The Bloom Lake iron ore mine restarted production in February 2018. (Image: Champion Iron)
QUEBEC – Champion Iron of Montreal wants to own 100% of the Bloom Lake iron ore project 400 km north of Sept-Iles. A subsidiary will pay partner Ressources Quebec, which holds a 36.8% interest on behalf of the provincial government, a total of C$211 million in cash.
Champion subsidiary Quebec Iron Ore (QIO), operator of the Bloom Lake mine, has concluded an agreement in principal with la Caisse de dépôt et placement du Québec for a preferred share offering of C$185 million plus a commitment for a fully underwritten US$200 million credit facility with The Bank of Nova Scotia and Societe Generale.
The proceeds of such financings will be used to fund strategic initiatives and to refinance QIO’s current outstanding credit facilities, thereby significantly reducing the company’s carrying costs.
More information about Bloom Lake operations are available in the newsletter posted at www.ChampionIron.com.