Champion Announces Change of Name

TORONTO, ONTARIO -- (Marketwire) -- 08/28/12 -- CHAMPION IRON MINES LIMITED (formerly CHAMPION MINERALS INC.) (TSX: CHM)(OTCQX: CPMNF)(FRANKFURT: P02) ("Champion" or the "Company") is pleased to announce that it has received Toronto Stock Exchange ("TSX") approval to proceed with the change of name of the Company to CHAMPION IRON MINES LIMITED and that the Company's common shares will begin trading under its new name effective at the opening of trading on Thursday, August 30, 2012 under its current ticker symbol "CHM". Champion's shareholders approved the name change at the annual and special meeting held August 10, 2012. Articles of Amendment effecting the name change were certified by the Ministry of Government Services effective August 22, 2012. The name change reflects Champion's advancement toward its goal of developing an operating mine at its flagship Fire Lake North Project in its wholly-owned Fermont Iron Holdings.

Mr. Tom Larsen, Champion's President and Chief Executive Officer, commented, "With our acquisition of 100% of the Fermont Properties in May of this year, and following the significant advancements at the Fire Lake North and Oil Can deposits on the Fermont Properties, we shifted our corporate focus to the development of an operating mine to service the Fire Lake North Project. With the evolution of the Company's focus from primarily exploration to primarily mine development, it makes sense to align the Company's name with its operations to enhance our market presence and investor recognition with the goal of continuing to build value for our shareholders."

About Champion Iron Mines Limited

Champion Iron Mines Limited is an iron exploration and development company with offices in Montreal and Toronto, and is focused on developing its significant iron resources in the provinces of Quebec and Newfoundland & Labrador. Champion holds a 100% interest in the Fermont Iron Holdings and a 44% interest in the Attikamagen Iron Project located in both Quebec and Labrador.

Champion's Fermont Iron Holdings, including the flagship Fire Lake North Project, are located in Canada's major iron ore producing district, in close proximity to five producing iron mines. Fire Lake North is located immediately adjacent to and north of ArcelorMittal's operating Fire Lake Mine and 60 km south of Cliffs Natural Resources Inc.'s Bloom Lake Mine in northeastern Quebec. Champion's team and advisory board includes mining and exploration professionals with the requisite experience to build the Fire Lake North Project into a producing mine.

For additional information on Champion, please visit our website at www.championironmines.com.

This news release includes certain information that may constitute "forward-looking information" under applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements about mineral resource estimates and planned operations at the Company's projects, including its Fire Lake North Project. Forward-looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information, including the risks identified in Champion's annual information forms, management discussion and analysis and other securities regulatory filings by Champion on SEDAR (including under the heading "Risk Factors" therein). There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based upon the opinions and estimates of Champion's management and information available to management as at the date hereof. Champion disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.

This press release has been prepared by Champion Iron Mines Limited and no regulatory authority has approved or disapproved the information contained herein.

Contacts:

Champion Iron Mines Limited

Thomas G. Larsen

President and CEO

(416) 866-2200


Champion Iron Mines Limited

Jorge Estepa

Vice President

(416) 866-2200
www.championironmines.com