TORONTO, Dec. 30, 2020 (GLOBE NEWSWIRE) — Century International Commodities Company (“Century” or the “Firm”) is happy to offer a strategic replace of its flagship undertaking, the Joyce Lake DSO Iron Ore Challenge (or “Joyce Lake”) within the context of the present robust iron ore worth restoration, since reaching a backside in 2015, and the constructive outlook for the worldwide seaborne iron ore market.

Iron ore has been the perfect performing steel commodity in 2020 buying and selling at a worth stage the market has not seen since concerning the starting of the last decade. Underpinning this efficiency is a powerful and regular Chinese language market progress and looking out ahead to the anticipated put up COVID-19 world stimuli shall be a further key driver, persevering with to assist the expansion in demand and powerful worth cycle.

The shortage of main new iron ore mine developments or capital expansions by the key mining firms over the previous few years has capped provide, which fails to match steady incremental demand progress. Thus far in 2020, the capped provide and powerful Chinese language demand dynamic has progressively constructed super market momentum, lately driving costs near US$180/t (62% Fe CFR China).

At present worth ranges, Joyce Lake seems very promising with a constructive feasibility research in place (the “2015 Examine” or “Examine”) which assumed a worth of solely US$95/t. If the demand and worth cycle continues its current trajectory, the Joyce Lake undertaking affords the potential of a near-term manufacturing open pit operation, with solely crushing and screening required for the direct transport ore, that provides the potential to seize this cycle and generate a a lot larger return than forecasted within the 2015 Examine.

During the last a number of years the Firm has additionally been attempting to enhance the already possible undertaking by developing with post-feasibility optimization concepts to seize additional capital and working price reductions and, as viability is confirmed, intends to mix these initiatives in an enhanced research in addition to an up to date environmental impression research, resulting in completion of allowing and a manufacturing resolution.

To finance this subsequent part of undertaking growth, the Firm is reviewing the choice of spinning out Joyce Lake as a stand-alone newly listed public firm, with the Firm retaining a majority possession, controlling shareholder place. The Firm would then pursue financing for Joyce Lake on a stand-alone foundation to reinforce the 2015 Examine and advance the undertaking in direction of a manufacturing resolution. The proposed spin-out can be accomplished in a way just like its profitable spin-out of Century Metals Inc. (“Century Metals”) accomplished in June 2019. The Century Metals spin-out included distributing to Firm shareholders a dividend in-kind of shares in Century Metals, unbiased financings and a subsequent profitable reverse-take-over transaction with Reyna Silver Company in 2020.

This selection is being reviewed additional to the November 2020 introduced consolidation of the Firm’s curiosity in its iron ore property to 100% possession, which included Joyce Lake, and with the continuing assist of its strategic companions will make any spinout transaction smoother and simpler.

The Firm will present additional updates as to any main developments.

The Joyce Lake Challenge

Century controls among the many largest iron assets in Canada which incorporates 8.4 billion tonnes of measured and indicated assets collectively with 11 billion tonnes of inferred assets. 

Following an expenditure of greater than $40M, the corporate’s most superior undertaking is the Joyce Lake DSO Iron Ore undertaking which has reserves of 17.72M tonnes at 59.71% Fe and the Examine revealed on SEDAR in April 2015 as follows.

Mineral Reserves

The mineral assets and mineral reserves are reported in accordance with Canadian Institute of Mining, Metallurgy and Petroleum (CIM) definition requirements for Mineral Sources, Mineral Reserves and their Tips, and are compliant with NI43-101.

The mineral reserves estimate for Joyce Lake DSO Challenge is ready under and was estimated in the course of the Examine.

The strip ratio is 4.09.

The 2015 Examine contemplated an open pit of two.5M t/a over a 7-year LOM producing each lump and fines from crushing and screening with no tailings generated and used a long run worth of US$95 per tonne, a capital price of $259.6M and working prices of US$46.60 FOB the port at Sept-Iles, which generated an after tax NPV_8% of $61.4M. The NI 43-101 Technical Report of the 2015 Examine is offered on SEDAR.

The Joyce Lake Challenge is situated in Newfoundland and Labrador near the city of Schefferville, Quebec which is serviced by a rail hyperlink on to ocean transport iron ore ports at Sept-Iles. A brand new 43km devoted haul highway shall be used from the Joyce Lake Challenge to the rail hyperlink.

In late 2015 we positioned the Joyce Lake Challenge on care and upkeep throughout a protracted interval of low iron ore costs. Immediately, after cautious evaluation we consider that interval is now over and we anticipate the market is coming into into the early part of a brand new cycle the place we may see an improved and higher future worth setting than that when the US$95/t was used within the 2015 Examine.

Allan (Wenlong) Gan, P. Geo, a Certified Individual as outlined by NI 43-101, has reviewed and authorized the technical info contained on this information launch.

About Century

Century International Commodities Company (TSX:CNT) is primarily a useful resource exploration and growth firm with a big portfolio of iron ore initiatives in Canada containing intensive multi-billion tonne assets principally found from its personal mineral exploration actions. It additionally has different non-ferrous metals mineral properties underneath exploration along with a well-established meals distribution enterprise in Hong Kong (Century Meals).

Joyce Lake DSO and Different Iron Ore Tasks

With Baowu and Minmetals, each International Fortune 500 firms, as Chinese language strategic companions and shareholders, Century owns one of many largest iron ore mineral useful resource bases on the planet, throughout 5 initiatives in Quebec and Newfoundland and Labrador. Joyce Lake, a DSO (direct transport ore) undertaking in Newfoundland and Labrador, is our most superior undertaking. It has accomplished feasibility and allowing research and might be dropped at manufacturing inside roughly 30 months.

Century Meals

Century Meals is a subsidiary operation of the Firm which it began a number of years in the past and is a value-adding advertising and distribution enterprise of high quality meals merchandise sourced from such areas as Europe and Australia to the Hong Kong market.

For additional info please contact:

Sandy Chim, President & CEO
Century International Commodities Company
416-977-3188
IR@centuryglobal.ca

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