On May 15, 2026, Baffinland Iron Mines Corporation, together with affiliated entities Nunavut Iron Ore, Inc. and 12334992 Canada Inc., commenced proceedings under the Companies’ Creditors Arrangement Act (CCAA) pursuant to an Initial Order granted by the Ontario Superior Court of Justice (Commercial List), with the stay of proceedings extended to the operating entity, Baffinland Iron Mines LP. FTI Consulting Canada Inc. was appointed as Monitor.
Baffinland operates the Mary River iron ore mine in the Qikiqtani Region of Nunavut on Baffin Island, one of the world’s highest-grade iron ore mines, with historic average iron content exceeding 67 percent, and is Nunavut’s largest private-sector employer, with approximately 1,200 employees, including roughly 300 Inuit employees. The company sought CCAA protection to obtain a stay of proceedings while it evaluates strategic alternatives, including a refinancing, recapitalization, restructuring plan, investment, or sale solicitation process, and while it addresses urgent fuel and supply procurement needs for the upcoming Arctic shipping season.
According to the court materials, Baffinland’s financial difficulties stem from high debt levels, significant capital expenditures associated with the unsuccessful Phase 2 railway expansion proposal, constrained shipping volumes under existing regulatory approvals, and high operating costs. The secured debt stack totalled approximately US$777 million, comprising a US$126.5 million senior credit facility held by an entity associated with Oaktree Capital Management and Hartree Partners, a US$75 million Export Development Canada term facility, and US$575 million of 8.75 percent senior secured notes due July 2026, with pre-filing and post-filing secured funded debt commitments in excess of US$1.2 billion.
Stikeman Elliott LLP acted as counsel to Oaktree and Hartree with a team that included Maria Konyukhova, Philip Yang, Brittney Ketwaroo, Jeilah Chan, Logan Copen, Rebekah Dong, Chloe Duggal, Ivan Grbesic, Xuanqi (Hedy) He, Thomas Hewitt, Jennifer G. Legge, Chris Lofft, John G. Lorito, Laura Mila, Craig Mitchell, Daniel Murdoch, Kelly Niebergall, RJ Reid, Neil Shapiro, Shajan Sritharan, and Jill Winton. Davies Ward Phillips & Vineberg LLP acted for Baffinland; Osler, Hoskin & Harcourt LLP acted for the Monitor, FTI Consulting Canada; Cassels Brock & Blackwell LLP acted for the 2026 Noteholders; Norton Rose Fulbright Canada LLP acted for Export Development Canada; and Goodmans LLP acted for the Government of Canada.