February 27, 2006

Iron Ore Co registers proposed tailings management project under EA legislation

ST JOHN'S, NFLD-A proposal by Iron Ore Company of Canada (IOC) for tailings management at its Labrador City Carol project has been registered under Part 10, Environmental Assessment, of the Newfoundland and Labrador Environmental Protection Act. The project involves the confinement of the tailings through flocculation of the consolidated effluent streams and subsequent discharge of the flocculated effluent into a naturally confining trench in the western portion of Wabush Lake. The discharge point would be immediately to the north of the existing tailings beach and within the confines of the existing IOC lease line allocation. This approach will confine the tailings within the trench in Wabush Lake, eliminating the need to build a 15-kilometre rock fill dyke as previously proposed. The proposal does, however, call for the construction of in-lake dykes to connect the three small islands at the north end of Wabush Lake to the eastern shore. This would thus establish a single-flow channel at the northwest corner of the lake. A temporary access road, approximately 195 metres long, would also be constructed off Javelin Road to assist construction. IOC anticipates starting work in June 2006. The undertaking was registered on February 13, 2006; public comments are due by March 22, 2006 and a decision by the Minister of Environment and Conservation is due by March 30, 2006.

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