Champion Iron Announces $20 Million Commitment from Quebec Government for Labrador Trough Feasibility Study

Champion Iron Limited (ASX:CIA,TSX:CIA) notes that the Ministère des Finances Québec has committed up to $20 million towards the funding of a feasibility study in order to determine the optimum rail option for a new rail link to help iron ore miners in the Labrador Trough to access global markets. The feasibility study will take into account concerns of all potential users to ensure a multi-user system favouring the conclusion of a joint investment.

As quoted in the press release:

In tabling the Budget 2014-2015 this week, the Québec Finance Minister Carlos Leitão announced a series of actions and measures to support mining development in Québec. Among these measures, the government has announced that it will evaluate the need for a new rail link to the Labrador Trough to determine the optimum features of the new infrastructure. The government has set aside a maximum of $20 million from its Northern Plan Fund to contribute to a study to determine the optimum rail option for iron ore miners in the Labrador Trough region to reach ports to service international markets competitively.

Champion CEO, Thomas Larsen, said:

This multi-user rail initiative, combined with the financial and operational expertise that Champion has after its recent merger, provides the company with a potentially clearer path towards the eventual delivery of product to the port of Sept- Îles in a competitive and cost efficient manner

Click here to read the Champion Iron Limited (ASX:CIA,TSX:CIA) press release