Canadian mining company Osisko Gold Royalties Ltd. announced Friday that it has purchased a stake in Labrador Iron Ore Royalty Corp. in order to diversify its product range. Over the course of this year, Osisko has amassed a 9.8 percent interest in the iron ore company.
“While our focus remains on precious metals, we will continue to seek out opportunities for the company where we believe Osisko will benefit from domestic, long-life assets with strong cash flow,” said Osisko Chief Executive Officer Sean Roosen in a statement.
Labrador Iron Ore receives a 7 percent gross royalty on the operations of Iron Ore Co. of Canada, an entity majority owned by Rio Tinto.