New Millennium Iron Corp. Announces New Development Approach to Its Taconite Properties
CALGARY, Alberta, Canada (September 16, 2015) – New Millennium Iron Corp. (“NML” or the “Company”) (TSX: NML) (OTCQX: NWLNF) today announced that it will pursue a new development approach to its significant taconite iron ore properties as an extension of the comprehensive feasibility studies already carried out on the Company’s LabMag and KéMag taconite deposits (please see NR 14-04 dated March 27, 2014 and NR 14-06 dated May 13, 2014).
In response to the new realities of the macroeconomic environment, NML’s board of directors has approved a strategic initiative involving the re-scoping of a taconite project sized for market entry and at a capital cost that increases the opportunity for investment and development.
This latest initiative, called the NuTac Project (“NuTac”), evaluates at the pre-feasibility level development scenarios for the deposits at various production rates, using existing rail infrastructure from the Schefferville/Menihek region now in service for heavy haul trains and connected to the Port of Sept-Îles, Québec, where NML is a participant in a new, state-of-the-art, deep-water dock.
NML controls a certified National Instrument 43-101 taconite resource base spread across seven properties, including LabMag and KéMag, located in the Schefferville/Menihek region of Canada’s Labrador Trough. These long-life deposits, some of which are continuous, are all capable of producing high-quality pellets for blast furnace or direct reduced iron applications, or a chemically pure concentrate that can benefit steelmakers as a low-gangue blending ore. The pellet segment carries a price premium in the iron ore market.
Robert Patzelt, President and CEO of NML, commented, “Our taconite properties are a tremendous asset and offer steelmakers worldwide a long-term, strategic source of high-quality products. The uniformity of the deposits means that mining, processing and equipment selection know-how from the comprehensive techno-economic work carried out on the LabMag and KéMag deposits is readily transferrable to the other properties, thereby enabling an accelerated development timeframe. Studying the use of existing infrastructure and various production levels through NuTac will complement our earlier work and provide project optionality in response to dynamic market conditions.”