Northland's New Storage Building in Narvik Is Operational Which Lowers the Operating Costs and Shortens the Loading Time
LUXEMBURG, LUXEMBURG -- (Marketwire) -- 03/18/13 -- Northland Resources S.A. (OSLO: NAUR)(FRANKFURT: NPK)(OMX: NAURo) (together with its subsidiaries, "Northland" or "the Company") announces that the Company permanent storage building in Narvik is completed and operational. The building can store up to 210,000 tonnes of iron ore concentrate and is a vital part in the efficient loading of the Company's product.
The work to complete Northlands new terminal at Fagernes in Narvik, Norway, is progressing according to plan. The work includes a jetty, buildings for unloading and storage, as well as new rail way tracks and a shiploader. The Fagernes Terminal is expected to be completed in the third quarter of 2013. During the interim period a temporary solution will be in place for the self-loading of Supramax vessels, in the range of 45-60,000 tonnes.
"The first ship left Narvik on February 25, 2013. The loading went well, although the very limited storage capacity extended loading to a fortnight," said Willy Sundling, Project Manager - Logistics at Northland. "The new storage building will shorten the time for loading to three days, thus reducing freight costs."
"Peab NUF, Sandvik and all subcontractors are doing a great job in getting the terminal operational according to the original plan. The next important milestone is the unloading facilities which we expect to have operational in July 2013. This will allow us to use our specially designed rail cars and increase the transportation capacity to Narvik substantially. And when the shiploader is mounted in August, the terminal will be ready for full production and able to load Capesize vessels with up to 180,000 tonnes in three to four days in port."
Karl-Axel Waplan, President & CEO, Northland Resources S.A.
Northland is a producer of iron ore concentrate, with a portfolio of production, development and exploration mines and projects in northern Sweden and Finland. The first construction phase of the Kaunisvaara project is complete and production ramp-up started in November 2012. The Company expects to produce high-grade, high-quality magnetite iron concentrate in Kaunisvaara, Sweden, where the Company expects to exploit two magnetite iron ore deposits, Tapuli and Sahavaara. Northland has entered into off-take contracts with three partners for the entire production from the Kaunisvaara project over the next seven to ten years. The Company is also preparing a Definitive Feasibility Study ("DFS") for its Hannukainen Iron Oxide Copper Gold ("IOCG") project in Kolari, northern Finland and for the Pellivuoma deposit, which is located 15 km from the Kaunisvaara processing plant.
Contacts:
Northland Resources S.A.
Karl-Axel Waplan
President and CEO
+46 705 104 239
Northland Resources S.A.
Eva Kaijser
CFO
+46 709 320 901
Northland Resources S.A.
Anders Antonsson
Vice President - Investor Relations
+46 709 994 970
www.northland.eu
