CHAMPION IRON PRODUCES DR QUALITY IRON ORE FROM ITS DRPF PROJECT AND ENTERS INTO COMMERCIAL AGREEMENT

MONTRÉAL, June 28, 2026 /CNW/ – SYDNEY, June 29, 2026 – Champion Iron Limited (TSX: CIA) (ASX: CIA) (OTCQX: CIAFF) (“Champion” or the “Company”) is pleased to announce having produced direct reduction (“DR”) quality iron ore from its direct reduction pellet feed project (the “DRPF Project”) at the Bloom Lake mine (the “Bloom Lake”). An inaugural commercial sale of a Capesize vessel, expected to carry at least 160,000 wet metric tonnes of DR quality iron ore is anticipated in the third calendar quarter of 2026. The DRPF Project was completed within the recently estimated $500 million budget and is expected to gradually increase in capacity to reach commercial production toward the end of the Company’s current financial year.

In tandem with the commissioning of the DRPF Project, the Company has entered into a commercial agreement covering a portion of its expected near-term capacity and is actively advancing discussions with several prospective customers globally to secure agreements for its remaining volumes.

Champion’s CEO, Mr. David Cataford, said: “The initial production of DR quality iron ore represents a defining milestone in the commissioning of the DRPF Project and, once again, highlights our team’s ability to deliver sizeable construction projects. By leveraging the exceptional quality of the resources in the Labrador Trough, our commercial agreement with a globally recognized group confirms the growing demand for DR quality iron ore. As we progress toward commercial production, we seek to build long-term partnerships with steelmakers, while strengthening Québec’s and Canada’s position as a key player in the low-carbon steelmaking supply chain.”

The DRPF Project is designed to upgrade half of Bloom Lake’s capacity to a DR quality pellet feed iron ore grading up to 69% Fe, with combined silica and alumina content below 1.2. The DRPF Project is expected to position Bloom Lake among the highest-purity iron ore producers globally, and could attract a considerable pricing premium over its currently produced high-purity 66.2% Fe iron ore concentrate.

Demand and pricing premiums for DR quality iron ore are supported by the steel industry’s transition toward lower-carbon production pathways, including an increasing adoption of direct reduced iron (“DRI”) and electric arc furnaces (“EAF”) steelmaking. These processes require higher-purity iron ore inputs, such as DR quality pellet feed iron ore, to achieve optimal metallurgical performance and reduce overall emissions intensity. With the Labrador Trough’s high-purity iron ore products and access to hydroelectricity, resulting in one of the lowest carbon footprints for high-purity iron ore production globally, Québec and Canada are well positioned to expand their roles as strategic suppliers of critical minerals and contribute to the decarbonization of the steel industry.

Champion thanks its employees and partners, whose dedication and collaboration enabled the success of the DRPF Project, consolidating Bloom Lake’s position as a leader in the high-purity iron ore industry.

About Champion Iron Limited

Champion is a high-purity iron ore producer with operations in Canada and Norway. Through Quebec Iron Ore Inc., Champion owns and operates the Bloom Lake Mining Complex located on the south end of the Labrador Trough, approximately 13 kilometres north of Fermont, Québec. Bloom Lake is an open-pit operation with two concentration plants that primarily source energy from renewable hydroelectric power, having a combined nameplate capacity of 15M wmt per year that produce low contaminant high-purity 66.2% Fe iron ore concentrate with a proven ability to produce a 67.5% Fe direct reduction quality iron ore concentrate. The iron ore concentrate from Bloom Lake is transported by rail, to a ship loading port in Sept-Îles, Québec. Benefiting from one of the highest purity resources globally, Champion is investing to be able to upgrade up to half of the Bloom Lake’s mine capacity to a direct reduction quality pellet feed iron ore with up to 69% Fe. Bloom Lake’s high-purity and lower contaminant iron ore products have attracted a premium to the P61 index (formerly, the P62 index).

Champion also owns and operates Rana Gruber AS, a Norwegian iron ore producer based in Mo i Rana, Nordland. With continuous production dating back to the 1960’s, Rana Gruber produces approximately 1.8M dmt per year of hematite and magnetite iron ore concentrates.

Champion has delivered iron ore concentrates to global markets, including China, Japan, the Middle East, Europe, South Korea, India and Canada. In addition to its producing mines, Champion holds a 51% interest in the Kami Iron Mine Partnership, jointly owned with Nippon Steel Corporation and Sojitz Corporation, through which the Kami Project is held. Located approximately 21 kilometres southeast of Bloom Lake, the Kami Project benefits from access to existing infrastructure. Champion also holds a portfolio of exploration and development projects in the Labrador Trough, including the Cluster II properties, situated within 60 kilometres south of Bloom Lake.

Cautionary Note Regarding Forward-Looking Statements

This press release contains certain information and statements that may constitute “forward-looking information” under applicable securities legislation (“Forward-Looking Statements”). Forward-Looking Statements are statements that are not historical facts and are generally, but not always, identified by the use of words such as “will”, “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “continues”, “forecasts”, “projects”, “predicts”, “intends”, “anticipates”, “aims”, “targets” or “believes”, or variations of, or the negatives of, such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “should”, “might” or “will” be taken, occur or be achieved. Inherent in Forward-Looking Statements are risks, uncertainties and other factors beyond the Company’s ability to predict or control.

Specific Forward-Looking Statements

All statements, other than statements of historical facts, included in this press release that address future events, developments or performance that Champion expects to occur are Forward-Looking Statements. Forward-Looking Statements may include, among other things, Management’s expectations regarding: the DRPF Project, including its capacity, pricing premiums, commercial sales of DR quality iron ore and commercial production and the timing thereof, and related engagement with, and expectations with respect to, prospective customers; the shift in steel industry production methods, expected rising demand for higher-purity iron ore products and DRI globally and related higher premiums, and the Company’s participation therein, contribution thereto and positioning in connection therewith; and the Company’s growth and opportunities generally.

Risks

Although the Company believes the expectations expressed in such Forward-Looking Statements are based on reasonable assumptions, such Forward-Looking Statements involve known and unknown risks, uncertainties and other factors, most of which are beyond the control of the Company, which may cause the Company’s actual results, performance or achievements to differ materially from those expressed or implied by such Forward-Looking Statements. Factors that could cause actual results to differ materially from those expressed in Forward-Looking Statements include, without limitation: (i) iron ore prices; (ii) energy prices; (iii) operating costs; (iv) freight costs; (v) general economic, competitive, political and social uncertainties; (vi) continued availability of capital and financing and general economic, market or business conditions; (vii) timing of and uncertainty regarding the steel industry shift in production methods, impacting demand for high-purity feed; (viii) failure of plant, equipment or processes, including those of third party providers or counterparties, to operate as anticipated; (ix) delays in obtaining governmental approvals, necessary permitting or in the completion of development or construction activities; (x) the results of feasibility studies; (xi) changes in the assumptions used to prepare feasibility studies; (xii) project delays; (xiii) geopolitical events; and (xiv) the effects of catastrophes and public health crises on the global economy, the iron ore market and Champion’s operations, as well as those factors discussed in the section entitled “Risk Factors” of the Company’s Management’s Discussion and Analysis for the financial year ended March 31, 2026 available under the Company’s profile on the ASX at www.asx.com.au, SEDAR+ at www.sedarplus.ca and the Company’s website at www.championiron.com.

There can be no assurance that any such Forward-Looking Statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such Forward-Looking Statements. Accordingly, readers should not place undue reliance on Forward-Looking Statements.

Additional Updates

All of the Forward-Looking Statements contained in this press release are given as of the date hereof or such other date or dates specified in the Forward-Looking Statements and are based upon the judgment and estimates of Champion’s Management and information available to Management as at the date hereof. Champion disclaims any intention or obligation to update or revise any of the Forward-Looking Statements, whether as a result of new information, future events or otherwise, except as required by law. If the Company does update one or more Forward-Looking Statements, no inference should be drawn that it will make additional updates with respect to those or other Forward-Looking Statements. Champion cautions that the foregoing list of risks and uncertainties is not exhaustive. Readers should carefully consider the above factors as well as the uncertainties they represent and the risks they entail.

For further information, please contact: [email protected]

For additional information on Champion Iron Limited, please visit our website at: www.championiron.com.

This press release has been authorized for release to the market by the CEO of Champion Iron Limited, David Cataford.

SOURCE Champion Iron Limited