OREANDA-NEWS. Black Iron Inc. (“Black Iron” or the “Company”) (TSX: BKI; FRANKFURT: BIN) and Metinvest B.V. (“Metinvest”) have agreed to a closing schedule for the previously announced strategic investment and development arrangement (the “Arrangement”) pertaining to Black Iron (Cyprus) Ltd. ("BKI Cyprus") outlined in the Metinvest or Black Iron news releases dated July 23, 2013.

In conjunction with the closing of the Arrangement, Metinvest will make an initial USD 20 million financial contribution to the Shymanivske Iron Ore Project through the subscription of shares of BKI Cyprus. This contribution will take place over four equal monthly installments with the initial USD 5 million installment received to the account of BKI Cyprus today. The balance of USD 15 million is scheduled to be received in three equal installments on May 15, 2014, June 16, 2014 and July 15, 2014. Upon receipt of each installment, Metinvest will be issued common shares of approximately 12% of the share capital of BKI Cyprus, for a total upon completion of the investment of 49% of the share capital of BKI Cyprus. Black Iron Inc. will retain the remaining ownership position in BKI Cyprus and remains responsible to lead development of the Shymanivske Iron Ore Project.

“We are pleased to have established a ?schedule to close the initial investment and Arrangement with Metinvest, including the completion of documentation and receipt of the first USD 5 million contribution. The closing schedule provides immediate funding for the continued development of our world-class iron ore project, with the completed Arrangement ultimately providing a solution to 49% of the project's equity construction capital needs” stated Matt Simpson, President & CEO of Black Iron. “Metinvest is the largest employer, iron ore miner and steel producer in Ukraine so its employees bring substantial in-country knowledge plus contacts to augment Black Iron's team. Black Iron and Metinvest are strong believers in the economic attractiveness of the Shymanivske Iron Ore Project and we look forward to developing this world-class asset.”

Yuriy Ryzhenkov, General Director and CEO of Metinvest, added, "Completion of the Arrangement is an important step for Ukraine and its economy. Coupled with Metinvest's existing contributions, the development of the Shymanivske Iron Ore Project represents a major international investment in Ukraine that will increase local employment, improve local infrastructure and heighten environmental standards for the Kryvyi Rih region.”