TSX Venture Exchange: FEO
VANCOUVER, Jan. 30, 2018 /CNW/ - Oceanic Iron Ore Corp.
("Oceanic", or the "Company") is pleased to announce the signing of
a Memorandum of Understanding ("MOU") with Sinosteel Equipment and
Engineering Co., Ltd ("Sinosteel MECC").
The MOU formalizes the understanding and intentions of the
parties in respect of cooperation focused on the Company's Hopes
Advance project development. Specifically, Sinosteel MECC intends
to assist in the arrangement of a future equity investment,
off-take and project financing in exchange for future mining and
plant related infrastructure EPC work. The MOU is a non-binding
agreement that both the Company and Sinosteel MECC intend to evolve
to binding project financing arrangements and EPC agreements at a
future date.
Steven Dean, Chairman of
Oceanic said: "We are pleased to have progressed discussions
with Sinosteel MECC to the formalization of a memorandum of
understanding. Oceanic acknowledges the qualifications and capacity
of Sinosteel MECC and looks forward to an enduring relationship
that has the potential to deliver significant mutual benefits. With
the assistance of both Sinosteel MECC and PowerChina Huadong who
each have capability, technical expertise and track records in
mining, processing plant, power plant and port respectively, this
as an important step toward the future development of the Hopes
Advance project."
Mr. Li Ye, Deputy Marketing
Department Manager of Sinosteel MECC added:
"Sinosteel MECC acknowledges the good business opportunities
presented by Oceanic and is very happy to have signed an MOU.
Sinosteel MECC is also very happy to work with PowerChina on this
high quality low cost iron ore project and the cooperation between
two major Chinese companies on one Canadian project will be a very
good example for economic cooperation between two nations."
About Sinosteel MECC:
Founded in 1972 and incorporated
in Sinosteel Group in 1999, Sinosteel Equipment & Engineering
Co., Ltd. ("Sinosteel MECC") is focusing on industrial engineering
& service, municipal engineering and investment, energy saving
and environment protection, as well as the high-tech
businesses.
Sinosteel MECC and its affiliated companies are granted with
class-A qualifications for metallurgy and construction engineering
design, steel and construction engineering consulting,
environmental engineering design, ecology construction and
environmental engineering consulting, construction and municipal
public engineering general contracting, class-B qualification for
highway engineering general contracting and qualifications for
special equipment design, equipment integration, equipment
supervision, overseas contracting, foreign trade, environmental
pollution treatment facility operation, certified by quality,
occupational health and safety and environmental systems and
running National Engineering Research Centers for Environmental
Protection & Industrial Fume Control and for Industrial Fume
Dedusting.
About Sinosteel Group:
Sinosteel Corporation
("Sinosteel") is a central enterprise under the administration of
the State-Owned Assets Supervision and Administration Commission.
Sinosteel is mainly engaged in developing and processing of
metallurgical mineral resources, trading and logistics of
metallurgical raw materials and products, and related engineering
technical service and equipment manufacture. It is a large
multi-national enterprise with clearly defined core businesses that
integrate resources development, trade & logistics, engineering
project and science & technology, equipment manufacturing and
specialized service, providing comprehensive auxiliary service for
steel industry and other strategic emerging industries.
Sinosteel has US$10 billion annual revenue.
About Oceanic:
Oceanic is a feasibility stage company
focused on the development of its 100% owned Hopes Advance, Morgan
Lake and Roberts Lake iron ore development projects located on the
coast in the Labrador Trough in Québec, Canada. In
November 2012, the Company published
the results of the pre-feasibility study completed in respect of
the flagship Hopes Advance project outlining a base case pre-tax
NPV8 of $5.6 bn (post-tax NPV8 of
$3.2 bn) over a 30 year mine life,
supported by a NI 43-101 proven and probable reserve of
approximately 1.36 bn tonnes and a life of mine operating cost of
approximately $30/tonne. The
pre-feasibility study is available for review on the Company's
website (www.oceanicironore.com) and SEDAR
(www.sedar.com). Further information in respect of the Morgan
Lake and Roberts Lake projects, both of which have been explored
historically and which have defined historical resources, is also
available on the Company's website.
OCEANIC IRON ORE CORP. (www.oceanicironore.com)
On behalf of the Board of Directors
"Steven Dean"
Executive Chairman
This news release includes certain "Forward-Looking
Statements" as that term is used in applicable securities law. All
statements included herein, other than statements of historical
fact, including, without limitation, statements regarding potential
mineralization and resources, exploration results, and future plans
and objectives of Oceanic Iron Ore Corp. ("Oceanic", or the
"Company"), are forward-looking statements that involve various
risks and uncertainties. In certain cases, forward-looking
statements can be identified by the use of words such as "plans",
"expects" or "does not expect", "scheduled", "believes", or
variations of such words and phrases or statements that certain
actions, events or results "potentially", "may", "could", "would",
"might" or "will" be taken, occur or be achieved. There can be no
assurance that such statements will prove to be accurate, and
actual results could differ materially from those expressed or
implied by such statements. Forward-looking statements are
based on certain assumptions that management believes are
reasonable at the time they are made. In making the
forward-looking statements in this presentation, the Company has
applied several material assumptions, including, but not limited
to, the assumption that: (1) there being no significant disruptions
affecting operations, whether due to labour/supply disruptions,
damage to equipment or otherwise; (2) permitting, development,
expansion and power supply proceeding on a basis consistent with
the Company's current expectations; (3) certain price assumptions
for iron ore; (4) prices for availability of natural gas, fuel oil,
electricity, parts and equipment and other key supplies remaining
consistent with current levels; (5) the accuracy of current mineral
resource estimates on the Company's property; and (6) labour and
material costs increasing on a basis consistent with the Company's
current expectations. Important factors that could cause actual
results to differ materially from the Company's expectations are
disclosed under the heading "Risks and Uncertainties " in the
Company's MD&A filed November 22,
2017 (a copy of which is publicly available on SEDAR at
www.sedar.com under the Company's profile) and elsewhere in
documents filed from time to time, including MD&A, with the TSX
Venture Exchange and other regulatory authorities. Such factors
include, among others, risks related to the ability of
the Company to obtain necessary financing and adequate insurance;
the economy generally; fluctuations in the currency markets;
fluctuations in the spot and forward price of iron ore or certain
other commodities (e.g., diesel fuel and electricity); changes in
interest rates; disruption to the credit markets and delays in
obtaining financing; the possibility of cost overruns or
unanticipated expenses; employee relations. Accordingly, readers
are advised not to place undue reliance on Forward-Looking
Statements. Except as required under applicable securities
legislation, the Company undertakes no obligation to publicly
update or revise Forward-Looking Statements, whether as a result of
new information, future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Oceanic Iron Ore Corp.
