Altius

Iron Ore (through LIORC investment)

Altius is a large investor (approximately 6.3% as of March 12, 2019) of Labrador Iron Ore Royalty Corporation ("LIORC"). LIORC is a Canadian corporation resulting from the conversion of Labrador Iron Ore Royalty Income Fund (the "Fund") under an Arrangement effective July 1, 2010. It holds a 15.10% equity interest in Iron Ore Company of Canada ("IOC") directly and through its wholly-owned subsidiary, Hollinger-Hanna Limited (Hollinger-Hanna), 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. IOC is a producer and exporter of premium iron ore pellets and high-grade concentrate with average iron grades in excess of 66%. IOC operations include a mine with five operational pits, a concentrator and a pelletizing plant located near Labrador City, in the Labrador Trough.

Altius treats the distribtions received from LIORC as royalty revenue for disclosure purposes, due to the passive mandate of LIORC to flow distributions through to its shareholders to the maximum extent permissible while still retaining a working capital balance.

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