Construction on the world's first iron nugget mine continues in Hoyt lakes.
Early Wednesday, Governor Tim Pawlenty and local officials got a firsthand look at the site of the 235 million dollar project.

Chris Buckley reports:

The project has created more than 300 construction jobs at the site of the new plant, which is on land formerly owned by LTV steel in Hoyt Lakes.
And will create more than 50 new jobs when it's up and running.

It's a project 7 years in the making.

At the same site where, when LTV steel closed, left 14-hundred people jobless.

"when it was proposed that the world's first nugget plant would be opened on the Iron Range, the hopes dashed by the LTV closure were revived."
The plant will use state of the art technology to make highly concentrated iron nuggets that will be turned into steel.

It's a partnership between Steel Dynamics and Kobe Steel.

"This partnership takes a raw material, a new technology and gives it value added opportunity and I'm really proud our state is the place it's going to be developed."

Company officials stressed the importance of the local community.

"You will drive us to success and revolutionize the iron making industry, a bring a lot of value into the community."

Bringing the plant to the Iron Range was a team effort as well... Iron Range Resources provided significant start up capital... and state legislators set up the 21st century minerals fund.

"We put together a 65 million dollar fund we said should be used toward advancing jobs on the Iron Range and diversifying the economy, as well as enhancing the taconite industry, and had it not been for the 21st century minerals fund, I believe this would not be happening right now."

Michelle, the plant is expected to have an annual capacity of 500-thousand metric tons, and production is anticipated to start about a year from now.

Chris, I understand there's been talk of possibly expanding the plant in the future.

That's right Michelle, officials with Steel Dynamics say one they're commercially successful, they hope to expand their operations, and possible create several hundred jobs as well.