Champion Buys Back 1.5% Net Smelter Royalty on Fermont Property Holdings and Flagship Consolidated Fire Lake North Project

MONTREAL, QUEBEC--(Marketwired - June 29, 2015) - Champion Iron Limited (ASX:CIA)(TSX:CIA) ("Champion" or the "Company") is pleased to provide an update of developments on its flagship Consolidated Fire Lake North ("CFLN") project located in the Fermont Iron Ore District of Québec.

Champion is pleased to announce that, through its wholly-owned subsidiary Champion Iron Mines Limited, it has repurchased from Fancamp Exploration Ltd. ("Fancamp") a 1.5% net smelter royalty ("NSR") interest, representing half of a total 3% NSR on production from the Fermont property holdings, including Champion's flagship CFLN project. Under the terms of the original Option/Joint Venture agreement from which Champion acquired its interest in the Fermont property holdings, a 3% NSR was payable 50% to each of The Sheridan Platinum Group Ltd. ("Sheridan") and Fancamp with a provision for repurchasing 1% of the total 3% NSR for $3.0 million, subsequently amended to repurchase 0.5% of the total 3% NSR for $1.5 million. Fancamp recently acquired Sheridan's 50% interest in the 3% NSR (ie. 1.5%) with Champion waiving its right of first refusal in order to enable completion of the transaction. Subsequently, Champion closed a separate agreement with Fancamp to purchase from Fancamp the same 1.5% NSR acquired from Sheridan for total consideration of $300,000. The consideration was paid as $50,000 in cash plus the issue of a promissory note for $250,000 on closing June 25th. The promissory note is due and payable 4 months from the closing date of the transaction.