The Lee County Board of Supervisors in southeast Iowa unanimously approved a term sheet this week setting local tax and community-benefit payments for Mesabi Metallics’ planned steel complex, the Quad Cities Business Journal reported on Nov. 11, 2026. The board also passed a resolution supporting the plant, which Mesabi needs for its state incentive package.
What the county agreed to
- Mesabi would provide up to $10.5 million in host-community payments during development and construction.
- It would guarantee at least $112 million in new assessed property value before receiving any tax rebate.
- It would pay Lee County $50 million over 20 years in lieu of additional property taxes.
The board’s resolution is a requirement for Mesabi’s incentive package with the Iowa Economic Development Authority. The exact site has not been announced, though some Lee County officials say it will be near Wever.
The project
Mesabi Metallics, based in Nashwauk, Minnesota, announced the plan at the White House on Sept. 28, 2026. It would spend $15 billion on the Iowa steel complex and about $3 billion to finish its iron ore mine and pellet plant on Minnesota’s Mesabi Iron Range. The company calls the result “100% American steel: mined, melted and poured in Minnesota and Iowa.”
- The plant would use direct-reduced iron and electric arc furnaces, fed with pellets from the Minnesota mine and scrap steel.
- Groundbreaking is planned for 2027 and steel production by 2030. The first phase would make about 7.5 million tons a year, and CNBC said a White House official expected it to reach 10 million tons a year eventually.
- The company projects more than 6,000 construction jobs and at least 1,750 permanent jobs.
“This is a generational investment in Iowa, and this week’s vote moves it forward,” Mesabi CEO Joe Broking said.
Background
Mesabi is part of India’s Essar Group. CNBC noted that the Minnesota mine project has faced setbacks over roughly two decades, including the 2016 bankruptcy of Essar Steel Minnesota. Business Standard reported on Nov. 12, 2026, that the plan is the largest investment by an Indian company in the USA.
Source & credit
Sources: Quad Cities Business Journal: “$15 billion steel project moves forward in Lee County”, Nov. 11, 2026; Mesabi Metallics: announcement of its $18 billion integrated steel investment, Sept. 28, 2026; CNBC: “Trump announces plan for $15 billion steel plant, would be largest in U.S. history”, Sept. 28, 2026; Business Standard (via Magzter): “Made in USA: Thank you, India”, Nov. 12, 2026.