TORONTO, Dec. 15, 2020 /CNW/ - The Directors of Labrador
Iron Ore Royalty Corporation (the "Corporation") (TSX: LIF)
declared today a quarterly cash dividend of $1.80 per Common Share. The dividend is payable
to holders of record at the close of business on December 31, 2020 and is to be paid on
January 26, 2021.
The Corporation has decided to end the practice of designating
dividends as either regular or special dividends. Currently,
many third-party investor information services do not include
special dividends when calculating the Corporation's dividend
yield, despite the fact that special dividends have been declared
in 23 of the last 32 quarters and have represented over 48% of the
total value of dividends declared over that time. By removing
the special dividend designation, the Corporation believes that its
dividend yield will be more accurately reported by these services
in the future.
The Corporation normally pays cash dividends from its net income
to the maximum extent possible, subject to the maintenance of
appropriate levels of working capital. This change will not affect
the total amount of quarterly dividends received by shareholders,
which will continue to vary depending on the financial results of
IOC. The total aggregate dividends declared in 2020 was
$3.05 per Common Share.
About Labrador Iron Ore Royalty Corporation
The Corporation holds a 15.10% equity interest in IOC directly
and through its wholly-owned subsidiary, Hollinger-Hanna Limited,
and receives a 7% gross overriding royalty and a 10 cent per tonne commission on all iron ore
products produced, sold and shipped by IOC.
Forward-Looking Statements
This press release may
contain ''forward-looking'' statements that involve risks,
uncertainties and other factors that may cause the actual results,
performance or achievements to be materially different from any
future results, performance or achievements expressed or implied by
such forward-looking statements. Words such as ''may'', ''will'',
''expect'', ''believe'', ''plan'', ''intend'', ''should'',
''would'', ''anticipate'' and other similar terminology are
intended to identify forward-looking statements. These statements
reflect current assumptions and expectations regarding future
events and operating performance as of the date of this press
release. Forward-looking statements involve significant risks and
uncertainties, should not be read as guarantees of future
performance or results, and will not necessarily be accurate
indications of whether or not such results will be achieved. A
number of factors could cause actual results to vary significantly,
including iron ore price and volume volatility, exchange rates, the
performance of IOC, market conditions in the steel industry, mining
risks and insurance, relationships with indigenous groups, natural
disasters, severe weather conditions and public health epidemics,
changes affecting IOC's customers, competition from other iron ore
producers, estimates of reserves and resources and government
regulation and taxation. A discussion of these factors is contained
in LIORC's annual information form dated March 5, 2020 under the heading, ''Risk
Factors''. Although the forward-looking statements contained in
this press release are based upon what management of LIORC believes
are reasonable assumptions, LIORC cannot assure investors that
actual results will be consistent with these forward-looking
statements. These forward-looking statements are made as of the
date of this press release and LIORC assumes no obligation, except
as required by law, to update any forward-looking statements to
reflect new events or circumstances. This press release should be
viewed in conjunction with LIORC's other publicly available
filings, copies of which can be obtained electronically on SEDAR at
www.sedar.com.
SOURCE Labrador Iron Ore Royalty Corporation