MONTREAL, QC --(Marketwired - July 18, 2017) - Champion Iron Limited (ASX: CIA) (TSX: CIA) (the "Company" or "Champion") is pleased to announce that
its subsidiary Champion Iron Mines Limited ("CIML") has entered into a settlement agreement providing for the conditional
settlement, without admission, of its dispute with the Port of Sept-Îles concerning the July 13, 2012 agreement entered into
between the parties (the "2012 Agreement").
The settlement of the dispute is conditional upon the closing of the financing transactions disclosed by the Company on July
13, 2017. The dispute with the Port of Sept-Îles concerning the 2012 Agreement is disclosed and detailed by the Company in its
latest audited financial statements.
The settlement agreement provides for, among other considerations, the immediate payment of a certain sum of money to the Port
of Sept-Îles as well as the making by CIML or by another subsidiary of the Company, Québec Iron Ore Inc. ("QIO"), of certain
additional payments in tranches to settle in full the Port's original $19,581,000 claim on account of the buy-in payment under
the 2012 Agreement, as well as certain ancillary amounts.
Such payments will be advances on QIO's future shipping, wharfage and equipment fees under the 2012 Agreement. The additional
tranche payments are, like the settlement itself, conditional to the closing of the financing transactions disclosed by the
Company on July 13, 2017.
About Bloom Lake
On April 11, 2016, the Company, through its subsidiary QIO, acquired the Bloom Lake assets from affiliates of Cliffs Natural
Resources Inc. that were subject to restructuring proceedings under the Companies' Creditors Arrangement Act (Canada). Québec
Iron Ore Inc. is 63.2% owned by the Company, with the remaining 36.8% equity interest owned by Ressources Québec, acting as a
mandatory of the Government of Quebec.
The Bloom Lake property is located on the south end of the Labrador Trough, approximately 13 km north of Fermont, Quebec, and
10 km north of the Mount-Wright iron ore mining operation of ArcelorMittal Mines Canada. The Bloom Lake Mine is an open pit truck
and shovel operation, with a concentrator. From the site, iron concentrate can be transported by rail, initially on the Bloom
Lake Railway, to a ship loading port in Sept-Iles, Québec.
The Bloom Lake Mine has already been authorized for operation under the federal and provincial environmental authorities. The
project was subject to an environmental impact assessment process under Section 31.1 of the Québec Environment Quality Act, which
led to the first decree issued by the Quebec government in 2008 authorizing mining activities at the Bloom Lake site. An updated
positive Feasibility Study on Bloom Lake has been completed and is available under the Company's profile on SEDAR (www.sedar.com).
About Champion
Champion is an iron development and exploration company, focused on developing its significant iron resources in the south end
of the Labrador Trough in the province of Québec. Following the acquisition of its flagship asset, the Bloom Lake iron ore
property, the Company's main focus is to implement upgrades to the mine and processing infrastructure it now owns while also
advancing projects associated with improving access to global iron markets, including rail and port infrastructure initiatives
with government and other key industry and community stakeholders.
Champion's management team includes professionals with mine development and operations expertise who also have vast experience
from geotechnical work to green field development, brown field management including logistics development and financing of all
stages in the mining industry.
For additional information on Champion Iron Limited, please visit our website at www.championiron.com
This news release includes certain information that may constitute "forward-looking information" under applicable Canadian
securities legislation. All statements, other than statements of historical facts, included in this news release that address
future activities, events, developments or financial performance constitute forward-looking information. The use of any of the
words "will", "expect", "anticipate", "intend", "believe", "plan", "potential", "outlook", "forecast", "estimate" and similar
expressions are intended to identify forward-looking information. Forward-looking information is necessarily based upon a number
of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other
factors which may cause the actual results and future events to differ materially from those expressed or implied by such
forward-looking information, including the risks identified in Champion's annual information form, management's discussion and
analysis and other securities regulatory filings made by Champion on SEDAR (including under the heading "Risk Factors" therein).
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 forward-looking information. Accordingly, readers should not place undue reliance on
forward-looking information. All of Champion's forward-looking information contained in this press release is given as of the
date hereof and is based upon the opinions and estimates of Champion's management and information available to management as at
the date hereof. Champion disclaims any intention or obligation to update or revise any of its forward-looking information,
whether as a result of new information, future events or otherwise, except as required by law.