TORONTO, ONTARIO -- (Marketwired) -- 08/11/17 -- Black Iron Inc. ("Black Iron" or the "Company") (TSX: BKI) Chief Executive Officer, Matt Simpson, will participate in a live video interview with Proactive Investors on Monday, August 14, 2017.
On July 19, 2017, Black Iron announced the engagement of BBA to develop a new National Instrument 43-101 compliant Preliminary Economic Assessment ("PEA") on its wholly owned Shymanivske iron ore project (the "Project"). As background, Black Iron released a positive bankable feasibility study on the Project in 2014. The study was based on the annual production of 9.9MT of high grade 68% iron content concentrate at an estimated cost of US$45/T, used the long-term broker consensus iron ore price at the time of US$95/T and an exchange rate of eight Ukrainian Hryvnia (UAH) to the U.S. dollar. Today, the exchange rate is approximately 26UAH:US$1 and iron ore with 62% iron content is selling for approximately US$77/T. Using the current exchange rate is expected to materially reduce the projected upfront capital cost since a significant amount of the construction costs including labour, concrete, steel and secondary equipment such as conveyors will be Ukraine based. The lower exchange rate also results in significantly lower operating costs as achieved by existing Ukraine iron ore miners such as Ferrexpo, who has seen its reported full year operating costs decrease from approximately US$46/T in 2014 to US$28/T in 2016.
Black Iron is a TSX listed company that went public in 2011, raising approximately $36 million at a price of CAD$1.40 per share. After completing its bankable feasibility study on the Project in 2014, Black Iron entered into funding and strategic arrangements to provide a significant portion of the capital required to move the Project forward towards production. Soon after, due to political unrest in Ukraine and a sharp correction in the price of iron ore, the development of the Project was delayed and funding agreements subsequently dissolved. During the last three years, Black Iron has been working in Ukraine to obtain the land rights for the Project (see press releases dated January 23, 2017, March 29, 2017, and July 18, 2017). Early in 2017, with a strong recovery in commodity price and little escalation in the Russia/Ukrainian conflict, Black Iron developed a new revitalized go-forward plan for the development of the Project, which included the preparation of the PEA.
In this upcoming live interview, Matt Simpson will discuss the merits of the Project, the political environment inside Ukraine, his outlook for iron ore prices moving forward, and why an investment in Black Iron, at current valuations, is well justified given the potential impressive rates of return.
The interview will take place at 10.00 a.m. (EST). Those interested in learning more about Black Iron as an investment opportunity are encouraged to send in questions for Black Iron's management to firstname.lastname@example.org.
Please join the broadcast by clicking on the following link at the specified time: https://www.youtube.com/watch?v=oGMkIv2ykDU.
About Black Iron
Black Iron is an iron ore exploration and development company, advancing its 100% owned Shymanivske project located in Kryviy Rih, Ukraine. This project contains a NI 43-101 compliant resource estimated to be 645.8 Mt Measured and Indicated mineral resources, consisting of 355.1 Mt Measured mineral resources grading 32.0% total iron and 19.5% magnetic iron, and Indicated mineral resources of 290.7 Mt grading 31.1% total iron and 17.9% magnetic iron, using a cut-off grade of 10% magnetic iron. Additionally, the Shymanivske project contains 188.3 Mt of Inferred mineral resources grading 30.1% total iron and 18.4% magnetic iron. Full mineral resource details can be found in the National Instrument 43-101 compliant technical report dated January 24, 2014 titled "Feasibility Study of the Shymanivske Iron Ore Deposit for Black Iron Inc." under the Company's profile on SEDAR at www.sedar.com. The Shymanivske project is surrounded by five other operating mines, including ArcelorMittal's iron ore complex. The Company believes that existing infrastructure, including access to power, rail and port facilities, will allow for a quick development timeline to production. Please visit the Company's website at www.blackiron.com for more information.
The technical and scientific contents of this press release have been prepared under the supervision of and have been reviewed and approved by Matt Simpson, P.Eng, CEO of Black Iron, who is a Qualified Person as defined by NI 43-101.
This press release contains forward-looking information. Forward-looking information is based on what management believes to be reasonable assumptions, opinions and estimates of the date such statements are made based on information available to them at that time, including those factors discussed in the section entitled "Risk Factors" in the Company's annual information form for the year ended December 31, 2016 or as may be identified in the Company's public disclosure from time to time, as filed under the Company's profile on SEDAR at www.sedar.com. Forward-looking information may include, but is not limited to, statements with respect to the Shymanivske project, preparation of a PEA, expected economics forecast, timing for PEA, the Company's ability to obtain the requisite land rights for the Shymanivske project, prices of commodities, performance of the Company's securities, geo-political situation in Ukraine, and future plans for the Company's development. Generally, forward looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current exploration activities; other risks of the mining industry and the risks described in the annual information form of the Company. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
Black Iron Inc.
Chief Executive Officer
+1 (416) 309-2138
Conduit Investor Relations
+1 (403) 200-3569