Nunavut Iron Ore Acquisition Inc. Purchases Additional Baffinland Iron Mines
Corporation Common Shares

TORONTO, Dec. 16 /CNW/ - Nunavut Iron Ore Acquisition Inc. ("Nunavut Iron") announced that it has today acquired ownership of 6,027,700 Common Shares of Baffinland Iron Mines Corporation ("Baffinland") through the facilities of the Toronto Stock Exchange, the Alpha Market and the Pure Trading Market, representing approximately 1.6% of the outstanding Common Shares. The highest price paid and the average price paid for the Common Shares purchased today was $1.29 and $1.2542 per Common Share, respectively. The aggregate number of Common Shares acquired by Nunavut Iron since the commencement of the Offer is 15,330,900 Common Shares. The average price paid for the Common Shares purchased by Nunavut Iron since the commencement of the Offer is $1.2144 per Common Share. Nunavut Iron, together with all persons acting jointly or in concert with it, now owns 40,721,400 Common Shares representing in the aggregate approximately 10.5% of the outstanding Common Shares.

Nunavut Iron acquired the Common Shares in furtherance of its Offer for majority ownership and control of Baffinland. Nunavut Iron continues to reserve the right in its Offer to acquire additional Common Shares, up to 5% of the outstanding Common Shares, based on the number of Common Shares outstanding at the time of the commencement of the Offer. Nunavut Iron intends to purchase Common Shares pursuant to the Offer and may make future purchases after completion of the Offer as circumstances warrant.

ABOUT NUNAVUT IRON AND IRON ORE HOLDINGS, LP

Nunavut Iron was incorporated under the laws of Canada on August 27, 2010 and has not carried on any material business other than in connection with matters directly related to the Offer. Nunavut Iron is wholly owned by Iron Ore Holdings.

Iron Ore Holdings is a limited partnership formed under the laws of Delaware for the purpose of making the Offer.  Iron Ore Holdings is owned by Bruce Walter, the Chairman of Nunavut Iron, Jowdat Waheed, the President and Chief Executive Officer of Nunavut Iron, and funds managed by The Energy & Minerals Group, which is providing the majority of the equity financing for the Offer.  The Energy & Minerals Group is a private investment firm with a family of funds with over US$2 billion under management that invest in the energy and minerals sectors. 

For further information:

SHAREHOLDERS OF BAFFINLAND IRON MINES CORPORATION

Kingsdale Shareholder Services Inc.
Toll Free 1-888-518-1562 (English or French)
Outside North America, Bankers and Brokers Call Collect 416-867-2272
Facsimile: 416-867-2271, Toll Free Facsimile 1-866-545-5580
Email: [email protected]
or visit www.baffinlandoffer.com

MEDIA

John Lute
Lute & Company
416-929-5883
Email:[email protected]

FOR A COPY OF NUNAVUT IRON'S EARLY WARNING REPORT PLEASE CONTACT:

Monique Woon
Nunavut Iron Ore Acquisition Inc.
2 Bloor Street West, 7th Floor
Toronto, Ontario  M4W 3R1

Tel: [phone]