Minnesota-based Magnetation LLC could soon close its Pellet Plant facility in Reynolds. In a notice to the state, the company says unless an investor is secured by the end of September, the plant will shut down and 160 employees will be out of work.
Magnetation says it "has been unsuccessful in coming to an agreement with an investor which would allow the company to emerge from bankruptcy as a going concern." The company says if an investor is not secured by September 30, it will begin the process of winding down operations over the next few months.
The affected employees are expected to be laid off around October 25.
According to the company’s website, the plant began operations in September 2014. The facility processes iron ore concentrate to produce high-quality fluxed iron ore pellets. Magnetation filed for bankruptcy in May of 2015.
The Pellet Plant is the only Magnetation facility in Indiana. The company has four others facilities in Minnesota.