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Lee County’s Board of Supervisors passed a resolution supporting construction of the steel plant that an India-based company has proposed in southeast Iowa

Earlier this week, Lee County’s Board of Supervisors passed a resolution supporting construction of the steel plant that an India-based company has proposed in southeast Iowa. That resolution was required for the company to qualify for nearly $1.4 billion in state incentives. The county and Mesabi Metallics have also reached an initial agreement that would cap the amount of property taxes the company would pay at $50 million over the first 20 years the plant is producing steel. Mesabi CEO Joe Broking says the company is getting close to acquiring the land for the plant. “One of the things we like about Iowa is access to infrastructure — first of all road and rail,” Broking said. “The site sits on the river. (It’s) very, very important for us to have access to the Mississippi River for both inbound and outbound logistics.” Broking says the company is working with Alliant Energy to figure out how to bring electricity to the site. “Whatever cost is associated with the incremental power generation and transmission related to this site…that’ll be borne by the company,” Broking said. Mesabi Metallics also needs a natural gas pipeline to be extended to the facility and Broking says Mesabi is negotiating with natural gas companies to come up with a plan. Broking says the iron ore pellets the company will produce in Minnesota have far fewer impurities and will be shipped to southeast Iowa to make steel.

Lee County, IA · 1d