LKAB has signed new agreements with Kiruna and Gällivare

Malmfälten The state-owned mining company LKAB has signed new agreements with the municipalities of Kiruna and Gällivare on compensation for additional personnel costs caused by the transformation of society in the ore fields.

Each year, LKAB has compensated the municipalities of Kiruna and Gällivare for the extra costs incurred as a result of the transformation process when the two towns had to move due to mining. Costs such as increased personnel requirements for planning and authorisation. The new agreement means that LKAB will continue to compensate the municipalities for these additional costs.

"It is important that we work together to facilitate the transition for the people affected by the changes. By taking responsibility for the additional personnel costs, we show that we are dedicated to supporting our communities in this transition," says LKAB's Director of Community Transformation Stefan Hämäläinen.

The new agreements mean that Kiruna municipality will receive compensation of SEK 40 million for 2024 and Gällivare municipality will receive compensation of SEK 60 million spread over three years.

As a result of the new agreements, Kiruna has so far received a total of SEK 412 million and Gällivare has so far received a total of SEK 261 million for additional personnel costs during the social transformation.

Lennart Håkansson

editor@northswedenbusiness.com