Mo i Rana, 7 September 2023 - Rana Gruber ASA has an ongoing dialogue with
political authorities with the intention to prevent notified fee increases
initiated by Bane NOR from being introduced. The proposed increase is affecting
the railway transport of iron ore from the mine to Rana Gruber's processing
plant.
Rana Gruber strongly disputes the basis that Bane NOR has used to calculate the
new fees, and both the Ministry of Transport and the Norwegian Railway Authority
have questioned Bane NOR's fee calculation. The calculation model also involves
significant uncertainty concerning the future fee level.
The proposed new calculation basis implies - if it is carried out - an estimated
increase in Rana Gruber's total cash cost of 15-20 MNOK from 2024. Bane NOR has
declared further increases for the coming years, but so far these have not been
quantified. More importantly, increasing the railway fee is counterproductive to
the efforts to reach Norway's climate goals for 2030. In light of this change in
the regulatory framework, Rana Gruber has now initiated a process to explore
alternative transportation methods, considering both cost and sustainability.
Rana Gruber has approached the government and parliamentary politicians with the
intention to reverse the proposal. Unless political measures are taken to oppose
the proposal, there is a risk that the multiplication of fees will be made
effective from 2024.
For more information, please contact:
CEO, Gunnar Moe
+47 941 47 650
Gunnar.moe@ranagruber.no
CFO, Erlend Høyen
+47 902 02 741
Erlend.hoyen@ranagruber.no
About Rana Gruber ASA
Rana Gruber is a Norwegian iron ore producer established in 1964, with
operations based on more than 200 years of mining experience. The company's
products are based on natural mineral resources, which are processed and
exported to customers worldwide. Key customers include steel producers and
participants in the chemical industry. The company has about 300 employees and a
production capacity of 1.8 million metric tons of iron ore concentrates.