BRAZIL MINERALS, INC. OBTAINS
PRIORITY FOR CLAIM IN WELL-KNOWN GOLD PRODUCING AREA
PASADENA, CA--(August 15, 2016) - Brazil Minerals, Inc. (OTC:
BMIX) (the "Company" or "BMIX") today announced that Jupiter Gold
Corporation, its gold-focused subsidiary, had obtained priority for
an exploration license on a gold mineral right covering 4,925 acres
in Crixas, extending to an adjacent municipality, in the state of
Goias in central Brazil. The Crixas area is one of the largest gold
hubs in Latin America. It is home to several gold mines and
projects from AngloGold Ashanti and Cleveland Mining, which
combined have disclosed potential reserves of more than 8 million
ounces of gold. This claim is located 650 miles from BMIX's
alluvial gold and diamond operations.
Gold extraction in Crixas began two centuries ago, in
rudimentary ways until large gold companies established a presence
locally. The obtained claim has the potential to show primary gold
ore associated with sulphides such as pyrite (iron sulphide)
and/or chalcopyrite (copper sulfide). There is also potential for a
secondary gold deposit in oxidized surface rock and alluvium.
Depending on the specific characteristics of any given deposit,
either open-pit or underground mining would apply and both of these
types of gold operations currently exist locally.
According to public information, the AngloGold Ashanti
operations in Crixas, named Serra Grande, encompass one open-pit
and three underground mines. Production in 2015 was 132,000 ounces
of gold and its mineral resource presented as 3.4 million ounces,
with approximately 4 million ounces of gold previously
recovered. Cleveland Mining has two gold projects in Crixas, and
pre-sold part of its production in a large transaction
recently.
For the new claim, the Brazilian mining department granted
priority for receipt of an exploration license of the area. Within
several weeks, Jupiter Gold expects to receive such formal license.
It will then have an initial three years to perform research to
substantiate the presence of gold and produce a feasibility study;
a time extension is possible, but not guaranteed. With an approved
research report by the mining department, Jupiter Gold may then
apply to mine a limited amount of gold with a preliminary license,
before submitting a mining concession application. Any mining
operations, whether preliminary or a concession, need environmental
permitting. While this new claim has potential based on location,
history and geological characteristics, only further research will
be able to confirm the occurrence of recoverable gold, and whether
any deposit is economically viable or not. As detailed above, the
process from exploration license to mining concession is lengthy
and complex and therefore many small companies choose to enter into
co-development and/or royalty transactions with larger firms to
reduce costs.
BMIX has stated in a prior release that mineral-focused
subsidiaries allow needed investment for projects without share
dilution of the Company. BMIX intends to maintain stock ownership
in each subsidiary and royalties in each project.
About Brazil Minerals, Inc.
Brazil Minerals, Inc. (OTC: BMIX) is a producer of diamonds,
gold, sand, and industrialized mortar. We have title to 34 mineral
rights for gold, diamonds, manganese, and sand, including 10 mining
concessions for gold and diamonds, the highest level of right to
mine in Brazil. More information on BMIX is 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.
Contact:
Marc Fogassa
(213) 590-2500
info@brazil-minerals.com
www.brazil-minerals.com