The new owners of the Bloom Lake are buying assets "on the cheap" and holding on to them, says a mining analyst.

"...Champion's approach, he said, is to buy assets like Bloom Lake "on the cheap, which we think is a good strategy," and wait for markets to rebound.

"The big advantage they have is geography. It's not competitive for the Brazilian or Australian iron ore to make it into the North American market, into the Great Lakes region where a lot of the steel blast furnaces are," said Nelson.

"So we do think that Bloom Lake will have some value, eventually." "

http://www.cbc.ca/news/canada/newfoundland-labrador/bloom-lake-mine-quebec-sale-iron-ore-analyst-1.3365732