Brazilian Joint Venture
In August 2012, BC Iron entered into an Iron Ore Strategic Alliance with Cleveland Mining Company, an emerging Brazilian iron ore company. Under the terms of the Alliance, BC Iron acquired a 5% equity stake in Cleveland Mining for ~$6 million. The objective of the 50:50 Joint Venture is to acquire and develop new iron ore projects in Brazil.
As the third tier of BC Iron’s growth strategy, the strategic alliance with Cleveland Mining allows BC Iron to enter into the Brazilian iron ore space without the long lead time required in a new jurisdiction and at a relatively low cost.
Cleveland Mining has a very capable and proven management team and Board, the majority of whom were on the Fortescue team which discovered and developed the Chichester Project.
The Brazilian Joint Venture is well placed to fast-track the potential development of iron ore projects using Cleveland Mining’s experience in Brazil and quality people in-country with BC Iron providing technical and operational support.
About Cleveland Mining
Cleveland Mining is an ASX listed minerals company under Australian management which is focused on developing projects into mines.
The Company is primarily focused on gold and iron ore projects in Brazil, where it identifies strong potential to build operations that can profit regardless of the commodity price cycle.
Cleveland only operates in areas backed by legislation and government that can provide stable and transparent operating environments.
The Company has a different approach to project selection, with project economics driving target selection. Geological prospects, local costs and infrastructure are rigorously scrutinised before entering into a project.
Cleveland’s most advanced project, the Premier Gold Mine, commenced mining and processing in November 2012.
The Company has two high-potential iron ore exploration projects and has formed a strategic alliance with BC Iron to acquire and co-develop new iron ore projects in Brazil.
Cleveland has projects in two distinct hubs:
- The Crixás Hub, Goiás State, central Brazil. Projects: The Premier Gold Mine JV, O Capitão, Baú, Guarinhos, Pantera – Gold-focused;
- The Amapá Hub, Amapá State, northern Brazil. Projects: Ferradura, Porto Grande and Lebre – Iron ore-focused.
Please click here for more information on Cleveland Mining.