Alderon Iron Ore will begin construction at the Kami project in western Labrador, Canada, as soon as a financing plan is finalised.
The company has completed pre-construction work and is awaiting a project sanction from the board of directors.
The Kami iron ore project is a 75-25 joint venture between Alderon and Hebei Iron & Steel Group.
Alderon president and CEO Tayfun Eldem said: "While all our requisite pre-construction engineering work, permits and agreements are now completed in preparation for the start of construction, we continue to work on finalising our financing plan."
Following the completion of engineering works, Alderon has suspended further work by contractor WorleyParsons Canada Services.
WorleyParsons was awarded the engineering, procurement and construction management contract worth $92.5m for the Kami project in May 2013.
"We have the in-house experience and expertise to continue with the next steps, but expect WorleyParsons to resume its role as the EPCM contractor for the Kami project once a decision to commence construction is reached," Eldem added.
Meanwhile, the company has signed a five-year life-cycle services agreement with Finland's Metso for the Kami project.
Metso will deliver spare and wear parts including its Megaliner mill linings by the fourth quarter.
The company will also provide planning, supervision, labour, hand tools and consumables to perform preventative maintenance, normal course and peak mechanical maintenance, wear part replacements, parts management and other identified maintenance services for the equipment.
Production at the Kami iron ore mine is expected to begin in 2016.