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BRIEF-Champion Iron to buy Bloom Lake Mine and rail assets for C$10.5 mln

Published 12/12/2015, 05:10 am
Updated 12/12/2015, 05:20 am
© Reuters.  BRIEF-Champion Iron to buy Bloom Lake Mine and rail assets for C$10.5 mln
CIA
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Dec 11 (Reuters) - Champion Iron Ltd CIA.AX :

* Announces definitive agreement to acquire Bloom Lake Mine and rail assets

* Says deal for a cash consideration of C$10.5 million and the assumption of

certain liabilities

* Believes there is capacity to reduce "care and maintenance costs at the Bloom

Lake Mine which would reduce the overall required capital"

* private placement financing of ordinary shares at price of C$0.16 per share to raise up to C$25 million

* private placement financing in order to fund the acquisition purchase price

* Discussions with strategic partners, funds, government agencies, private

investors at "advanced stage" to obtain additional financing

* Unit, QUÉBEC iron ore to buy Bloom Lake Mine and related rail assets from affiliates of Cliffs Natural Resources

* Source text for Eikon

* Further company coverage CIA.AX

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