Labrador Iron Mines Announces Strategic Relationship with Tata Steel Minerals Canada

Labrador Iron Mines Announces Strategic Relationship with Tata Steel Minerals 
TORONTO, March 12, 2013 /CNW/ - Labrador Iron Mines Holdings Limited ("LIM" or 
the "Company") (TSX:LIM) announces that it has entered into a framework 
arrangement with Tata Steel Minerals Canada ("TSMC"), a subsidiary of Tata 
Steel Limited, to establish a strategic relationship between LIM and 
TSMCwhereby the two companies have agreed to co-operate with each other in 
various aspects of their respective iron ore operations in the Labrador Trough 
and enter into definitive agreements to formalize this arrangement in due 
Both LIM and TSMC operate adjacent DSO iron ore projects in the Province of 
Newfoundland and Labrador and in the Province of Quebec, near Menehik, 
Labrador and Schefferville Quebec, and both utilize and intend to utilize the 
same rail and port infrastructure. 
The strategic relationship will include multi-part co-operation agreements in 
areas of logistics; property rationalization and various ancillary mutual 
support and potential off-take arrangements. As part of the logistics 
agreements, the companies shall formalize arrangements for development of the 
rebuilt rail line that will pass through LIM's Silver Yards facilities from 
TSMC's new Timmins Area processing plant to the TSH main rail line. 
The companies also agreed to continue their co-operation on the upgrade of the 
TSH rail line that connects Silver Yards/Timmins spur line to the QNS&L line 
and on other areas of future logistics operations such as camp accommodations, 
the sharing of ore cars, flat bed freight cars and rail car repair facilities. 
The co-operation agreement shall also include respective participation in 
developing infrastructure at the Port of Sept-Îles with the objective of 
establishing the access and terminal facilities for both companies to the 
Port's new deep sea multi-user dock. 
As part of the strategic relationship, LIM and TSMC have agreed to enter into 
a transaction for the development of LIM's Howse deposit and TSMC's Timmins 4 
deposit. LIM shall sell a 51% interest in its Howse deposit to TSMC. The Howse 
deposit, located about 25 kilometres north of LIM's James Mine and Silver 
Yards processing plant, has a historical resource of 28 million tonnes and is 
part of LIM's proposed Stage 3 project, currently expected to be developed 
about 2020. It is expected that significant cost savings and synergies can be 
achieved by processing Howse ore through TSMC's adjacent Timmins Area plant. 
As part of the proposed multi-part cooperation arrangements as above, and 
fulfillment of certain conditions precedent, LIM will receive a cash injection 
of $30 million. LIM may also acquire up to 100% interest in TSMC's "Timmins 4" 
deposit, located about 2 kilometres from Howse, at a consideration of $3 
million payable from sales of Timmins 4 ore at $2 per tonne. In future, TSMC 
has an option to infuse up to $25million in the Howse project to further 
increase its interest in the Howse deposit to 70%. 
"This is a transformational arrangement for LIM that has the potential to 
provide significant cost synergies, position LIM to address key logistics and 
infrastructure issues and expedite the development of LIM's Howse deposit" 
said LIM's Chairman and Chief Executive Officer John Kearney. "The $30 million 
in cash proceeds from the proposed arrangements will be used by LIM to fund 
its working capital, capital expenditure and exploration requirements for the 
2013 operating season". 
About Labrador Iron Mines Holdings Limited (LIM) 
Labrador Iron Mines (LIM) is Canada's newest iron ore producer with a 
portfolio of direct shipping (DSO) iron ore operations and projects located in 
the prolific Labrador Trough. Initial production commenced at the James Mine 
in June 2011, with the sale of 386,000 dry tonnes of iron ore recorded in the 
first start-up year. The first full production season commenced in April 2012 
and LIM sold ten shipments totalling approximately 1.6 million dry tonnes of 
iron ore during 2012. 
The James Mine is connected by a direct rail link to the Port of Sept-Îles, 
Québec. The project also benefits from established infrastructure including 
the town, airport, hydro power and railway service. Starting with the James 
Mine and leading to the development of the expanding Houston flagship project, 
LIM's objective is to provide shareholders with long-term value with a plan to 
increase production towards 5 million tonnes per year from a portfolio of 20 
iron ore deposits in Labrador and Quebec, all within 50 kilometres of the town 
of Schefferville. 
LIM is currently the only independently-owned Canadian iron ore producer 
listed on the Toronto Stock Exchange and trades under the symbol LIM. 
Cautionary Statements: 
Historical Resources: 
The historical resources estimates in this Press Release are based on work 
completed and estimates prepared by Iron Ore Company of Canada ("IOC") prior 
to 1983, they are not current and were not prepared in accordance with 
National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 
43-101"). The IOC classification reported all resources (measured, indicated 
and inferred) within the total mineral resource. A qualified person has not 
done sufficient work to classify the historical estimates as current mineral 
reserves. These historical results provide an indication of the potential of 
the properties and are relevant to ongoing exploration. However, the 
historical estimates should not be relied upon. 
Forward Looking Statements: 
Some of the statements contained in this Press Release may be forward-looking 
statements which involve known and unknown risks and uncertainties relating 
to, but not limited to, the Company's expectations, intentions, plans and 
beliefs. Forward-looking information can often be identified by 
forward-looking words such as "anticipate", "believe", "expect", "goal", 
"plan", "intend", "estimate", "may" and "will" or similar words suggesting 
future outcomes, or other expectations, beliefs, plans, objectives, 
assumptions, intentions or statements about future events or performance. 
Forward-looking information may include reserve and resource estimates, 
estimates of future production, unit costs, costs of capital projects and 
timing of commencement of operations, and is based on current expectations 
that involve a number of business risks and uncertainties. Factors that could 
cause actual results to differ materially from any forward-looking statement 
include, but are not limited to, failure to establish estimated resources and 
reserves, the grade and recovery of ore which is mined varying from estimates, 
capital and operating costs varying significantly from estimates, delays in 
obtaining or failures to obtain required governmental, environmental or other 
project approvals, delays in the development of projects, changes in exchange 
rates, fluctuations in commodity prices, inflation and other factors. 
Forward-looking statements are subject to risks, uncertainties and other 
factors that could cause actual results to differ materially from expected 
results. There can be no assurance that the Company will be successful in 
maintaining any agreement with any First Nations groups who may assert 
aboriginal rights or may have a claim which affects the Company's properties 
or may be impacted by the Schefferville Projects. Shareholders and 
prospective investors should be aware that these statements are subject to 
known and unknown risks, uncertainties and other factors that could cause 
actual results to differ materially from those suggested by the 
forward-looking statements. Shareholders and prospective investors are 
cautioned not to place undue reliance on forward-looking information. By its 
nature, forward-looking information involves numerous assumptions, inherent 
risks and uncertainties, both general and specific, that contribute to the 
possibility that the predictions, forecasts, projections and various future 
events will not occur. The Company undertakes no obligation to update publicly 
or otherwise revise any forward-looking information whether as a result of new 
information, future events or other such factors which affect this 
information, except as required by law. 
please visit LIM's website or contact: 
John F. Kearney Chairman and Chief Executive Officer Tel: (647) 728-4105  
Rodney Cooper President and Chief Operating Officer Tel: (647) 729-1287  
Keren Yun Vice President, Investor Relations and Communications Tel: (647) 
SOURCE: Labrador Iron Mines Holdings Limited 
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CO: Labrador Iron Mines Holdings Limited
ST: Ontario
-0- Mar/12/2013 11:00 GMT
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