Labrador Iron Mines

What Labrador Iron Mines does

Labrador Iron Mines Holdings Limited (LIMH) is a Canadian public iron ore exploration and development company incorporated in 2007 and headquartered in Toronto, operating through its majority-owned subsidiary Labrador Iron Mines Limited (~52% owned) and wholly-owned Schefferville Mines Inc. The company holds 20 direct shipping iron ore (DSO) deposits in the Schefferville area of the Labrador Trough — one of the world's premier iron ore districts — and the Elizabeth Taconite Project with ~620 million inferred tonnes at 31.8% Fe. Its deposits are high-grade hematite grading 56-69% Fe that can be fed directly into blast furnaces without further concentration.

LIMH's core products are DSO lump ore (preferred in blast furnaces) and sinter fines, historically extracted via open-pit mining with simple crushing and screening at the Silver Yards processing facility near Schefferville. Ore is transported via the existing 565km rail network (operated by Tshiuetin Rail Transportation and QNS&L under life-of-mine agreements) to the Port of Sept-Iles, where LIM has reserved 5 million tonnes of annual capacity at the Pointe-Noire deep water dock. Power is supplied by Nalcor Energy under a power purchase agreement.

The company's revenue model is commodity sales of iron ore into the international spot market. During 2011-2013, LIM produced 3.6 million dry metric tonnes sold in 23 cape-size shipments exclusively into the China spot market, targeting steel manufacturers in Asia and Europe. Mining operations were suspended after 2013 due to low iron ore prices, and the company has since been positioned to restart production at the Houston Mine (40.6Mt at 57.6% Fe, expected 2-3 Mt/year over 8-10 years) when market conditions and financing permit. A 2% royalty on Houston and Malcolm sales accrues to Houston Iron Royalties Limited.

Name

Labrador Iron Mines

Legal name

Labrador Iron Mines Holdings Limited

Website

http://labradorironmines.ca/

Company type

Public

Founded year

2007

Operating status

Operating

Headcount range

501–1,000 employees

Short description

Labrador Iron Mines Holdings Limited is a Canadian public iron ore company developing 20 direct shipping hematite deposits in the Schefferville area of the Labrador Trough. Mining has been suspended since 2014; the company is positioning to restart the Houston Mine for steel manufacturers.

Ownership category

akta.pro rank

Product category

Iron Ore Mining

NAICS

Iron Ore Mining (212210)

SIC

Metal Mining (1000)

akta.pro primary industry

Iron Ore Mining Operations (Open-Pit & Underground) (IMAKAAAC)

akta.pro secondary industries

Iron Ore Logistics & Export Terminals (Rail, Port, Stockyards, Ship Loading) (IMAKAAAF), Iron Ore Trading, Marketing & Offtake (Physical, Blending, Contracts) (IMAKAAAG), Iron Ore Beneficiation & Concentration (Crushing, Screening, Washing, Magnetic Separation) (IMAKAAAD), Iron Ore Pelletizing & Agglomeration (Pellets, Sinter Feed, Lump) (IMAKAAAE)

Keywords

• Iron ore mining
• Direct shipping ore
• Hematite extraction
• Mineral exploration
• Steel raw materials

Headquarters

HQ city

Toronto

HQ country

Canada

HQ region

North America

Offices3 records

Markets served

GTM type

B2B

Offering type

Services

Cost components

Operations, Personnel, Infrastructure, Supply Chain, Technology or R&D

Revenue model

1. Iron Ore Sales: Labrador Iron Mines generates revenue through the extraction and sale of direct shipping iron ore (DSO) products. The company produces high-grade hematite lump and fines products that are sold directly to steel manufacturers. Historically, all production was sold in cape-size shipments into the China spot market. The company produces both lump ore (approximately one-quarter of production) and sinter fine products.

Go-to-market motion1 record

Distribution channels1 record

Marketing channels4 records

Core offering

Labrador Iron Mines is a publicly traded Canadian iron ore mining company that extracts and sells direct shipping iron ore (DSO) products, including high-grade hematite lump ore and sinter fines, from its portfolio of deposits in the Schefferville area of the Labrador Trough. The company's ore grades from 56% to 69% iron content and is sold to steel manufacturers globally via cape-size vessel shipments from the Port of Sept-Iles. Core operating assets include the James Mine and Silver Yards processing facility, with the Houston Project positioned for future production restart.

Product overview

Labrador Iron Mines Holdings Limited operates as an iron ore exploration and development company through its majority-owned subsidiaries Labrador Iron Mines Limited and Schefferville Mines Inc. The company's product portfolio centers on Direct Shipping Iron Ore (DSO) products — both lump ore and sinter fines — extracted from its portfolio of 20 iron ore deposits in the Schefferville area of the Labrador Trough. The core operating asset is the James Mine, with the Houston Project positioned as the primary development stage asset for future production. Supporting infrastructure includes the Silver Yards processing facility, rail connections to the Port of Sept-Iles, and associated mining operations at Redmond, Knob Lake, and other deposits. The company also holds the Elizabeth Taconite Project as a longer-term resource opportunity. All products are high-grade hematite ores grading from 56% to 69% iron content.

Differentiator

Problem solved

Functional benefit

Products and services

• Direct Shipping Iron Ore (DSO) - Lump and Fines
• James Mine
• Redmond Mine
• Knob Lake Deposit
• Houston Project
• Schefferville Projects
• Elizabeth Taconite Project

Named customers2 records

Segments1 record

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Five partnerships are on record, tiered core and minor.

• Tshiuetin Rail Transportation Inc. (TSH)coreStrategic or Co-development PartnerTshiuetin Rail Transportation Inc. operates the northern section of railway from Schefferville to Emeril Junction (approximately 205 km). TSH is owned and operated by a consortium of three local Aboriginal First Nations. LIM has a life-of-mine rail agreement with TSH railway.
• Quebec North Shore and Labrador Railway Company Inc. (QNS&L)coreStrategic or Co-development PartnerQNS&L operates the southern section of railway from Emeril Junction to Sept-Iles (approximately 360 km). QNS&L is a wholly-owned subsidiary of IOC. LIM has a life-of-mine rail agreement with QNS&L.
• Western Labrador Rail Services (Genesee & Wyoming Inc.)minorOthersWestern Labrador Rail Services (a division of Genesee and Wyoming Inc.) provides and maintains locomotives for LIM's rail operations on the TSH railway.
• Nalcor EnergycoreStrategic or Co-development PartnerLIM signed a power purchase agreement with Nalcor Energy for grid power connection at Silver Yards. Power supply for the Silver Yards processing facility and Bean Lake mine accommodation camp is supplied by electric power, substantially converted from diesel fuel to lower cost electric power.
• Sept-Iles Port AuthoritycoreStrategic or Co-development PartnerLIM participates with the Sept-Iles Port Authority in the development of the new multi-user dock at Pointe-Noire. The $220 million project was completed in 2015, dedicated exclusively to iron ore shipments with two ship loaders and two conveyor lines with annual capacity of 50 million tonnes per year.

Scale indicators5 records

Recent moves6 records

Expansion highlights5 records

Direct peers

• Champion Iron Limited: Champion Iron operates the Bloom Lake iron ore mine in the southern Labrador Trough, producing high-grade hematite concentrate for global steel markets. It is the most directly comparable active Canadian iron ore producer to LIM, sharing the same geological region, rail/port infrastructure, and Chinese steel customer base.
• Alderon Iron Ore Corp. Alderon is a Canadian iron ore development company focused on the Kamistiatusset (Kami) Project in the Labrador Trough, near LIM's Schefferville properties. It shares the same regional infrastructure (QNS&L rail, Port of Sept-Iles) and targets similar high-grade DSO and concentrate markets.
• Baffinland Iron Mines Corp. Baffinland operates the Mary River iron ore mine in Nunavut, producing high-grade hematite (over 65% Fe) shipped to European steelmakers via cape-size vessels. It is a comparable Canadian DSO producer targeting premium lump and fines markets in similar geographies to LIM.
• New Millennium Iron Corp. New Millennium held direct shipping and taconite iron ore projects in the Labrador Trough, including properties adjacent to LIM. Although now largely inactive, it shared LIM's customer base, infrastructure dependencies, and small-cap junior profile.

Broad incumbents

• Iron Ore Company of Canada (IOC): IOC is the dominant iron ore producer in the Labrador Trough and operates the QNS&L railway and Sept-Iles facilities that LIM depends on for export logistics. As the regional incumbent, IOC sets the structural backdrop for pricing, rail allocation, and port access for junior peers like LIM.
• ArcelorMittal S.A. ArcelorMittal is one of the world's largest steel producers and also operates iron ore mining assets in Canada and globally, including joint interests in Canadian DSO projects. It is a key downstream customer and competing upstream producer in the iron ore market LIM serves.
• Vale S.A. Vale is one of the largest global iron ore producers, with a dominant position in the seaborne iron ore market that directly sets benchmark pricing for LIM's DSO products. As the price-setter in the Atlantic and Pacific iron ore markets, Vale's volume and pricing decisions are macro determinants of LIM's revenue potential.
• Fortescue Metals Group Ltd. Fortescue is a major Australian iron ore producer exporting large volumes of hematite products to Asian steel mills, including China. It competes with LIM for Chinese steel mill customers and influences global DSO and fines pricing benchmarks relevant to LIM's eventual restart economics.

Market position

Weaknesses4 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

• LinkedInlinkedin.com/company/labrador-iron-mines

Revenue estimate

Valuation estimate

Number of profiles

Profiles3 records

Subsidiaries3 records

Funding overview

Funding rounds1 record

Investors8 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Labrador Iron Mines