Swedish renewables developer Vattenfall and compatriot miner Kaunis Iron have signed a letter of intent to develop fossil-free electricity solutions to power one of the latter’s iron ore sites.
Wind projects such as the Käymävaara and Selkävaara can play an “important role” in powering the Pajala project, said Vattenfall.
Vattenfall and Kaunis Iron also want to develop solutions for the electrification of rock and passenger transports in the mine and other parts of the plant in the mining area wherever possible.
An investigation is already underway into fossil-free transport solutions between the mine in Kaunisvaara and the transshipment terminal in Pitkäjärvi.
Kaunis chief executive Klas Dagertun said the agreement is an “important step” to achieving the goal of being one of the world’s most sustainable iron ore suppliers.
“We have high ambitions when it comes to not merely meeting the requirements already in place for sustainability,” he said.
“It is very positive that we are now joining forces with Kaunis Iron to take a step towards increased electrification in order to phase out fossil fuels, which is a necessary step in our joint work on the greatest challenge of our time,” added Vattenfall chief executive Anna Borg.
“Fossil-free solutions have a natural place in future society and basic industry.”