SOURCE: Brazil Minerals, Inc.

Brazil Minerals, Inc.

January 20, 2015 11:15 ET

Brazil Minerals, Inc. Formally Granted Addition of New Mineral Entity to Its Mining Concession

BELO HORIZONTE, BRAZIL--(Marketwired - Jan 20, 2015) - Brazil Minerals, Inc. (OTCQB: BMIX) (the "Company" or "BMIX") announced today that Brazil's Mining Department ("Departamento Nacional de Produção Mineral," in Portuguese, or "DNPM") has approved the addition of sand as a mineral entity to the mining concession held by BMIX's subsidiary, Mineração Duas Barras Ltda. ("MDB"). The approval was published yesterday in the Federal Official Gazette of Brazil ("Diário Oficial da União").

It is estimated that MDB possesses over 200,000 tons of high quality industrial-use sand in one location and additional areas within its concession with lesser amounts. Sand is beneficial to MDB in two ways: its cash flows are independent from diamond and gold operations and it is easily obtained with very low extraction costs. MDB's high quality sand is sought after for use in civil construction and preparation of multiple materials.

Mining concessions are the highest level of mineral rights in Brazil. They permit the owner to mine and commercialize specified minerals in perpetuity, as long as continuous observance of the mining code is followed. With the publication yesterday, MDB's mining concession now includes sand as well as diamonds and gold. This news validated BMIX's operational prowess in capably performing the many demanding steps to be taken with local mining authorities to obtain approval. Our initial application for inclusion of sand as a mineral entity to the mining concession was submitted in December 2013.

BMIX is considering various ways to exploit this additional mineral right.

About Brazil Minerals, Inc.

Brazil Minerals, Inc. (OTCQB: BMIX) is a U.S. company with revenues from diamonds, gold, and soon to be, sand. In particular, BMIX owns Mineração Duas Barras Ltda. ("MDB"), a Brazilian producer and seller of polished and rough diamonds, 96% purity gold bars, and industrial-use sand. MDB owns a fully-operational mining concession, the largest alluvial processing plant for diamonds and gold in Latin America, and the Brazilian permit to export its production. 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 MDB's 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 MDB's 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.

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