Black Iron Provides Project Update and Announces AGM Results

Good progress is being made to secure essential land for Black Iron Inc.'s Shymanivske project construction with an agreement recently being reached with Ukraine's Ministry of Defence on the co-ordinates for a parcel of land they are willing to turn over to Black Iron Inc. subject to preconditions currently being negotiated.

The sale price of iron ore is up 45% year to date with 62% iron content product currently selling for ~US$117 per tonne and 65% iron content product for ~US$128 per tonne. This is helping attract potential investors to finance construction of Black Iron Inc.'s Shymanivske project. The premium 68% iron content product that Black Iron Inc. aims to produce is expected to sell for a much higher price than the benchmarks while being produced at an estimated cost of US$31 per tonne. The project's expected financial returns using today's iron ore sale prices are off the top of the chart included in the most recent preliminary economic assessment as shown below. Technical details about the project can be found in the NI 43-101 compliant technical report entitled "Preliminary Economic Assessment of the Re-scoped Shymanivske Iron Ore Deposit" effective November 21, 2017 under the Company's profile on SEDAR at www.sedar.com.

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Expressions of interest were recently received from two multi-billion dollar Asian engineering, procurement and construction companies to make an equity investment of 10% of the total project construction cost (i.e. ~US$45 million investment) in exchange for being awarded the construction contract. The proposal is for the equity to be invested over the period of constructing Black Iron Inc.'s Shymanivske project and hence is likely to be made at a much higher share price.

Black Iron Inc.'s financial advisor has completed their financial modeling work and started reaching out to pure financial investors and royalty/stream providers to solicit interest in funding project construction. The financial model reinforces very high returns on investment under various iron ore prices and financing structures along with a massive gap in the Company's current share price relative to its future potential.

AGM Results

In accordance with the policies of the Toronto Stock Exchange, that the nominees listed in the management information circular dated May 29, 2019 were elected as directors of the Company at the Annual Meeting of shareholders of the Company (the "Meeting") held on June 27, 2019.

Detailed results of the vote for the election of directors are as follows:

Shareholders at the Meeting also approved the appointment of the Company's auditors. A total of 39,719,953 common shares were voted in connection at the Meeting, representing approximately 21% of the issued and outstanding common shares of the Company.

About Black Iron

Black Iron Inc. is an iron ore exploration and development company, advancing its 100% owned Shymanivske project located in Kryviy Rih, Ukraine. The Shymanivske project contains a NI 43-101 compliant mineral resource estimated to be 646 Mt Measured and Indicated Mineral Resources Ltd., consisting of 355 Mt Measured Mineral Resources Ltd. grading 32.0% total iron and 19.5% magnetic iron, and Indicated Mineral Resources Ltd. of 290 Mt grading 31.1% total iron and 17.9% magnetic iron, using a cut-off grade of 10% magnetic iron. Additionally, the Shymanivske project contains 188 Mt of Inferred Mineral Resources Ltd. grading 30.1% total iron and 18.4% magnetic iron. Full mineral resource details can be found in the NI 43-101 compliant technical report entitled "Preliminary Economic Assessment of the Re-scoped Shymanivske Iron Ore Deposit" effective November 21, 2017 under the Company's profile on SEDAR at www.sedar.com. The Shymanivske project is surrounded by five other operating mines, including ArcelorMittal's iron ore complex. Please visit the Company's website at www.blackiron.com for more information.

The technical and scientific contents of this press release have been prepared under the supervision of and have been reviewed and approved by Matt Simpson, P.Eng, CEO of Black Iron, who is a Qualified Person as defined by NI 43-101.

Forward-Looking Information

This press release contains forward-looking information. Forward-looking information is based on what management believes to be reasonable assumptions, opinions and estimates of the date such statements are made based on information available to them at that time. Forward-looking information may include, but is not limited to, statements with respect to the election of directors, the Company's ability to develop the Shymanivske project, the Company's ability to raise adequate capital, the Company's ability to secure the requisite land rights and the Company's future plans. Generally, forward looking information can be identified by the use of forward-looking terminology such as "plans," "expects" or "does not expect," "is expected," "budget," "scheduled," "estimates," "forecasts," "intends," "anticipates" or "does not anticipate," or "believes," or variations of such words and phrases or state that certain actions, events or results "may," "could," "would," "might" or "will be taken," "occur" or "be achieved." Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current exploration activities; other risks of the mining industry and the risks described in the annual information form of the Company. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws. The Company notes that Mineral Resources Ltd. that are not mineral reserves do not have demonstrated economic viability.

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SOURCE: Black Iron Inc.