Cleveland-Cliffs to idle Northshore Mining operations in Babbitt, Silver Bay; about 400 employees impacted – KBJR 6

SILVER BAY, MN — Cleveland-Cliffs announced Friday morning the company plans to temporarily idle its Northshore Mining operations in Babbitt and Silver Bay in the Spring.

Company spokespeople shared the news during an earnings call, saying they expect both the Babbitt mine and Silver Bay pellet plant to idle from May 1 through Fall 2022.

Cleveland-Cliffs said they made this choice because they are adjusting the company’s full-year iron ore pellet production volume expectation to correspond with internal steelmaking needs for this year.

“This adjustment of iron ore pellets reflects our internal use of hot-briquetted iron (HBI) production and increased use of scrap in our steelmaking. We will be curtailing iron ore pellet production and temporarily idling our Northshore Mining,” company spokespeople wrote.

In all, Northshore Mining employs about 600 people.

Company spokespeople expect about 410 employees will be impacted by the idle.

Cliffs also idled the two facilities in the Spring of 2020 due to the economic impacts of Coronavirus.

Cleveland-Cliffs shares dropped in the fourth quarter of 2021.

The steelmaker blamed a slowdown in demand from the automotive sector.

This is a developing story. Check back for updates.

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