COLERAINE  — Magnetation has broken ground on a fourth plant in northern Minnesota.

The $155 million iron ore plant is located behind Mt. Itasca, just west of Coleraine.

The plant will have the capacity of 2 million tons of concentrate, which will be sent by rail to their pellet plant in Reynolds, Ind.

The plant is expected to bring 160 full time jobs. Chief Operating Officer Matt Lehtinen said the average pay of their mining jobs is $90,000.

Magnetation opened their first plant in Keewatin in 2009, and has since opened two more. One is a partnership with Steel Dynamics, called Mining Resources.

A ground-breaking ceremony for the fourth plant was held Thursday. It is expected to be running by January 2015.