Australia’s Champion Iron Ltd said on Tuesday Japan’s Nippon Steel and Sojitz Corp will invest an initial C$245 million ($179.11 million) in its Kami iron ore project in Canada for an aggregate 49 per cent interest.
The investment follows an agreement that the three companies entered into in December 2024 for the project, which Champion Iron acquired in 2021.
Following the initial closing, Champion will hold a 51 per cent interest in the project, while Nippon Steel and Sojitz will have 30 per cent and 19 per cent stakes, respectively.
Nippon Steel, Japan’s largest steelmaker, recently closed its $14.9 billion acquisition of U.S. Steel after an 18-month-long pursuit.
Champion expects the initial closing of the deal to occur in the second half of 2025.
Shares of Champion Iron rose as much as 4.6 per cent to A$5.04 in early trade.
($1 = 1.3679 Canadian dollars)
