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Kamistiatusset iron-ore project, Canada

5th February 2021

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

     

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Name of the Project
Kamistiatusset (Kami) iron-ore project.

Location
Western Labrador, Canada.

Project Owner/s
Champion Iron.

Project Description
The updated feasibility study on the Rose deposit of the Kami project, completed in September 2018, has demonstrated the strong economics of the project, which will produce a premium-quality iron-ore concentrate with higher iron content and ultralow impurities relative to the 62%-iron grade benchmark.

The project hosts proven and probable reserves of 517.2-million tonnes grading 28.8% total iron and will produce 7.84-million tonnes a year of 65.2% iron concentrate over a 23-year mine life.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $1.70-billion and an internal rate of return of 24.6%, with a payback of four years.

Project Owner/s
The total estimated capital cost of the project is $982.41-million.

Planned Start /End Date
The project will take 26 months to construct.

Latest Developments
Champion Iron will review and revise the feasibility study of the recently acquired Kami project.

The revision of the Kami feasibility study will seek to strategically position Champion Iron for growth opportunities, CEO David Cataford has said.

The acquisition of the Kami project secured Champion an additional eight-million tonnes a year of port capacity, including a prepayment of port-related fees, at the multiuser berth of the Port of Sept-Îles, which it currently uses to export iron-ore concentrate from Bloom Lake.

Key Contracts, Suppliers and Consultants
Envest (equipment management and acquisition) and Schneider Electric (power infrastructure).

Contact Details for Project Information
Alderon Iron Ore, tel +1 604 681 8030 or email info@alderonironore.com.

Edited by Creamer Media Reporter

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