Cliffs Natural Resources has sold its coal assets in Logan County in West Virginia, US to Coronado Coal II, an affiliate of Coronado Coal, for $174m in cash.

With this transaction, the company expects tax benefit of around 25% of the earlier disclosed pre-tax loss of about $400m.

Cliffs chairman, president and CEO Lourenco Goncalves said: "The sale of Logan County Coal, which included a meaningful tax benefit to the Company, clearly demonstrates our ability to execute complex transactions despite an adverse M&A environment for commodity related transactions."

The company also said that production at its Bloom Lake mine has been suspended and it has exited Eastern Canada iron ore operations.

The mine has transitioned to care and maintenance and fewer employees are in such activities.

The last iron ore shipment from the Port of Sept-Iles is planned to be completed this month.

Goncalves said: "Additionally, as we approach the final steps of our exit from Eastern Canada, we have brought to an end the flawed expansion that has cost Cliffs and its shareholders billions of dollars."