Iron Bear Project

Infrastructure

Property Location

  • The Property is located in Newfoundland Labrador, approximately 25 km northwest from the town of Schefferville.
  • The Property consists of 14 contiguous map staked licenses totalling 831 mineral claims of 20,775 ha.
Figure 1. Property Location

LOCAL RESOURCES AND INFRASTRUCTURE

Low-cost hydropower

Low-cost hydropower is available from Menihek located 70km from Project Iron Bear and connected by two 69kV power lines. Estimated expansion capacity is limited but can be augmented cost-effectively by other sources.

Heavy haul rail

Heavy haul rail is available and connected to the open access Pointe Noire Iron ore export terminals.

Iron Ore Export Facilities

Open access Pointe Noire Port is accessible with Iron Ore Export Facilities.

Schefferville is a small mining town

Schefferville is a small mining town with good amenities and infrastructure connected by road to the Iron Bear potential mining operations.

Daily scheduled air service

is available in Schefferville from Wabush and Sept-Îles and twice weekly trains running from Schefferville to Sept-Îles.

Iron Bear Infrastructure

The rail, port and power infrastructure are all in excellent condition with high potential to expand and low CAPEX requirements

Figure 2. Schefferville Township
Figure 3. Menihek Hydro-Power Facility
Figure 4. Hydropower network overview

MENIHEK HYDROPOWER FACILITIES

  • Menihek hydropower plant is located 68km from Schefferville and approximately 130km from Iron Bear
  • Menihek is connected to Schefferville with two 69kV powerlines.
  • Menihek features a 228.6m long gravity dam and a spillway with a capacity of 4,247 cubic meters per second. The estimated power generating capacity of the existing spillway is 40-60 MW consistently throughout the year.
  • There are currently three turbines installed with a combined capacity of 18.7 MW. These turbines date back to the 1960s and the powerhouse was designed for four turbines.
  • Various power supply scenarios are currently being considered for the project dependent on project scale, including Menihek upgrades, wind power augmentation and supply from Churchill Falls via new transmission lines and associated equipment.

REQUIRED UPGRADES FOR 20 Mta PELLETS PRODUCTION

  • 3 x 50 MW turbines to be installed and upgraded of powerhouse and spillway. Estimated CAPEX ~ USD 1201 m
  • Upgrade powerlines between Schefferville and Iron Bear. Estimated CAPEX USD 25m
  • Total CAPEX = USD 145m
  • Amortisation of CAPEX on power cost : 12 cent USD / kWh
  • 1. Refer to Power calculation in appendices
  • 2. Assuming 20-year payback with IRR of 10% , USD 120m Capex and 150 MW power

overview

Geology

Metallurgy

Pellets

Infrastructure