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Continued increase in production, extraordinary dividends distributed

The quarterly report for Q4-21 is prepared based on NGAAP (Norwegian General Accepted Accounting Standard). Going forward, all financial accounts, including the annual report published at 11 February 2022, will be prepared according to IFRS.

Increased production and solid financial hedges partly offset eased market prices in Q4-21. The company has resolved to distribute a quarterly dividend for the quarter of NOK 1.51/share. During 2021, Rana Gruber distributed a total of NOK 11.05/share.

Mo i Rana, 11 February 2022 – The Norwegian iron ore producer Rana Gruber posted its Q4 results with revenues of NOK 253.5 million (NOK 469.8 million in Q4-20). Iron ore prices ticked up to levels around USD 120/mt at the end of the year. For 2021, Rana Gruber’s revenues amounted to NOK 1.62 billion – up 21 per cent compared to 2020.

– It has truly been a milestone year for Rana Gruber; lifting our revenues with more than 20 per cent, listing our company at Euronext Growth and distributing more than NOK 413 million as dividends to our shareholders during the year – showcasing the strong value creation in our company, says CEO Gunnar Moe.

During 2021, Rana Gruber has distributed NOK 11.05/share, including dividends paid out prior to the listing in February and an extraordinary dividend distribution in the fourth quarter. In Q1-22, the company will distribute NOK 1.51/share for Q4-21 – supplemented by a new share buyback program including repurchases of NOK 14 million during the first quarter of 2022.

– The fourth quarter of 2021 was marked by a stabilised market, continued operational improvement enabling an uptick in production, and extensive work on lifting the company to the main list at Oslo Stock Exchange, says Moe.

Increased production

435’ metric tons (mt) iron ore concentrates were produced in the fourth quarter of 2021, up 10 per cent from the same period in 2020. The company decided to increase production levels during the quarter to mitigate the risks associated with the outbreak of the Omicron variant of the coronavirus.

– We continued the positive production trend also in this quarter, enabled by operational planning, cold but dry weather, and increased activity in the open pit mine, which was initiated to compensate for the variability in the underground production related to the shift in mining level, says Moe.

For 2021 in total, the production of iron ore concentrates amounted to 1 653’ mt (1 559’ mt in 2020).

Reduced cash costs per mt produced

Despite higher energy prices and expenses related to increased activity in the open pit mine, the cash costs per mt produced was reduced by four per cent compared to Q4-20 and amounted to NOK 477.2 per mt.

– We will continue to focus on improving our cost base. However, I’m satisfied that we have delivered cost reductions despite the extreme energy markets and the increased activity at the end of the year, says Moe.

Rana Gruber has applied for transfer from Euronext Growth Oslo to the main list at Oslo Stock Exchange, a transfer requiring increased corporate activity. The transfer is expected to be concluded towards the end of the first quarter of 2022.

Operational cash flow secured

Net profits came in at NOK 100.4 million, including net gains from hedges of NOK 103.3 million. In Q4- 21, Rana Gruber made hedging positions securing volumes until Q4-22. Following quarter-end, the company made further agreements securing volumes as far as Q1-23.

Except for leasing obligations, the company’s debt towards financial institutions consists of an unused credit facility of NOK 100 million. Due to the strong financial position of Rana Gruber, the company repaid the entire USD loan of NOK 50 million in the fourth quarter of 2021.


CEO, Gunnar Moe

+47 94147650

CFO, Erlend Høyen

+47 90202741


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