Dia Bras Exploration Inc.

Dia Bras Exploration Inc.

March 01, 2012 13:00 ET

Dia Bras Completes Sale of Its Hydroelectric Assets to Volcan Compania Minera S.A.A in Peru

TORONTO, ONTARIO--(Marketwire - March 1, 2012) - Dia Bras Exploration Inc. (TSX VENTURE:DIB)(LMA:DIB) ("Dia Bras" or the "Company"), a Canadian listed mining company focused on precious and base metals in Peru and Mexico, announces that its Peruvian subsidiary, Sociedad Minera Corona S.A. ("Corona"), has completed the sale of its hydroelectric assets to Volcan Compania Minera S.A.A. ("Volcan") previously announced on February 21st, 2012. Pursuant to the terms of the Sale Agreement (the "Agreement"), Corona has agreed to sell all its hydroelectric assets to Volcan for the price of USD$46,777,777.77.

Pursuant to the Purchase Agreement between the Company and Corona announced May 26th, 2011; Dia Bras will receive USD$24,510,000, representing its 81.7% equity stake in Corona, net of third party payments as a result of the sale of the hydroelectric asset.

Daniel Tellechea commented about this transaction "We are excited that Corona has completed the sale of this non core-asset as it does not supply electricity to Yauricocha's mining operations in Peru. Management will continue to focus on its recently announced exploration and development plan aimed at expanding known deposits and advancing the development of the new mine shaft in the central mine area at Yauricocha."

About Dia Bras

Dia Bras Exploration Inc. is a Canadian listed mining company focused on precious and base metals in Peru and Mexico. The Company owns and operates the Yauricocha mine (Ag-Cu-Zn-Pb-Au) in Central Peru and the Bolivar Mine (Cu-Zn-Ag) in Chihuahua State, Mexico. Dia Bras is also pursuing the development and exploration of the Cusi Property (Ag) and exploring several precious metals targets such as La Cascada (Bolivar), Las Coloradas (Melchor Ocampo, Zacatecas State), Bacerac (Sonora State) and Corralitos, Satevo and La Verde projects at the Batopilas Property (Chihuahua State).

The Company's shares trade on the TSX Venture Exchange and the Bolsa de Valore de Lima S.A. under the symbol "DIB".

For further information on Dia Bras Exploration Inc. visit www.diabras.com.

Forward-looking Statements

Forward-looking statements are subject to a variety of risks and uncertainties, which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation, risks and uncertainties relating to foreign currency fluctuations; risks inherent in the mining industry including environmental hazards, industrial accidents, unusual or unexpected geological formations, ground control problems and flooding; risks associated with the estimation of mineral resources and the geology, grade and continuity of mineral deposits; the possibility that future exploration, development or mining results will not be consistent with the Company's expectations; the potential for and effects of labour disputes or other unanticipated difficulties or shortages of labour or interruptions in production; actual rocks mined varying from estimates of grade, tonnage, dilution and metallurgical and other characteristics; the inherent uncertainty of pilot-mining activities and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations; uncertain political and economic environments; changes in laws or policies, foreign taxation, delays or the inability to obtain necessary governmental permits; and other risks and uncertainties.

Neither the 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 news release.

Contact Information

  • Daniel Tellechea
    President & CEO
    Dia Bras Exploration Inc.
    1 (866) 493-9646

    Matt Morrish
    Director, Investor Relations
    Dia Bras Exploration Inc
    1 (866) 493-9646