Mesabi Metallics Secures $150 Million for Iron Ore Project

Mesabi Metallics Co. LLC, supported by Essar Group, has secured $150 million in financing from Macquarie Group. This funding backs the Q3 2026 launch of its Direct Reduction (DR) grade iron ore mine and pellet plant in Nashwauk, Minnesota. The investment follows a $520 million credit facility with Breakwall Capital, highlighting strong support for the project.

The U.S. Export-Import Bank recently showed its backing, emphasizing the project's strategic impact on U.S. industries such as manufacturing and defense. Located on over 16,000 acres, the $2.5 billion plant will supply electric arc furnaces, enhancing domestic steel supply chains.

Mesabi Metallics' project involves 800 workers, marking it as a significant private-sector investment in Minnesota. Joe Broking, Mesabi's CEO, highlighted the project's critical role in reducing reliance on imports. Macquarie Group expressed confidence in extending their relationship with Essar Group through this investment.