Iron Bear Resources secures US$1.3M Vale funding

• Iron Bear Resources has received a US$1.3 million funding tranche from Vale S.A. to advance its flagship iron ore project.
• The funding arrives as part of a strategic development agreement providing up to US$138 million in project support.
• The capital will be used to support ongoing drilling programmes and complete pre-feasibility studies in Canada.

Iron Bear Resources (ASX:IBR) has secured a US$1.3 million cash injection from global mining group Vale to advance development work at its Canadian iron ore project.

The latest release follows an earlier US$2 million funding tranche provided by Vale in June to accelerate exploration activities.

The company stated that the capital will support its ongoing drilling campaign and help finalise its pre-feasibility study.

Iron Bear Resources stated that its broader agreement with Vale provides up to US$138 million in total funding to de-risk the asset prior to a final decision to mine.

Following the announcement the Iron Bear Resources share price was unchanged at $0.024.

The project features a JORC-compliant resource of 13.6 billion tonnes at 30% iron content located in the Labrador Trough.

Management aims to produce high-grade direct reduction iron concentrate to supply lower-emission steelmaking markets globally.