TORONTO, March 27, 2018 /CNW/ - Labrador Iron Ore Royalty Corporation ("LIORC") (TSX: LIF) announced that it has been advised that in the evening of Monday, March 26, the USW Locals 5795 and 6731 (Labrador City) voted on Iron Ore Company of Canada's final offer presented on Friday, March 23. IOC's offer was rejected and USW employees voted in favour of a strike. LIORC understands that IOC has activated its contingency plan which in the short term consists of mobilizing staff employees to carry out an orderly shutdown of the operations and protect IOC's assets and operations. In Sept-Îles, LIORC has been advised that the USW Local 9344 will not acquire the right to strike until April 10 at the earliest and therefore should continue to work. LIORC understands that steps are being taken to deploy contractors and employees as efficiently as possible given the general slowdown in operations.
The strike at IOC is expected to adversely affect the revenue of LIORC as its income is entirely dependent on the sale of iron ore products by IOC.
This news release contains forward-looking statements within the meaning of applicable securities laws. Words such as "may", "will", "expect", "believe", "plan", "intend", "should", "would", "anticipate" and other similar terminology are intended to identify forward-looking statements. These statements reflect current assumptions and expectations regarding future events as of the date of this news release. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to vary significantly. A discussion of these factors is contained in LIORC's annual information form dated March 8, 2018 under the heading "Risk Factors". Although the forward-looking statements contained in this news release are based upon what management of LIORC believes are reasonable assumptions, LIORC cannot assure investors that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this news release and LIORC assumes no obligation, except as required by law, to update any forward-looking statements to reflect new events or circumstances. This news release should be viewed in conjunction with LIORC's other publicly available filings, copies of which can be obtained electronically on SEDAR at www.sedar.com.
SOURCE Labrador Iron Ore Royalty Corporation
For further information: William H. McNeil, President & Chief Executive Officer, Phone: (416) 863-7133, Email: [email protected]