Amazon Mining Holding Plc
TSX VENTURE : AMZ

Amazon Mining Holding Plc

March 08, 2010 17:16 ET

Amazon Mining Reports Initial Resource at Cerrado Verde Project

105 million tonnes at 10.3% K2O Inferred Resource

TORONTO, ONTARIO--(Marketwire - March 8, 2010) - Amazon Mining Holding Plc (TSX VENTURE:AMZ) ("Amazon" or the "Company"), is pleased to report it has received an initial National Instrument (NI) 43-101 compliant inferred mineral resource estimation for its Cerrado Verde potash project from Coffey Mining.

Cerrado Verde is a source of potash rich rock from which Amazon plans to produce a slow-release, non-chloride, multi-nutrient, fertilizer product. Cerrado Verde, amenable to open pit mining, is located in central Minas Gerais in the heart of Brazil's vast Cerrado agricultural area.

The initial resource is based on 19 drill holes in the Funchal Norte target. Resources were estimated using a block model with blocks of 100x100x10m and using ordinary Kriging methods. All current resources are inferred as defined by the Canadian Institute of Mining ("CIM") guidelines for resource reporting.

The resource is reported below at various cut-off grades:

Tonnes (Mt) K2O (%) (average) Cut-Off Grade K2O (%)
148.59 9.09 5.0
105.11 10.32 7.5
64.39 11.17 10.0

The Funchal Norte Target represents only a small portion of the geological potential of the Cerrado Verde project. Coffey Mining used satellite imagery technology to estimate the exploration potential inside Amazon claims of approximately 15 billion tonnes of glauconite mineralization. While grades cannot be verified, the mineralization exhibits extraordinary homogeneity based on work conducted at the Funchal Norte target. The potential quantity and grade is conceptual in nature. There has been insufficient exploration to define a mineral resource. It is uncertain if further exploration will result in discovery of a mineral resource.

Commenting on the results, President & CEO Cristiano Veloso reiterated, "The resource will be the basis of our preliminary economic assessment. In the coming months, Amazon will conclude work to determine operating and capital costs and seek to quantify the agronomic efficiency of the proposed ThermoPotash product."

About Coffey Mining

Coffey Mining is a global specialist consultancy providing a wide range of technical services and products to all sectors of the international mining industry, from target generation to mine closure. Coffey has 50 years of experience, over 4,000 people working on projects in more than 80 countries and permanent offices throughout the Americas, Africa, Asia Pacific, Europe and the Middle East.

Competent Person

As required by Canadian National Instrument 43-101, Coffey Mining designated qualified person responsible for reviewing the technical information herein contained is Porfirio Cabaleiro Rodrigues.

About Amazon

Amazon Mining is a mineral exploration and development company founded by Brazilians in 2005. The company is focused on the development of Cerrado Verde project. Cerrado Verde is a source of potash rich rock from which Amazon plans to produce a slow-release, non-chloride, multi-nutrient, fertilizer product. Amazon Mining is a UK public company with shares listed on the TSX Venture Exchange since November 2007.

On behalf of the Board of Directors of Amazon Mining Holding Plc, Jed Richardson, Vice President of Corporate Development

Cautionary Language and Forward Looking Statements

THIS PRESS RELEASE CONTAINS CERTAIN "FORWARD LOOKING STATEMENTS", WHICH INCLUDE BUT IS NOT LIMITED TO, STATEMENTS WITH RESPECT TO THE FUTURE FINANCIAL OR OPERATING PERFORMANCE OF THE COMPANY, ITS SUBSIDIARIES AND ITS PROJECTS, STATEMENTS REGARDING USE OF PROCEEDS, EXPLORATION PROSPECTS, IDENTIFICATION OF MINERAL RESERVES, COSTS OF AND CAPITAL FOR EXPLORATION PROJECTS, EXPLORATION EXPENDITURES, TIMING OF FUTURE EXPLORATION AND PERMITTING, REQUIREMENTS FOR ADDITIONAL CAPITAL, GOVERNMENT REGULATIONS OF MINING OPERATIONS, ENVIRONMENTAL RISKS, RECLAMATION EXPENSES, TITLE DISPUTES OR CLAIMS, AND LIMITATIONS OF INSURANCE COVERAGE. FORWARD LOOKING STATEMENTS CAN GENERALLY BE IDENTIFIED BY THE USE OF WORDS SUCH AS "PLANS", "EXPECTS", OR "DOES NOT EXPECT" OR "IS EXPECTED", "ANTICIPATES" OR "DOES NOT ANTICIPATE", OR "BELIEVES", "INTENDS", "FORECASTS", "BUDGET", "SCHEDULED", "ESTIMATES" OR VARIATIONS OF SUCH WORDS OR PHRASES OR STATE THAT CERTAIN ACTIONS, EVENT, OR RESULTS "MAY", "COULD", "WOULD", "MIGHT", OR "WILL BE TAKEN", "OCCUR" OR "BE ACHIEVED". FORWARD LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS WHICH MAY CAUSE THE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OF THE COMPANY TO BE MATERIALLY DIFFERENT FROM ANY FUTURE RESULTS, PERFORMANCE OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY SAID STATEMENTS. THERE CAN BE NO ASSURANCES THAT FORWARD-LOOKING STATEMENTS WILL PROVE TO BE ACCURATE, AS ACTUAL RESULTS AND FUTURE EVENTS COULD DIFFER MATERIALLY FROM THOSE ANTICIPATED IN SAID STATEMENTS. ACCORDINGLY, READERS SHOULD NOT PLACE UNDUE RELIANCE ON FORWARD-LOOKING STATEMENTS.

The potential grades detailed in this release are conceptual in nature. There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the targets being delineated as a mineral resource.

Readers are cautioned not to rely solely on the summary of such information contained in this release and are directed to the complete set of drill results posted on Amazon's website (www.amazonplc.com) and filed on SEDAR (www.sedar.com) and any future amendments to such. Readers are also directed to the cautionary notices and disclaimers contained herein.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contact Information

  • Amazon Mining Holding Plc
    Cristiano Veloso
    President & Chief Executive Officer
    +44 (0) 20 8133 7607
    Fax: +44(0)20 7405 7773
    cv@amazonplc.com
    or
    Amazon Mining Holding Plc
    Jed Richardson
    VP Corporate Development
    +1(416)866-2966
    Fax: +1(416)866-8829
    jed@amazonplc.com
    www.amazonplc.com