultimatum from Gov. Mark Dayton, the company still owes millions to contractors. Coverage includes offerings from the Star Tribune (Dee DePass story) and Minnesota Public Radio (Dan Kraker story). This matches recent casual conversations I’ve had with laid off construction workers and miners from nearby idled taconite plants. Vendors… Read More →
Tense Essar negotiations with Dayton, contractors
December 4, 2015 by Leave a Comment
UPDATE: Today, Gov. Dayton’s spokesperson Matt Swenson issued this statement, which indicates that Essar is issuing new capital into its Nashwauk project: “Governor Mark Dayton spoke Thursday afternoon with IRRRB Commissioner Mark Phillips and Cathy Polasky from the Minnesota Department of Employment and Economic Development (DEED), to discuss the status of Essar Steel Minnesota’s payments… Read More →
