Toronto, Ontario-based iron ore producer Labrador Iron Mines Holdings Limited (LIM) has announced that it has entered into a framework arrangement with Tata Steel Minerals Canada (TSMC), a subsidiary of India-based steel giant Tata Steel Limited, to establish a strategic relationship.
The parties have agreed to cooperate with each other in various aspects of their respective iron ore operations in the Labrador Trough and enter into definitive agreements to formalize this arrangement in due course.
Both LIM and TSMC operate adjacent direct shipping iron ore projects in Newfoundland and Labrador and in Quebec, and both utilize and intend to utilize the same rail and port infrastructure. The strategic relationship will include multi-part cooperation agreements in areas of logistics and potential off-take arrangements.
The cooperation agreement shall also include respective participation in developing infrastructure at the Port of Sept-Îles, Quebec, with the objective of establishing the access and terminal facilities for both companies to the port's new deep sea multi-user dock.