Tata Steel has extended its exclusive option to undertake Canadian iron ore projects through its Canadian partner New Millenium Capital Corporation (NMCC) to 31 December.

NMCC plans to tap iron ore in Newfoundland and Labrador and Quebec, which are estimated to have 5.6 billion tons of iron ore reserves, according business-standard.com.

Tata Steel plans to increase raw material security by buffering its European operations against market volatility through iron ore supply from Canada.

Tata currently holds a 27.4% stake in NMCC and an 80% share of the company’s Direct Shipping Ore project.