Nippon Steel has completed the acquisition of a 30% interest in the Kamistiatusset (Kami) iron ore project in Newfoundland and Labrador, Canada. The project will now be developed under the newly formed Kami Iron Mine Partnership, together with Champion Iron (51%) and Sojitz Corporation (19%).

Under the terms of the agreement, Nippon Steel contributed an initial C$42 million, with an additional investment of up to C$108 million contingent on the results of the upcoming feasibility study. The overall capital requirement for the project is estimated at around C$4 billion.

The Kami project, strategically located in the Labrador Trough, is designed to produce high-grade direct reduction (DR) iron ore concentrate, a feedstock well-suited for low-carbon steelmaking technologies. Once in operation, the mine is expected to deliver up to 9 million tonnes of premium DR-grade concentrate per year, strengthening supply security for partners and global markets.

Champion Iron, the project operator, highlighted that the joint venture combines local mining expertise with international trading and steelmaking capabilities. The investment reflects Nippon Steel’s broader strategy to secure sustainable raw material supply as the company transitions toward decarbonized steel production.

Sojitz, already active in raw material trading for Japanese industry, will support the project’s financing and market development.

The partners will now proceed with a detailed feasibility study before making a final investment decision on mine development and infrastructure.