CLEVELAND, Oct. 6, 2015 /PRNewswire/ -- Cliffs Natural
Resources Inc. (NYSE: CLF) today announced that, effective
October 5, 2015, it has terminated
its Pellet Sale and Purchase Agreement with Essar Algoma.
Cliffs' decision was made as a result of Essar Algoma's multiple
and material breaches under the agreement. While the agreement has
been terminated, Cliffs remains open to discussing supplying Essar
with pellets on commercially reasonable terms consistent with a
just-in-time iron ore supply arrangement.
About Cliffs Natural Resources Inc.
Cliffs Natural
Resources Inc. is a leading mining and natural resources company in
the United States. The Company is
a major supplier of iron ore pellets to the North American steel
industry from its mines and pellet plants located in Michigan and Minnesota. Cliffs also operates an iron ore
mining complex in Western
Australia. Additionally, Cliffs produces low-volatile
metallurgical coal in the U.S. from its mines located in
Alabama and West Virginia.
Driven by the core values of safety, social, environmental and
capital stewardship, Cliffs' employees endeavor to provide all
stakeholders operating and financial transparency. News releases
and other information on the Company are available at
www.cliffsnaturalresources.com.
Forward-Looking Statements
This release contains
statements that constitute "forward-looking statements" within the
meaning of the federal securities laws. As a general matter,
forward-looking statements relate to anticipated trends and
expectations rather than historical matters. Forward-looking
statements are subject to uncertainties and factors relating to
Cliffs' operations and business environment that are difficult to
predict and may be beyond our control. Such uncertainties and
factors may cause actual results to differ materially from those
expressed or implied by the forward-looking statements. These
statements speak only as of the date of this release, and we
undertake no ongoing obligation, other than that imposed by law, to
update these statements. Uncertainties and risk factors that
could affect Cliffs' future performance and cause results to differ
from the forward-looking statements in this release include, but
are not limited to: our ability to successfully execute an exit
option for our Canadian entities that minimizes the cash outflows
and associated liabilities of such entities, including the
Companies' Creditors Arrangement Act (Canada) process; trends affecting our
financial condition, results of operations or future prospects,
particularly the continued volatility of iron ore and coal prices;
availability of capital and our ability to maintain adequate
liquidity; uncertainty or weaknesses in global economic conditions,
including downward pressure on prices caused by oversupply or
imported products, reduced market demand and any change to the
economic growth rate in China; our
ability to successfully identify and consummate any strategic
investments and complete planned divestitures, including with
respect to our North American Coal operating segment; our ability
to successfully diversify our product mix and add new customers
beyond our traditional blast furnace clientele; the outcome of any
contractual disputes with our customers, joint venture partners or
significant energy, material or service providers or any other
litigation or arbitration; the ability of our customers and joint
venture partners to meet their obligations to us on a timely basis
or at all; our ability to reach agreement with our iron ore
customers regarding any modifications to sales contract provisions,
renewals or new arrangements; the impact of price-adjustment
factors on our sales contracts; changes in sales volume or mix; our
actual levels of capital spending; our actual economic iron ore and
coal reserves or reductions in current mineral estimates, including
whether any mineralized material qualifies as a reserve; the impact
of our customers using other methods to produce steel or reducing
their steel production; events or circumstances that could impair
or adversely impact the viability of a mine and the carrying value
of associated assets, as well as any resulting impairment charges;
the results of prefeasibility and feasibility studies in relation
to projects; impacts of existing and increasing governmental
regulation and related costs and liabilities, including failure to
receive or maintain required operating and environmental permits,
approvals, modifications or other authorization of, or from, any
governmental or regulatory entity and costs related to implementing
improvements to ensure compliance with regulatory changes; our
ability to cost-effectively achieve planned production rates or
levels; uncertainties associated with natural disasters, weather
conditions, unanticipated geological conditions, supply or price of
energy, equipment failures and other unexpected events; adverse
changes in currency values, currency exchange rates, interest rates
and tax laws; our ability to maintain appropriate relations with
unions and employees and enter into or renew collective bargaining
agreements on satisfactory terms; risks related to international
operations; availability of capital equipment and component parts;
the potential existence of significant deficiencies or material
weakness in our internal control over financial reporting; problems
or uncertainties with productivity, tons mined, transportation,
mine-closure obligations, environmental liabilities,
employee-benefit costs and other risks of the mining industry; and
other factors and risks that are set forth in the Company's most
recently filed reports with the U.S. Securities and Exchange
Commission. The information contained herein speaks as of the date
of this release and may be superseded by subsequent events. Except
as may be required by applicable securities laws, we do not
undertake any obligation to revise or update any forward-looking
statements contained in this release.
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SOURCE Cliffs Natural Resources Inc.