Mechel ships first 4,000 tonnes of ore from Sivaglinskoye deposit in Yakutia - local govt

YAKUTSK. May 2 (Interfax) - The Yakutsk Ore Company, part of the Mechel group, has sent out its first shipment of ore from the Sivaglinskoye iron ore deposit in Yakutia, the press service of the republic's government said.

"About 4,000 tonnes have been shipped. Next year, the deposit will reach its design capacity with the extraction of 1.2 million tonnes of ore per year," Aisen Nikolaev, head of Yakutia, said in the government release.

It is specified that 56 rail cars were sent to the Chelyabinsk Metallurgical Plant.

As reported, Mechel began work on the development of the Sivaglinskoye iron ore deposit in the fall of 2021. At the same time, the license for the right to use the subsoil was obtained in 2012. Investments in the project will total nearly 2 billion rubles.

Earlier, the company's press service reported that it was planned to launch the pilot operation at the deposit in Q4 2022, with production volumes by the end of 2022 expected at 300-400,000 tonnes of blast-furnace and sinter ores.

The deposit is located 135 km north of Neryungri and 9 km from the railway line adjacent to the Baikal-Amur Mainline. At a distance of 8 km is the Pionerskoye iron ore deposit, the mining license for which is also owned by Mechel, and which in the long term will make it possible to create a single enterprise.

Iron ore reserves at the Sivaglinskoye deposit total 20.7 million tonnes.

Ore is mined at the deposit by the Yakutsk Ore Company, a subsidiary of AO Yakutugol Holding Company, which is part of the Mechel Group.