BRAZIL MINERALS, INC. ANNOUNCES ITS FIRST ROYALTY DEAL
& POSITIVE INITIAL RESULTS FOR ITS FINE GOLD RECOVERY
PLATFORM
PASADENA, CA -- July 5, 2016 -- InvestorsHub NewsWire -- Brazil
Minerals, Inc. (OTC:
BMIX) (the "Company" or "BMIX") announced today that it had
signed an agreement with a Brazilian group that will be exploring
and processing material for diamonds and gold in one of the
Companys properties. This group will bring its own mini-plant to
one of BMIXs areas; all work will be open for supervision by the
Company at all times. The deal is attractive in that BMIX will have
essentially no costs, and in return will receive 25% of the gross
production of gold and diamonds. Todays announcement marks BMIXs
first royalty agreement. The royalty business model is an
established way to monetize, for little to no cost, high quality
mineral assets. The Company plans to expand the number of such
deals, and is in conversations regarding two other mineral rights
it owns.
In other news, BMIX successfully tested a portable centrifuge
for extraction of fine gold. The target material used in the test
was the post-processing sandy waste from the main plant, i.e.,
material that had passed through in either the gold-recovery
circuit or the diamond-recovery circuit of the plant. From this
waste, the centrifuge recovered an average of 2 grams of pure fine
gold per cubic meter, a higher result than expected by the Company.
This finding clearly demonstrates that centrifugation is superior
to spiral gravity concentration, the method employed in the
recovery plant. This result also appears to indicate that portable
centrifuges will be a highly efficient way to extract fine gold
from both the Companys large availability of virgin alluvial sands
as well as past previously processed material. With expected
confirmation of the low operational cost of centrifugation, BMIX
already has in storage piles a very large volume of material with
varying degrees of gold content to process with this method over
time.
As an immediate next step in building its fine gold recovery
platform, BMIX plans to broaden the test of centrifugal processing
to the various types of alluvial sands retrieved from its new
mining area, as well as to an initial six other deposits from other
nearby areas. These tests will allow the Company to determine
various operational metrics such as optimal speed of axis rotation
and water/sand mixture ratio, and other parameters, as well as to
test gold concentrations of these various locales.
In parallel with advancing its new gold separation methodology,
BMIX is studying designs and specifications of mini-plants for
diamond recovery to finalize the type that it will build for
portable use in its new area. As described in the Companys prior
press release, the focus is on lower cost, possibly higher return,
portable, modular and scalable recovery units for gold and
diamond.
About Brazil Minerals, Inc.
Brazil Minerals, Inc. (OTC:
BMIX) is a producer of diamonds, gold, sand, and industrialized
mortar. We also own 30 mineral rights for gold and diamonds,
including 10 mining concessions, the highest level of right to mine
in Brazil. More information on BMIX can be found at www.brazil-minerals.com.
Safe Harbor Statement
This press release contains forward-looking statements made
under the "safe harbor" provisions of the U.S. Private Securities
Litigation Reform Act of 1995. Forward looking statements are based
upon the current plans, estimates and projections of Brazil
Minerals, Inc.'s management and are subject to risks and
uncertainties, which could cause actual results to differ from the
forward looking statements. Such statements include, among others,
those concerning market and industry segment growth and demand and
acceptance of new and existing products; any projections of
production, reserves, sales, earnings, revenue, margins or other
financial items; any statements of the plans, strategies and
objectives of management for future operations; any statements
regarding future economic conditions or performance; uncertainties
related to conducting business in Brazil, as well as all
assumptions, expectations, predictions, intentions or beliefs about
future events. Therefore, you should not place undue reliance on
these forward-looking statements. The following factors, among
others, could cause actual results to differ from those set forth
in the forward-looking statements: business conditions in Brazil,
general economic conditions, geopolitical events and regulatory
changes, availability of capital, BMIX's ability to maintain its
competitive position and dependence on key management. This press
release does not constitute an offer to sell or the solicitation of
an offer to buy any security and shall not constitute an offer,
solicitation or sale of any securities in any jurisdiction in which
such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of such
jurisdiction.
Cautionary note regarding estimates of Indicated and
Inferred Mineral Resources of Diamonds and Gold as found in MDBs NI
43-101 Technical Reports.
We advise U.S. investors that while these terms and amounts
are recognized by Canadian regulations, the U.S. Securities and
Exchange Commission (SEC) does not recognize them. U.S. investors
are cautioned not to assume that any part or all of the mineral
deposits in these categories will ever be converted into mineral
reserves as defined by the U.S.s Industry Guide 7.
Cautionary note regarding estimates of Mineral
Reserves of Diamonds and Gold as found in MDBs Bankable Feasibility
Study.
We advise U.S. investors that while these terms and amounts
are recognized by Brazilian regulations, the SEC does not recognize
them. U.S. investors are cautioned not to assume that any part or
all of the mineral deposits in this category will ever be converted
into mineral reserves as defined by the U.S.s Industry Guide
7.
Cautionary note regarding estimates of Volume and
Weight of Sand as found in MDBs studies filed with the local
Brazilian regulatory agencies.
We advise U.S. investors that while sand volume and weight
terms and amounts as filed in Brazil are recognized by Brazilian
regulations, the SEC does not recognize them. U.S. investors are
cautioned not to assume that any part of such are not considered
mineral reserves as defined by the U.S.s Industry Guide 7.
Cautionary note regarding estimates of potential
mineralization for gold of the Apui/Borba Project with the local
Brazilian regulatory agencies.
We advise U.S. investors that potential mineralization for
gold of the Apui/Borba Project with Brazilian regulators is not
recognized by the SEC. U.S. investors are cautioned not to assume
that any part of such potential mineralization is or will ever
become mineral reserves as defined by the U.S.s Industry Guide
7.
Contact:
Marc Fogassa
CEO, Brazil Minerals, Inc.
(213) 590-2500
info@brazil-minerals.com
www.brazil-minerals.com