| The TEX Report Topics < Iron Ore > | |
| HOME >> Topics List >> February, 2010 >> 18 (Thu) |
| NML Signs Pointe Noire Dock Usage Agreement |
| = With Sept-Îles Port Authority to ensure iron ore shipments from its DSO Project = |
|
Canadian mineral resources developing company New Millennium Capital Corp. (NML or New Millennium) announced February 16 that it has signed an agreement with the Sept-Îles Port Authority ("SIPA") for the shipment of iron ore products from its DSO properties over the SIPA owned dock at Pointe Noire (Sept-Îles), Quebec. The Port of Sept-Îles operates year round and is the largest shipper of iron ore products in North America. The agreement ensures that NML will have the right to export its products over the SIPA owned dock at Sept-Îles at competitive and established long-term wharfage rates. NML expects it can start production in 2011 with shipments reaching 4 million tonnes per annum (Mt/a) by 2013, subject to regulatory approvals, advanced engineering and procurement. Robert Martin, President and CEO, NML stated: "This is an essential agreement for advancing our DSO Project as it provides some of the required facilities to export our products. The agreement reached is mutually beneficial for NML and SIPA and falls within our previous cost assumptions. We believe that this economically competitive agreement recognizes the importance of our DSO project and that similar recognition will be evidenced in concluding other outstanding agreements." Mr. Pierre Gagnon, CEO of SIPA stated: "We are pleased with the progress New Millennium has made in moving it's DSO Project forward to this new milestone. We also support NML in its future plans to develop NML's KéMag and LabMag iron ore projects". <About New Millennium> New Millennium controls the emerging Millennium Iron Range, located in the Province of Newfoundland and Labrador and in the Province of Quebec, which holds the world's largest undeveloped magnetic iron ore deposits. In the same area, the Corporation is also advancing to near term production its DSO (Direct Shipping Ore) Project. Tata Steel, the world's eighth largest steel corporation, owns 19.9% of New Millennium and is the Corporation's largest shareholder and strategic partner. Tata has an exclusive option to participate in the DSO Project, a commitment to take the resulting production if the option is exercised, and an exclusive right to negotiate and settle a proposed transaction in respect of the LabMag Project and the KeMag Project. The Millennium Iron Range currently hosts two advanced projects: LabMag contains 3.5 billion tonnes of Proven and Probable reserves at a grade of 29.6% Fe plus 1.0 billion tonnes of Measured and Indicated resources at an average grade of 29.5% Fe and 1.2 billion tonnes of Inferred resources at an average grade of 29.3% Fe; KeMag contains 2.1 billion tonnes of Proven and Probable reserves at an average grade of 31.3% Fe, 0.3 billion tonnes of Measured and Indicated resources at an average grade of 31.3 % Fe and 1.0 billion tonnes of Inferred resources at an average grade of 31.2% Fe. The Corporation's DSO project contains 63.5 million tonnes (Mt) of Proven and Probable Mineral Reserves at an average grade of 58.8% Fe, 4.6 Mt of Measured and Indicated Mineral Resources at an average grade of 58.9% Fe, 7.15 Mt of Inferred Resources at an average grade of 55.9% Fe and approximately 40.0 Mt of historical resources that are not currently in compliance with NI 43-101. A qualified person has not done sufficient work to classify the historical estimate as current mineral resources and the historical estimate should not be relied upon. NML says its mission is to add shareholder value through the responsible and expeditious development of the Millennium Iron Range and other mineral projects to create a new large source of raw materials for the world's iron and steel industries. |
| last modified : Tue 23 Feb, 2010 [11:19] |
