Brazil Minerals, Inc. Plans to Substantially Increase Revenues With Proprietary Facility for Cutting and Polishing Diamonds

BELO HORIZONTE, BRAZIL--(Marketwired - Jun 16, 2014) - Brazil Minerals Inc. (OTCQB: BMIX) (the "Company" or "BMIX"), a U.S. holding company with revenues from diamonds and gold, announced today that it has built a proprietary facility in Brazil for cutting and polishing diamonds mined by its subsidiary, Mineração Duas Barras Ltda ("Duas Barras"). Duas Barras mines diamonds and gold from its mining concession in Brazil and owns the largest alluvial processing plant for diamonds and gold in Latin America. As polished diamonds sell for ten times or more, on a per carat basis, than rough diamonds, BMIX believes that this facility will substantially increase its revenues over time.

BMIX's facility for cutting and polishing diamonds will be initially staffed by a master cutter and polisher, with over 20 years of experience, and his assistant, as well as support personnel. BMIX obtained in 2013 the necessary licenses from the Brazilian federal authority to be able to export polished or rough diamonds mined from Duas Barras. BMIX has since sold its own polished diamonds to a multi-store jewelry chain in Brazil, which has been in business since 1944, as well as to private investors abroad.

BMIX's strategy is to make Duas Barras vertically integrated as a miner of rough diamonds and gold and producer of polished diamonds. In 2013, its first year of operations with Duas Barras, BMIX had revenues of $791,780, of which 69% was from rough diamond sales and 31% from gold sales. In 2014, BMIX has already sold $1,025,000 in polished diamonds for forward delivery.

Marc Fogassa, Chairman and CEO of BMIX, commented, "This facility to produce polished diamonds, from a small part of the total production, is another step in making Duas Barras an integrated operation. Over time, for part of the production, we will go from rocks to online retail, while keeping the entire diamond profit margin for ourselves. It is a goal with many steps, but we are advancing daily."

About Brazil Minerals, Inc.

Brazil Minerals Inc. (OTCQB: BMIX), a U.S. holding corporation, has ownership of 73.75% of Duas Barras, a Brazilian mining company with revenues from diamonds and gold. BMIX also owns stakes in other subsidiaries in Brazil with assets and options on projects in diamonds, gold, titanium, vanadium and iron in Brazil. More information on BMIX, including an investor presentation, can be found at www.brazil-minerals.com.

Safe Harbor Statement

This press release contains forward-looking statements made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward looking statements are based upon the current plans, estimates and projections of Brazil Minerals Inc.'s management and are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. Such statements include, among others, those concerning market and industry segment growth and demand and acceptance of new and existing products; any projections of production, reserves, sales, earnings, revenue, margins or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements regarding future economic conditions or performance; uncertainties related to conducting business in Brazil, as well as all assumptions, expectations, predictions, intentions or beliefs about future events. Therefore, you should not place undue reliance on these forward-looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: business conditions in Brazil, general economic conditions, geopolitical events and regulatory changes, availability of capital, BMIX's ability to maintain its competitive position and dependence on key management. This press release does not constitute an offer to sell or the solicitation of an offer to buy any security and shall not constitute an offer, solicitation or sale of any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

Cautionary note regarding estimates of Indicated and Inferred Mineral Resources as found in the Duas Barras NI 43-101. We advise U.S. investors that while these terms are recognized by Canadian regulations, the U.S. Securities and Exchange Commission does not recognize them. U.S. investors are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted into mineral reserves.