Cliffs nets $7.5M more than expected in Ring of Fire sale

The sale includes the company's three chromite deposits and associated claims held by Cliffs subsidiaries. The transaction closed Tuesday following the approval of the sale by the court under the Companies' Creditors Arrangement Act (CCAA) proceedings here in Canada.

“This transaction is another step in divesting interests in non-core assets,” the release said. “The proceeds of the sale will be used substantially to cover costs and expenses associated with the CCAA proceeding.”

Cliffs sold its holdings in the remote northwestern Ontario discovery after several delays in getting the project off the ground combined with low chromite prices. The province has pledged $1 billion in support of building infrastructure into the area, but it's unclear when or how that money will be spent.