Mesabi Metallics filed suit against The Minnesota Department of Natural Resources Friday, the company stated in a news release. 

This comes one day after the State agency terminated the state mineral leases related to the Mesabi Metallics project.

According to the news release, Mesabi Metallics is asking the court for an order that would prevent the DNR from taking further actions to terminate mineral leases held by Mesabi Metallics. 

They are also asking for the DNR to recognize the effectiveness of a 2020 Master Lease Amendment between Mesabi Metallics and the DNR.

In December 2020, the Minnesota DNR signed a "Master Lease Amendment" with Mesabi Metallics for its project to build a taconite and pelletization facility in Nashwauk.

As part of that amendment, Mesabi was required to meet several conditions by May 1, 2021, for the amendment to become effective. 

The DNR stated Thursday they did not meet those requirements which prompted the termination of their leases. 

Mesabi Metallics said Friday they have complied with all material terms of the Master Lease Amendment. 

"Mesabi Metallics has at all times negotiated with the DNR in good faith and will continue to do so. Unfortunately, the DNR has taken positions related to Mesabi Metallics’ compliance with the 2020 Master Lease Amendment that are commercially unreasonable and not in the best interest of the State of Minnesota," stated Mesabi Metallics in a press release Friday. 

To watch a video version of this story and see related mining stories, follow this link to the KBJR-TV website.  https://kbjr6.com/2021/05/28/mesabi-metallics-sues-minnesota-dnr-one-day-after-lease-termination/