Kiruna receives 227 million from LKAB for urban relocation

Kiruna receives 227 million from LKAB for urban relocation
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full screen The new city center in Kiruna is now partially completed, three kilometers away from the old city center. Archive image. Photo: Fredrik Sandberg/TT

LKAB makes an extra payment of SEK 227 million to Kiruna municipality for unforeseen costs in connection with the major urban transformation that is underway. Parts of the city are forced to move because mining has undermined the ground.

“It is a matter of course that we must reimburse costs that have been incurred and that are our responsibility, we recognized that already when we signed the agreement with the municipality,” says Linus Niva, LKAB’s director of social transformation in Kiruna, in a comment.

The municipality welcomes the payout, which will improve cash flow and help cover unforeseen costs, including for new infrastructure and damaged district heating lines.

So far, LKAB has replaced Kiruna with around SEK 5 billion plus in the form of properties worth around SEK 2.5 billion.

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