Champion Iron's Strategic Partnership: Unlocking the Potential of the Kamistiatusset Project

Champion Iron Limited (CIAFF) has recently announced a strategic partnership with Nippon Steel Corporation (Nippon) and Sojitz Corporation (Sojitz) to advance the feasibility assessment and potential development of the Kamistiatusset Project (Kami). This collaboration, valued at $245 million, will see the Partners contribute 49% of the interest in the project, with Champion Iron retaining the remaining 51%. The Partners will also share development and construction costs pro-rata, with Champion Iron potentially receiving future payments based on the project's financial performance. This alliance highlights Champion Iron's commitment to advancing its Kami project, which is recognized as a critical mineral by the Newfoundland and Labrador, Québec, and Canadian federal governments. The partnership with global industry leaders like Nippon and Sojitz underscores the rare quality of the Labrador Trough's resources and the region's proven ability to construct and sustainably operate sizeable high-purity iron ore projects.



This partnership brings significant financial and operational benefits to the Kamistiatusset project. Nippon Steel, a global leader in steel production, offers technical expertise and market access, while Sojitz, a diversified global conglomerate, provides financial resources and operational support. Together, they contribute $245 million for a 49% stake, reducing Champion Iron's financial burden and accelerating project development. Additionally, they share development and construction costs pro-rata, further easing Champion Iron's capital requirements. This partnership enables Champion Iron to tap into established networks and resources, expediting the project's feasibility assessment and potential development.



The collaboration with Nippon Steel and Sojitz also enhances Champion Iron's operational capabilities and market reach. Nippon Steel's extensive industry expertise and technological know-how can optimize Champion Iron's iron ore production processes and improve product quality. Sojitz's access to its global network enables Champion Iron to expand its customer base and enter new markets, particularly in Asia. This collaboration strengthens Champion Iron's financial position and expands its operational and market reach, positioning it for long-term success in the iron ore sector.

In conclusion, Champion Iron's strategic partnership with Nippon Steel and Sojitz is a significant milestone in the development of the Kamistiatusset project. This collaboration brings substantial financial and operational benefits, enhancing Champion Iron's access to capital, resources, and global markets. With the involvement of global industry leaders, Champion Iron is well-positioned to advance its Kami project and capitalize on the region's high-quality resources and operational expertise.