Cliffs Natural Resources Inc. to Explore Strategic Options for renewaFUEL

Cliffs Natural Resources Inc. CLF announced today that the Company's Board of Directors has approved a plan to seek a potential sale and to idle operations at its renewaFUEL biomass production facility in Michigan. Cliffs indicated that the financial impact of the decision is estimated to be an approximately $30 million primarily non-cash, pretax charge in the third quarter of 2011. The facility, located at the Telkite Technology Park near Sawyer International Airport in Marquette, Mich., was constructed to produce high-energy, low-emission biofuel cubes from sustainably collected wood and agricultural feed stocks. Since initial production the plant has not performed to design capacity, nor at a production level that justifies continued operation. The renewaFUEL plant currently employs approximately 30 fulltime individuals. Cliffs will make every effort to reassign these employees, where possible, to other positions within the Company. David Blake, Cliffs' senior vice president, North American Iron Ore and the Cliffs executive with operational responsibility for renewaFUEL, said, “Over recent years Cliffs executed a strategy focused on expanding its portfolio of steelmaking raw material assets. Cliffs continues to successfully grow its core iron mining business with a number of expansion projects underway. With this, it is essential that our management focus and allocation of capital resources be deployed where we can have the most impact for all stakeholders.”