Dia Bras Exploration Inc.
TSX VENTURE : DIB

Dia Bras Exploration Inc.

April 04, 2006 09:47 ET

Dia Bras Production from its Bolivar Mine Pilot Program Exceeds US$5.0 Million in the First Quarter of 2006

MONTREAL, QUEBEC--(CCNMatthews - April 4, 2006) - Dia Bras Exploration Inc. (TSX VENTURE:DIB) is proud to present it first quarter 2006, operation results from its Bolivar mine pilot mining program, in Chihuahua, Mexico.

The Company has just completed its most productive quarter since the start of its pilot program in February 2005, producing concentrate estimated at US$5.3 million based on effective zinc and copper prices of each month, including an estimate of US$2.37 million for the production of March 2006. The Q1 production value exceeds the forecasted amount of US$4.0 million due to higher zinc grade mined and to higher market prices for both zinc and copper over that period.

During the month of March 2006, the Company processed 7,983 dry metric tons (DMT) of ore at its Malpaso Mill facility - its best monthly performance - of ore at its Malpaso Mill facility, for a total of 22,461 DMT processed for the quarter ended March 31, 2006 (22,500 DMT forecasted tonnage). Since the last quarter of 2005, the Malpaso Mill capacity was increased to 300 tpd and has been running smoothly. Fine tuning performed since that time has allowed the mill to process over 350 tpd on several occasions during the quarter.

A total of 2,059 DMT of zinc concentrate and 618 DMT of copper concentrate were produced from the 7,983 DMT of ore averaging 16.3% Zn and 2.90% Cu. Recovery rates were 93.18% for zinc and 82.49% for copper. Direct operating costs for the month of March, including shipping of concentrate, are estimated at US$875,000.

In March, the pilot program completed its fourth consecutive month of positive cash flow from operations. Total estimated direct operating costs for the quarter were close to target and amounted to US$2.4 million.

Mining activities have entered the Brecha Linda on level 1 since the end of 2005, a zone of high grade zinc and copper mineralization where the current ore is currently being processed.

The Company's total concentrate production is sold to MRI Trading AG (MRI), a Switzerland based privately owned commodity trading company, pursuant to a standard concentrate purchase agreement.

The pilot-mining program provides essential data on costs, logistics, grade, recovery and metallurgy that will serve for a feasibility study to be undertaken at the Bolivar property. Its short term objective is to generate sufficient cash flow from the production of zinc and copper concentrates to finance the development and exploration program at the Bolivar mine and elsewhere in the Bolivar project.

Bolivar Mine Pilot Program

Summary of the First Quarter 2006



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Estimated
Total Operating
Production Cost
US$ US$
Ore processed Tonnes (Million) (Million)
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Actual 22,469 5.3 2.4
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Forecast 22,500 4.5 2.5
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Over (under) (31) 0.8 0.1
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Zn Production
Concentrate value
Grade Recovery Production in US$
Zinc Average Rate in DMT (million)
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Actual 13.62% 92.12% 4,898 3.7
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Forecast 11.00% 85.00% 3,700 2.6
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Over
(under) 2.62% 7.12% 1,198 1.1
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Cu Production
Concentrate value
Grade Recovery Production in US$
Copper Average Rate in DMT (million)
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Actual 2.50% 78.04% 1,483 1.6
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Forecast 2.60% 75.00% 1,600 1.4
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Over
(under) (0.1%) 3.04% (117) 0.2
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The Company forecasts the same production level of 22,500 DMT for the second quarter of 2006 with average ore head grades of 11.0% Zinc and 2.5% Copper for an estimated combined concentrate production value of US$4.0 million. Now that stable levels of production have been achieved, the Company intends to report on the Pilot Mining Program activities, on a quarterly basis unless major positive or negative events needs to be reported in the interim.

About Dia Bras

Dia Bras is a Canadian mining and exploration Company focused on precious and base metals in the State of Chihuahua, northern Mexico. The Company continues exploration and the active development of its two key projects - Bolivar and Promontorio - in the world-renowned Sierra Madre mineral belt. The Company trades on the TSX Venture Exchange, under the symbol "DIB". For more information and a view of our Mexican exploration activity video, please consult our Web Site at www.diabras.com.

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Forward-looking statements: Except for statements of historical fact, all statements in this news release, without limitation, regarding new projects, acquisitions, future plans and objectives are forward-looking statements which involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this press release.

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