Beowulf Mining Lacks Funding for Kallak Mine

Beowulf Mining’s share parices dropped 20 percent on Wednesday following media stories about how the company lacks funding for a mine in Kallak and how millions have been transfered to a subsidiary based in Kosovo which, in turn, is connected with a letterbox company in a tax haven, SVT reports.

The Beowulf spokesperson Sven-Otto Littorin argues that the stories are based on wrongful information and pure self-evident facts.

“We clearly do not have that funding in place right now. We can obviously not have eight billion kroner and just wait, that is not how it works. We need a permission from the government before we start seeking funding. However, as there are 400 million tons of iron underneath the ground in Kallak, that is the least of our problems.”

According to Swedish daily Aftonbladet, Beowulf has directed some SEK 20 million to its subsidiary Vardar in Kosovo for prospecting. This company is related to a letterbox company on the Virgin Islands, a well-known tax haven.