DNR Moves to Terminate Leases Held by ERP Iron Ore

The DNR is moving to terminate mineral leases held by ERP Iron Ore. | Photo: WDIO File

Updated: July 12, 2018 06:58 PM

One day after the DNR and the governor reinstated mineral leases in Nashwauk to Tom Clarke and Chippewa Capital Partners, there's a move in the opposite direction for ERP Iron Ore.

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The venture, which is the former Magnetation assets, is also operated by Clarke.

According to assistant commissioner Barb Naramore, the agency sent ERP a notice of termination on Thursday for five of the company's state mineral leases. They are for ore near Plant 4 in Grand Rapids.

The termination notice is based on delinquent lease rental payments, and the state says ERP currently owes them $34,200 in rental fees.

She added that ERP holds other state scram leases at the former Magnetation sites that are in good standing and are not covered by the notice.

Naramore said that ERP has 15 days in which to pay the outstanding amount. If it fails to do so, the leases will terminate 60 days from Thursday, July 12.

Updated: July 12, 2018 06:58 PM
Created: July 12, 2018 05:41 PM