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Champion Iron Ord Shs T.CIA

Alternate Symbol(s):  CIAFF

Champion Iron Limited is an Australia-based iron ore exploration and development company. The Company, through its wholly owned subsidiary, Quebec Iron Ore Inc., owns and operates the Bloom Lake Mining Complex, located on the south end of the Labrador Trough, approximately 13 kilometers (km) north of Fermont, Quebec. Bloom Lake is an open-pit operation with two concentrators that primarily source energy from renewable hydroelectric power. The Company ships iron ore concentrate from Bloom Lake by rail, to a ship loading port in Sept-lles, Quebec, and has sold its iron ore concentrate to customers globally, including in China, Japan, the Middle East, Europe, South Korea, India and Canada. In addition to Bloom Lake, Champion owns a portfolio of exploration and development projects in the Labrador Trough, including the Kamistiatusset Project, located a few km south-east of Bloom Lake, and the Cluster II portfolio of properties, located within 60 km south of Bloom Lake.


TSX:CIA - Post by User

Bullboard Posts
Comment by dmacdon Mar 07, 2019 5:29pm
246 Views
Post# 29458223

RE:Second try

RE:Second try$2.75/sh is reasonable in the near term and potentially another triple from there is what I see if the price of Iron Ore keeps to current range in the next 3 to 4 years. The main risk to these prices is spot price correction but CIA will come out of one of those in good shape and better than most due to low debt ratio. 

I wonder when they will go for a bank line update ... probably this summer when the Ph 2 PFS is announced. Nice to see the thought that ownereship will increase to 80%. There is no reason why this doesn't happen via the expansion without GOV interest being sold at all if CIA takes on all of the new debt for Ph 2. It is unclear if the GOV will want to take on more debt at this time given jobs have been created. 

Lots of upside on the resource side. Note that CFPS ratio of 5x is LOW for a company with such upside. I woudl argue that 10x could be justified but that is getting lofty and I might accuse myself of pumping with such optimism. Ha Ha. 
Bullboard Posts