With the publication of the results of the 4e quarter of its 2024 fiscal year, Champion Iron announces its strategy to solidify operations at Bloom Lake. The Quebec Iron Ore subsidiary plans investments to optimize iron production at the mine near Fermont.
The CEO of Champion, David Cataford, expresses his expectations for the operator of the railway to Sept-Îles. He wants rail transport services to be improved and keep up with the production rate of Ore iron Quebec, “to allow us to continue to exercise our leadership in the green steel supply chain. »
Storage at Bloom Lake
Shipments during the quarter ended March 31, 2024 were impacted by continued deficiencies in rail services, as well as planned and unplanned maintenance activities at port facilities. Due to the continued mismatch between rail services and the growing production capacity of Bloom Lake, stocks of iron ore concentrate accumulated at Bloom Lake have increased significantly since June 2023.
David Cataford specifies that the operational strategy aims to push Lake Bloom’s production beyond its nominal capacity. “Our technical team is now analyzing the investments required to structurally increase Bloom Lake production beyond 15 Mtpa over time. »
Production on the rise
During the quarter ended March 31, 2024, 16.0 million tonnes of material were extracted and transported, compared to 14.2 million tonnes during the same period in 2023, for an increase of 12%. This increase reflects the contribution of the new equipment added, specifies the Champion Iron press release.
The material extracted and transported, on the other hand, represents a decrease of 12% from one quarter to the next. The decrease is mainly attributable to reduced availability of loading equipment and winter conditions.
Champion CEO David Cataford also highlights the benefits of the new collective agreement signed during the quarter with the United Steelworkers union. “It is mutually beneficial for all our stakeholders. Its duration of 5 years provides long-term stability for our employees, our organization and the community. »
Liquidity available to support the company’s growth initiatives, including amounts available under the Company’s credit facilities, totaled $942.1 million at the end of the quarter.
