LKAB Invests in Centralized Recycling Center to Advance Long-Term Waste Management Goals

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LKAB, the Swedish state-owned mining and minerals company, is enhancing its sustainability infrastructure with the construction of a centralized recycling facility designed to consolidate and modernize its waste management processes. Currently, LKAB handles waste across three primary sites: an environmental store, a disposal site, and a decantation facility. To streamline operations and strengthen its environmental performance, the company has commissioned Nordic construction and civil engineering firm NCC to build a new recycling center in Kiruna.

The project marks a strategic shift in how LKAB manages the roughly 16,000 tons of waste it generates annually from mining and processing operations. Approximately half of that waste consists of metal and iron scrap—a reflection of the scale and intensity of its industrial processes. By consolidating waste management into a single, purpose-built facility, LKAB aims to reduce environmental impact, improve operational efficiency, and align more closely with its long-term sustainability targets.

Facility Design and Scope

NCC’s assignment includes the development of a state-of-the-art recycling center featuring a 2,000-square-meter building for the management of hazardous waste and waste oil, as well as approximately 40,000 square meters of adjacent land allocated for sorting and processing general industrial waste. The facility will also house a dedicated section for hazardous materials, a maintenance garage, and administrative offices—enabling an integrated approach to on-site environmental management.

Stefan Lahti, Division Manager at LKAB, stated:

“Currently we manage around 16,000 tons of waste per year, half of which is metal and iron scrap. We are a large and complex operation, and this places considerable demands on us. But we also place considerable demands on ourselves—we want to work preventively, in a forward-looking manner and sustainably over the long term. That is why it is also natural to invest in a new recycling center that will give us even better conditions for achieving our ambitious goals.” 

A Modern Infrastructure for Sustainable Industry

The collaboration underscores NCC’s capabilities in delivering sustainable infrastructure tailored to the needs of high-impact industries such as mining and energy.

Linda Bäckström, Project Manager at NCC Infrastructure Kiruna, share

“NCC has a broad range of know-how in environmental technology, and we are pleased to be entrusted with building a modern recycling center that will give LKAB a solid basis for dealing with the waste from its operations.” 

Project Timeline and Investment

The project represents a SEK 160 million investment (≅ $15 million) and will be registered under the NCC Infrastructure business area’s order intake in the second quarter of 2025. Construction will commence immediately, with completion targeted for autumn 2026.

As mining operations continue to face increasing pressure to decarbonize and operate within the limits of environmental regulations, projects like this highlight the growing importance of proactive waste management infrastructure.

Environment + Energy Leader