Citizens(US:CIA)2025-10-06 22:00Company Overview - Champion Iron has a nameplate capacity of 15 million tonnes per annum (mtpa) of high-purity 66.2% Fe iron ore concentrate[18] - The company's enterprise value is approximately C$2.5 billion with EBITDA of C$348 million over the last 12 months[19] - Management ownership is 9.0% and the government of Québec owns 8.3%[19] Green Steel Transition - Steelmaking represents approximately 10% of global CO2 emissions, with 85% of these emissions generated by the reduction and smelting of iron ore[24] - DRI production grew at a compounded annual growth rate of 6.2% since 2020, while crude steel production saw a slight decline[32] - Europe has invested approximately €14.6 billion to support 15 DRI/EAF projects[35] Product Quality and Market Position - Champion's DRPF project is expected to produce a market-leading DR quality product with 69% Fe[42] - Australia's major iron ore producers' average contaminants increased by 12% over the last decade[47] - Bloom Lake's emission intensity is 8.95 kg of CO2 per tonne of iron ore produced[49] Recent Results and Financials - FY25 production was 13.8M wmt, representing 92.2% of Bloom Lake's nameplate capacity of 15M wmt[54] - FY25 saw record annual iron ore concentrate sales of 13.5M dmt, a 15.9% year-over-year increase[65] - Total cash cost for FY25 was $78.3/dmt[68] - The company has $176.1 million in cash and cash equivalents and $185.3 million in working capital as of June 30, 2025[73] Growth Initiatives - The DRPF project is progressing as scheduled, with commissioning planned to start in December 2025 and commercial shipments expected in the first half of calendar 2026[92] - Cumulative investments in the DRPF project totaled $387.0 million as of June 30, 2025, out of an estimated total capital expenditure of $470.7 million[92] - Nippon Steel and Sojitz made initial cash contributions of $68.6M to Kami Iron Mine Partnership for a 49% interest in the Kami Project[98]