-
- Danieli to be Northern Iron's
technology partner and exclusive engineering and procurement
supplier;
- Danieli and Northern Iron to
promote the Griffith project to strategic partners, financiers and
final product off-takers;
- Agreement includes 500,000
tonne per annum "take or pay" off-take agreement;
Vancouver, British
Columbia, Canada / ACCESSWIRE / May 7, 2014 / Northern Iron Corp.
("Northern" or the "Company") (TSX-V: NFE) (FRANKFURT: N8I)
today announced the signing of a co-operation agreement
with DANIELI & C. Officine Meccaniche S.p.A. of
Buttrio (Udine), Italy ("Danieli").
Under the cooperation agreement Northern and Danieli agree to
co-operate on re-developing the past producing Griffith Iron Ore
Mine. Although no feasibility study has been completed, the scope
of the agreement contemplates the installation of a fully
integrated operation to produce Hot Briquetted Iron (HBI)
comprising a concentration plant, pelletizing plant, an Energiron
direct reduction plant, briquetting plant and related auxiliary
systems.
DANIELI will be Northern's technological partner for
marketing and promoting the Project to possible strategic partners,
financiers and final product off-takers that can provide the
necessary funding to cover the expenses up to and including a
bankable feasibility study ("BFS") for the Griffith and Karas
projects. In addition, Danieli will provide technical data and
support for the completion of the BFS.
Basil Botha, President and CEO of Northern said; "By
completing this agreement we have aligned ourselves with one of the
world's leading direct reduction technology providers and plant
equipment suppliers to the steel industry. Danieli's "take or pay"
off-take commitment is a huge vote of confidence in the quality of
product that was produced historically prior to mine closure in
1986. Overall, the agreement with Danieli is a strong commitment
that they believe in the potential of the past producing Griffith
mine."
"Moreover, Danieli has undertaken to introduce Northern to
their client base of steel mills around the world who are already
investigating DRI and HBI plants with the intent of securing a
large steel manufacturer as a strategic partner. Steel mills, the
world over, are interested in direct ownership of raw material
production as a way of keeping raw material costs under control and
ensuring security of supply. "
"In addition, Danieli will provide Northern with market
know how along with technical data and specifications, at its own
cost, until the completion of the bankable feasibility study,
potentially saving Northern millions of dollars in consulting
fees."
About Danieli
With 2013 revenues in excess of EUR 2,7 billion, 11,000
employees and EUR140 million in R&D investment, DANIELI is one
of the world's top 3 manufacturers and suppliers of iron making,
direct reduction and steel making plant and equipment. Danieli's
product line covers the whole technology spectrum from iron ore
processing to flat and long steel finished product
processing.
Danieli plays the role of main contractor within the
Energiron alliance with Tenova. Energiron is the innovative
gas-based Direct Reduction Technology jointly developed by Tenova
and Danieli that provides an extremely productive and flexible
process, combined with high energy efficiency and the lowest
environmental impact.
Danieli is considered an expert in process development,
equipment design, engineering, manufacturing, erection and
commissioning of fully integrated iron and steel making
plants.
Danieli has established business relationships with many
of the world's largest steel makers and has a large installed base
of direct reduction plants around the world. During 2013 Danieli
started up new plants in 23 different countries including China,
Korea, Japan, USA, Mexico, Russia, UAE, India and
several European countries.
A feasibility study has not been completed and there is no
certainty the proposed operation will be economically viable and
successful in fulfilling the orders.
The geological information in the news release has been
verified by Raul Sanabria, P.Geo., who is the Qualified Person for
Northern Iron Corp. under NI 43-101.
Northern will be holding a conference call on May 8, 2014
to cover the agreement details and to provide an opportunity for Q
and A. Interested investors, brokers and analysts are invited to
dial in on May 8 at 1.00pm EST . Call details are as
follows:
Conference dial in: North America 1-888-619-1583.
International 1-800-148-223.
Participant code 267180#
About Northern Iron
Corp.
The Company is a 100% owner of five iron (magnetite)
properties in the Red Lake district. The Red Lake district is an
established mining area in Ontario, where the company has two near
term development projects, the past producing Griffith
mine and the Karas property.
The Company is currently working towards the production
of HBI, a transportable form of direct reduced iron.
HBI is complementary and a viable metallic supplement to scrap
steel. Quality scrap is a critical raw material in the steel making
process. With the diminishing supply of quality scrap steel and
ever increasing market demand, steel producers around the world
will be looking to secure alternative supplies of metallic
products.
As part of the business plan, the Company acquired the
past producing Griffith mine, which produced pellets and sponge
iron (Direct Reduced Iron/DRI) from 1968 to 1986. The mine was
owned and operated by STELCO and supplied pellets and sponge iron
to the Hamilton and Nanticoke steel mills in Ontario. The
metallurgy of the deposit has been proven over eighteen years of
production.
Almost the entire transportation infrastructure is
currently in place to both produce HBI and to ship produced HBI
into the North American market via rail and lake
barges and into Asian markets via rail through the port of Prince
Rupert. Existing infrastructure includes all weather roads, 115kV
power line, natural gas line, rail bed and port
facilities.
The Company is focusing on de-risking the project by
seeking out potential joint venture partners, off-take agreements
or a combination thereof.
Neither the TSX Venture Exchange nor its Regulation
Service Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release. No stock exchange, securities commission
or other regulatory authority has approved or disapproved the
information contained herein.
For further information, please
contact:
Basil Botha
President & CEO
Northern Iron Corp.
Tel: 604-566-8570
Fax: 604-602-9868
Email: bbotha@northernironcorp.com
Website: www.northernironcorp.com
For up to the minute news, industry
analysis and feedback follow us on
Facebook,
Twitter,
LinkedIn and
YouTube.
Northern Iron Corp. (TSXV:NFE)
Gráfica de Acción Histórica
De Sep 2024 a Oct 2024
Northern Iron Corp. (TSXV:NFE)
Gráfica de Acción Histórica
De Oct 2023 a Oct 2024