Finding New Solutions for Old Problems
Formed in 1996 as Pacific Harbour Capital Ltd., Oceanic Iron Ore Corp. is headquartered in Vancouver, British Columbia. They are still technically in the exploration stage of many endeavors; however, they have managed to generate considerable interest in new technology and operations strategies designed to lower the operating costs of mining iron from the earth.
Creating “Hope” for Iron Mining
Among other properties, Oceanic Iron Ore Corp. is developing a project called “Hopes Advance” in Quebec. Unlike most iron ore mining initiatives, this project does not require rail lines for transportation of the product. This sets the stage for much lower operating costs for mining iron in Canada. The major task that remains is securing funding for the project, and Oceanic is well on their way.
The company has put considerable resources into researching and developing the engineering and practical infrastructure for such an initiative. The goal is to reduce operating costs by such a significant margin that the profits generated by iron mining become astronomical compared to the expenses incurred in bringing it to the surface. In a video created about the Hopes Advance project, Oceanic’s President and Chief Executive Officer (former COO) Alan Gorman says, “The project, in my mind, was and remains to be the best undeveloped iron ore project in Canada.” He goes on to emphasize the importance of developing projects that endure over time rather than fizzling out.
Checking Off the Pre-Feasibility Study
As recently as 2012, Oceanic solicited a pre-feasibility study from Micon International Limited to determine whether the Hopes Project, which is fully owned by Oceanic, could meet the projected revenue and resource expectations.
The results were encouraging, and the next step is to secure a strategic partner for funding. Executive Chairman Steven Dean points to fellow iron ore mining companies who have secured funding for their own similar initiatives, and whose market values have grown considerably as a result of those partnerships.
Chasing Increased Revenue
With possession of iron ore producing land, Oceanic stands to generate considerable revenue once their production begins in 2017. The owners of the actual iron ore stand to make the most money in the industry pipeline, which means greater returns on investment for both the company and its investors.
In order to launch the Hopes Advance project, the company is seeking fiscal partners to provide the required start-up capital for the initiative. The executives of the company are interested in partnering with large entities, whether domestically or in foreign countries. With the pre-feasibility study and other significant research under their belts, they present a uniquely attractive investment opportunity for other companies in the industry.
Hope for the Future
Oceanic continues to move forward, most recently announcing the distribution of 1,415,000 stock options to affiliates of the company. Employees, directors, management team members, and consultants have received stock options, subject to regulatory approval.
Throughout the latter half of 2014, Oceanic worked with WSP Canada, Inc., to generate environmental reports on the land on which Hopes Advance is located. The reports focused on the plants, animals, and life forms found in the area and on the environmental repercussions of mining for iron ore in that vicinity.
The company also announced that it has generated interest in potential strategic partners. CEO Alan Gorman stated;
We are pleased with the progress being realized in respect of the Company’s Hopes Advance environmental impact assessment and are happy to report that Oceanic has met its obligations required to maintain its assets in good standing.
Exploring Potential Iron-Producing Land
The Hopes Advance Project is actually one of three Canadian mining projects occurring in the Ungava Bay iron properties of Quebec. The other two projects are Morgan Lake and Roberts Lake; together, the three properties cover nearly 4,000 claims spread out over 1,568 square kilometers of land. Interest in the Ungava Bay properties is not new. They underwent extensive scrutiny in the mid-1900s, but Oceanic has owned them since 2010.
Committing to Community and Environmental Responsibility
In addition to their efforts to secure funding and build up the infrastructure required to launch Hopes Advance, Oceanic Iron Ore Corp. has also taken significant strides toward developing their profile in community and environmental responsibility. For one thing, they are making sure that their efforts in the Ungava Bay iron properties will not disturb local residents or their culture.
Their goal is a lofty one: To conceive, launch, and complete a project against which future projects by their peers will be measured. To achieve this, they have established high standards of conduct and work ethic for their employees as well as their consultants and vendors. They have also taken steps to ensure they use environmentally friendly equipment and operations strategies in their work zones.
Alan Gorman Takes the Reins
In 2012, Alan Gorman took over as Chief Operating Officer of Oceanic Iron Ore Corp., working out of the Montreal office and overseeing the development of the Hopes Advance project as well as the other mining properties in Quebec. Mr. Gorman has a long history of experience in mining, investing, and managing the operations structure of major companies.
More recently, Mr. Gorman has agreed to assume the position of Chief Executive Officer of Oceanic. His role is crucial to the successful development of Hopes Advance, and he has been instrumental in seeing the project through to the feasibility stage.
Mr. Gorman and his fellow management team at Oceanic are determined to develop Hopes Advance so that the total operating cost per tonne of concentrated product will cost only $30 each over the life of the mine. This is an incredible decline over the average cost per tonne of product in most iron ore mines, and is expected to decrease further as the mine ages.
Moving forward, the company plans to use its pre-feasibility study to inspire negotiations with potential strategic partners. Further environmental studies and infrastructure engineering plans will help to solidify the future of the Hopes Advance project as well as further exploration of the iron resource properties.
Oceanic is focused on the development of the Ungava Bay iron properties. These properties comprise 3,703 claims over three project areas, namely Hopes Advance, Morgan Lake and Roberts Lake, which are located over 1,568 km2 along the northern extension of the Labrador Trough in the Nunavik Region of northern Quebec. The projects cover over 300 kilometres of iron formation and all the deposits are located within 20 – 50 km of tidewater.
OCEANIC IRON ORE CORP HQ
595 Burrard Street
Vancouver, BC V7X 1L3
Website – https://oceanicironore.com/[wpgmza id=”14″]