Business
Amazon Discontinues Terra Branca Diamond Project
/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ TORONT...
About this update from Verde Agritech Ltd
[{"type":"text","content":"\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN\nTHE UNITED STATES/\n\n\nTORONTO, Aug. 20 /CNW/ - Amazon Mining Holding plc ("Amazon" or the\n"Company") (AMZ: TSX-V) has elected to discontinue Terra Branca Diamond\nProject ("Terra Branca") located in Minas Gerais state, Brazil.\n\n\nAmazon's Board of Directors has determined that given adverse market\nconditions, the Company has chosen not to exercise its option to acquire Terra\nBranca. Amazon has ceased all ongoing property payments, returning control to\nthe underlying owner. The Company reports that attempts to vend or joint\nventure Terra Branca to a third party have been significantly hampered by poor\nmarket conditions.\n\n\nUnder the terms of the Terra Branca option agreement, Amazon was due to\npay $900,000 in August 2008 with a further $2,000,000 in subsequent staged\npayments. Prospective project economics have weakened markedly since\ncommencement of the option agreement. The diamond market has seen little to no\nchange in the US dollar price for small to medium sized diamonds whilst the\ncurrency (Brazilian Real) measured against the US dollar has appreciated\nconsiderably. In addition, continuing weak market acceptance of alluvial\ndiamond projects deems it prudent to cease ongoing property payments further\nprotecting shareholder funds at this time.\n\n\nAmazon confirms that subsequent to this announcement, the Company will no\nlonger hold any properties or exploration tenements requiring staged payment\nobligations. Amazon has staked its Madeira property and is the sole owner of\nthose mineral rights.\n\n\nCommenting, President & CEO Cristiano Veloso, said: "Despite our share\nprice performance, Amazon retains a strong treasury and a demonstrable ability\nto identify noteworthy opportunities in Brazil. We view the Company as being\nin an advantageous position in the small capitalization exploration peer\ngroup. The continuation of challenging market conditions will afford new and\nexciting opportunities".\n\n\nAbout Amazon\n\n\nAmazon is a mineral exploration company listed on the TSX Venture\nExchange engaged in acquiring and developing gold exploration properties in\nBrazil. Its strategic focus is to acquire projects with demonstrated potential\nfor hosting economic gold deposits and to...