Sola Resource Corp.

Sola Resource Corp.

October 12, 2010 08:30 ET

Sola Completes Letter of Intent to Acquire Diamond and Gold Producer in Brazil

VICTORIA, BRITISH COLUMBIA--(Marketwire - Oct. 12, 2010) - Sola Resource Corp. (TSX VENTURE:SL) (PINK SHEETS:SORSF) (the "Company" or "Sola") reports that it has completed a non binding Letter of Intent to acquire 30% of Amazon Resources Limited, (Amazon) and an Option to acquire a further 55%, totalling at least 85%.

Amazon is a privately held, U.K. based company with a Diamond and Gold production facility in the Province of Minas Gerais, Brazil. The facility that Amazon has is presently being commissioned and is projected to reach full capacity of production with one shift by November 2010. Amazon expects that it will progressively reach full capacity of production with 3 shifts in 1Q 2011. The facility is designed to process 35 cubic meters per hour, has been structured in such a manner that will enable the operation to run on multiple shifts and has some 5,000 hectares of property claims from which to draw diamondiferous and gold material.

Amazon also has another processing facility in the Province of Rondonia which is presently not commissioned along with 2 Options on property claims located in the Provinces of Parana and Piaui.

Sola is proposing to acquire an initial 30% of Amazon by way of an Offer to the Shareholders of Amazon. The Offer will include an Option to acquire a further minimum 55%. The total percentage potentially being acquired will be a minimum 85% to 100% of Amazon.

At this time each company, Sola and Amazon, is completing due diligence upon the other and Sola is preparing the Offer to Amazon Shareholders.

In the recent visit to Brazil that was conducted by Sola Director Andrew Male and Sola Consultants, Male spent 2 days with the Consultants visiting the associated claims and processing facility as well as the processing facility in Rondonia.

Male reports that this LOI and potential acquisition falls in line with the plans that Sola's management have recently undertaken and that is to acquire revenue producing opportunities with an exploration halo to enable an extensive step out opportunity. 

Sola will provide shareholders with an Investor Update in the coming weeks, please ensure that you have already completed registration, if not please visit and input your name and email address on the home page.

Sola is a junior exploration company with assets in Canada and Brazil. The Company has primarily focused on diamond, gold and base metal resource properties since inception. All available resource reports and information on the Company's properties are located on the Company website.

Issued on behalf of the Board of Directors of Sola Resource Corp.

William (Bill) Pfaffenberger, Director

The information in this news release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. When used in this release, words such as "estimate", "expect", "anticipate" and "believe" as well as similar expressions are intended to identify forward-looking statements. Such statements are used to describe management's future plans, objects, and goals for the Company and therefore involve inherent risks and uncertainties. The reader is cautioned that actual results, performance or achievements may be materially different from those implied or expressed in such statements, which speak only as of the date the statements were made. The Company does not update forward-looking statements continually as conditions change. We seek safe harbor.

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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