RAILWAY INFRASTRUCTURE KEY TO SUCCESSFUL GROWTH
Markus Petäjäniemi,
Senior Vice President Mining & Logistics Division
2013-03-14
A 200 YEAR OLD CHALLENGE
In 1736 the surveyor Anders Hacksell
drew the first maps of the two prospective
mining mountains in northern Sweden.
For a long time it was considered as an
impossible project to break the iron ore
around Kiruna and Malmberget.
THE RAILWAY TRANSPORT SYSTEM
Construction of Malmbanan and Ofotbanen to the Atlantic coast was a premise
- not just for LKAB but also for the development of Kiruna and Narvik communities
Foto: Hilde L
124 YEARS OF LOGISTICS
1888 The first ore train with 40 wagons arrived to Luleå
1890 LKAB company was established
1903 ”Malmbanan” railway from Kiruna to Narvik was inaugurated
1996 LKAB established subsidiary ore traffic company
1996 New harbour in Luleå
2000 Increased axel load to 30 tonnes
2004 New IORE locomotives and wagons
2009 New harbour structure in Narvik
2012 New railway opened in Kiruna
THE IRON ORE MARKET AND LKAB
LKAB
Competitors
•
Pellets from magnetite as a
nisch strategy
•
4200 employees, whereof 17 % women
•
90% of the EU15 Iron Ore production
LKAB37 - HEADED FOR 35 % GROWTH
Narvik
Harbour
Kiruna
Under ground
mining and
processing
Malmbanan
Railway Narvik Luleå
Svappavaara
Open pit mining
and processing
Malmberget
Under ground
mining and
processing
Luleå
Harbour and
Head Office
IRON ORE OPERATIONS
PREPARED FOR THE FUTURE
Pelletizing plant
in Malmberget
2001
19,5 Mt
9
Pelletizing plant
in Kiruna
Logistics
2006
23,3 Mt
Narvik
harbour
New main
hauglage levels
2012
26,3 Mt
New mines
> 2015
> 37 Mt
PERFORMANCE IN IRONMAKING
Mertainen
Start planned in 2015
Gruvberget
E10 highway towards Kiruna
In operation May 2010 June 2012. Plans to restart
operations before 2015
Power network
Leveäniemi
Start planned in 2015
THE SVAPPAVAARA FIELD
- EUROPE’S BIGGEST IRON ORE PROJECT
Malmbanan
railroad
EXTENDING MINING OPERATIONS BY 25 YEARS
Final products
(Mt/year)
Further organic
growth potential
Further capacity
planned
Present capacity
11
Narvik
169 km
Kiruna
100 km
40 km
Svappavaara
Malmberget
204 km
WORLD CLASS LOGISTICS
Luleå
NARVIK HARBOUR
Depth:
Number of Silos:
Storage/Silo:
Number of Vessels/Year:
Shipped Products/Year:
Destinations:
27 m
12
105 000 tonnes pellets, 130 000 tonnes fines
About 200
19 Mt
Europa, Middle East, US and Asia
A CHALLENGE NORTH OF THE
ARCTIC CIRCLE
2012-12-27
BEHOV AV TÅGLÄGEN PÅ OFOTENBANAN 2014-2017
Antal tåglägen
18
16
14
12
10
8
6
4
2
0
16
14
17
14
10
Idag*
2014 2015
2016***
hösten** (LKAB37)
2017***
* Avser ordinarie tåglägen. Ett elfte extra tågläge finns med i tågplanen för 2012.
** Under 2014 ökar utskeppningstakten över Narvik med närmare 6 Mton/år. I
början på året behövs elva tåglägen, men i slutet av året krävs ytterligare tre
tåglägen för att klara leveranstakten som gäller för 2015.
*** Tillväxten efter 2015 i enlighet med långsiktig plan. Dock än ej fastställd av
LKAB’s styrelse.
15
CHALLENGES
• Capacity on Malmbanan and Ofotenbanen
• Extended sidings at Björnfjell and Rombak
• Double track on Malmbanan and Ofotenbanen
Foto: Hilde L
THANK YOU FOR LISTENING!