Stocks & Investing
Stocks and Investing
Stocks and Investing
Tue, February 21, 2012 Dia Bras Signs Memorandum of Understanding to Sell Its Hydroelectric Assets in Peru
February 21, 2012 08:30 ET
Dia Bras Signs Memorandum of Understanding to Sell Its Hydroelectric Assets in Peru
TORONTO, ONTARIO--(Marketwire - Feb. 21, 2012) -Dia Bras Exploration Inc. (TSX VENTURE: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 executed a Memorandum of Understanding ("MOU") with Volcan Compania Minera S.A.A. ("Volcan"). Pursuant to the terms of the MOU, Corona has agreed to sell all its hydroelectric assets to Volcan for the price of USD$46,777,777.77, subject to, among other things, approval by Corona's shareholders meeting. Such approval was granted at Corona's shareholders meeting held yesterday, February 20th, 2012.
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 "Corona's hydroelectric assets are a non core-asset for Dia Bras as they do not supply electricity to Yauricocha's mining operations in Peru. The sale of this power asset will allow management to focus its time and the Company's capital resources on continuing to develop and expand Yauricocha's mine potential in Peru."
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 under the symbol "DIB".
For further information on Dia Bras Exploration Inc. visit [ www.diabras.com ].
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.
