By Jerry Burnes/Iron Range Today

UPDATE: Cliffs responded to the Mesabi Metallics claims in a letter to the Minnesota DNR calling the lease situation “categorically false” and “libelous.” Cliffs went to say that it has demanded arbitration as permitted by the lease terms and said the leases “explicitly provides that Cliffs’ operations shall not be interrupted by any disagreement or controversy concerning the leases until such matters are finally determined by such arbitration.”

Oh, to be a lawyer.

If you’re not keeping up with the handful (if not more) of legal cases involving Mesabi Metallics and Cleveland-Cliffs — kudos goes out if you are — there might be another one to add to the fire.

The Mesabi Tribune reported Thursday that Mesabi Metallics is terminating a mineral lease agreement, about 3,200 acres worth, with Cliffs for “failure to provide mine plans and interference with Mesabi’s rights as surface owner of the lands.”

Cliffs isn’t commenting on the matter and it’s unclear if the termination will go into effect, enter arbitration or otherwise.

Mesabi Metallics purchased the land and minerals in Nashwauk in 2021, which were previously leased to Cliffs by Glacier Park Iron Ore Properties as part of a larger transaction in 2017 that saw the Cleveland-based steel giant also purchase property at the former Butler Taconite site.

The two companies are in the midst of a long-running, highly-contentious feud over the Nashwauk site, which intensified this year after Cliffs was awarded state mineral leases, previously held by the former, by the Executive Council after Mesabi failed for years to develop a mine and processing plant.

Multiple sources with knowledge of the private lease agreement, who spoke on background, confirmed to Iron Range Today that it contained tangible benchmarks for Cliffs to meet, like a mine plan, but indicated the issue could be resolved, citing the terms, thus negating the alleged breach.

Those sources also pointed to the timeline of any mine plan Cliffs would develop for Nashwauk and noted the minerals in question would not be mined for decades, while the neighboring land owned by Cliffs would likely be mined first.

Cliffs plans to use the Nashwauk minerals to extend the life of Hibbing Taconite, which is scheduled to run out of ore by 2026, in the best-case scenario, taking more than 750 jobs with it. The decision to award state leases to Cliffs in May is currently being appealed by Mesabi Metallics, and a decision is expected this fall.

The two companies are also expected to go to trial early next year over an antitrust lawsuit filed by Mesabi Metallics against Cliffs in 2017.

Mesabi Metallics, according to the Mesabi Tribune, said it plans to use its cache of mineral leases for a proposed taconite project, if the lease termination with Cliffs goes through. The company, owned by Essar Group, has tried to construct the project since 2008.

Company officials have warned of a potential bankruptcy if they fail to regain the state leases, a federal bankruptcy judge has indicated Mesabi Metallics could receive a monetary award if it prevails in the antitrust suit.

Cliffs, which owns and operates four of the six active mines on the Iron Range, entered the bidding process to buy steel titan U.S. Steel in August.