NEWS RELEASE: Cliffs Natural Resources Temporarily Suspends its Chromite Project Environmental Assessment Activities Pending Resolution of Various Issuesposted in Ontario Mining, Ontario's Ring of Fire Mineral Discovery |
June 12, 2013 6:01 AM – Financial
CLEVELAND, June 12, 2013 /CNW/ – Cliffs Natural Resources Inc. (NYSE: CLF) (Paris: CLF) announced today that its affiliate, Cliffs Chromite Ontario Inc., is temporarily suspending the environmental assessment activities for its Chromite Project in Ontario, Canada. The Company indicated that its decision to temporarily suspend these activities is due to delays related to the environment assessment process, land surface rights, and negotiations with the Province of Ontario.
“While most aspects of the Chromite Project have advanced according to plan, temporarily suspending the environmental assessment work acknowledges that certain critical elements of the project’s future are not solely within our control and require the active support and participation by other interested parties such as government agencies and impacted First Nation communities,” said Bill Boor, senior vice president – global ferroalloys for Cliffs. “We remain excited about this project and its potential for Cliffs and Northern Ontario; however, given the current unresolved issues, we cannot and will not unilaterally move the process forward and must manage our resources appropriately.”
The Company cited that the following open issues are impeding the progress of the project’s environmental assessment process, as well as the Feasibility Study evaluation:
- Delayed approval of the Terms of Reference for the provincial Environmental Assessment (EA) process.
- Uncertainty regarding the federal EA process due to the current judicial challenge by a number of the impacted First Nations.
- Unresolved land surface rights issues following a February 2013 Mining and Land Commissioner hearing.
- Unfinished agreements with the Government of Ontario that are critical to the project’s economic viability.
“In a practical sense, we’ve taken the EA and other project work as far as possible without resolution of these issues,” said Mr. Boor. “Although we are temporarily suspending our EA activities, we will continue our work with the Government of Ontario and First Nation communities and look forward to restarting the work on the EA when we are collectively ready to make this project a reality.”
As previously disclosed, Cliffs indicated that before it can advance the project, the Company must receive provincial and federal environmental assessment approvals, negotiate mutually acceptable agreements with impacted First Nation communities, work with governments to address the lack of infrastructure in the Ring of Fire and complete its commercial and technical feasibility studies.
About Cliffs Natural Resources Inc.
Cliffs Natural Resources Inc. is an international mining and natural resources company. A member of the S&P 500 Index, the Company is a major global iron ore producer and a significant producer of high- and low-volatile metallurgical coal. Cliffs’ strategy is to continually achieve greater scale and diversification in the mining industry through a focus on serving the world’s largest and fastest growing steel markets. Driven by the core values of social, environmental and capital stewardship, Cliffs associates across the globe endeavor to provide all stakeholders operating and financial transparency.
The Company is organized through a global commercial group responsible for sales and delivery of Cliffs’ products and a global operations group responsible for the production of the minerals the Company markets. Cliffs operates iron ore and coal mines in North America and an iron ore mining complex in Western Australia. In addition, Cliffs has a major chromite project, in the feasibility stage of development, located in Ontario, Canada.
News releases and other information on the Company are available on the Internet at: http://www.cliffsnaturalresources.com
This release contains forward-looking statements within the meaning of the federal securities laws. For the rest of of the forward-looking statements, click here: http://www.newswire.ca/en/story/1182123/cliffs-natural-resources-temporarily-suspends-its-chromite-project-environmental-assessment-activities-pending-resolution-of-various-issues
SOURCE: Cliffs Natural Resources Inc.
For further information:
Jessica Moran, Director, Investor Relations, (216) 694-6532; Patricia Persico, Director, Global Communications, (216) 694-5316