Quebec Considers Public Investment in Tata Steel Ore Project
01/22/2016 - The Canadian province of Quebec has signed an agreement in principle with Tata Steel to buy into the company’s direct shipping ore project in the Labrador Trough, reports La Presse Canadienne news service.
According to the news service, the company is looking to speed up development of the project, which produces and ships sinter fines to Tata’s European mills. Tata may spent an additional CAD400 million on the project in the next two years, according to the news service.
The project site sits on 25 hematite deposits with a resource potential of 122 million metric tons, according to Tata Steel Minerals Canada Ltd. It is connected by rail to project areas are connected via a well to the Port of Sept-Îles, Quebec.
The province is to decide how much of an investment to make by March 31, the news service said. Tata holds a majority stake in the business; iron ore developer New Millennium Iron Corp. owns a 6 percent stake in the project.
In a statement, New Millennium president and CEO Robert Patzelt said he welcomed the news of the potential investment.
“This very encouraging step by the government of Quebec shows its commitment to growing the province’s mining sector, supporting its northern regions and providing an investment climate for doing so.”
The project site sits on 25 hematite deposits with a resource potential of 122 million metric tons, according to Tata Steel Minerals Canada Ltd. It is connected by rail to project areas are connected via a well to the Port of Sept-Îles, Quebec.
The province is to decide how much of an investment to make by March 31, the news service said. Tata holds a majority stake in the business; iron ore developer New Millennium Iron Corp. owns a 6 percent stake in the project.
In a statement, New Millennium president and CEO Robert Patzelt said he welcomed the news of the potential investment.
“This very encouraging step by the government of Quebec shows its commitment to growing the province’s mining sector, supporting its northern regions and providing an investment climate for doing so.”
