Brazil Minerals, Inc. Acquires Rights in High-Potential Vanadium, Titanium, and Iron Project

Attractive Opportunity in Strategic Minerals

SAO PAULO, BRAZIL--(Marketwired - Aug 5, 2013) - Brazil Minerals Inc. (OTCQB: BMIX) (the "Company" or "BMIX"), a diamond and gold producer with resources and assets in Brazil, today announced that it has acquired the exclusive and irrevocable right to develop and own 75% of a vanadium, titanium, and iron project in the state of Piauí, Brazil. The Company believes that this project is a very significant asset due to the continued global demand for titanium and vanadium as strategic minerals and the world-class, high concentrations observed in samples from the property.

In June 2013, the Company's field team, headed by its Vice President of Geology, Paulo Roberto Amorim dos Santos Lima, a geologist with more than 40 years of Brazilian field experience, visited and collected samples from an area in Piauí, in northeastern Brazil. In that location, large mineralized outcroppings were first visible after a recent wildfire lowered the vegetation cover.

The photograph in this release shows Mr. Paulo Lima and his field technician next to some of these mineralized outcroppings. The team collected geochemical samples that were subsequently analyzed by SGS-Geosol, a world-class, leading analytical laboratory whose clients include most of the major global mining companies operating in Brazil. The reported geochemical results from SGS-Geosol proved iron (Fe₂O₃) concentrations between 66.2% and 71.7%, titanium (TiO₂) concentrations between 18.4% and 19.8%, and vanadium (V₂O₅) concentrations between 0.68% and 0.80%. The Company considered these results to be indicative of significant potential for the property.

On July 30, 2013, the Company's wholly-owned Brazilian subsidiary, BMIX Participações Ltda. ("BMIXP"), signed a definitive and irrevocable contract with ICL, a Brazilian company formed by the owner of the mineral property, a Brazilian resident. According to the agreement, BMIXP has the exclusive and irrevocable right to develop and own up to 75% of the project in exchange for the performance over time of certain defined geological research steps, as well as the payment, over a period of time, of 875,000 Brazilian reais (approximately US$382,000 as of August 3, 2013) and the equivalent of 125,000 Brazilian reais in common stock of the Company (approximately US$55,000 as of August 3, 2013). If, for any reason, the Company decides to discontinue participation prior to achieving 75% ownership, the Company will be guaranteed a percentage ownership of the project, ranging from 5% to 49%, proportional to the amount of funds disbursed and the amount of geological research done.

The Company believes that the combination of its geological team's expertise and experience in these minerals, the large mineralized outcroppings, and the qualified geochemistry results are strong indicators for the potential of this property.

Marc Fogassa, Chairman and CEO, commented, "This project is very promising; it is incredibly rare to find vanadium and titanium at these concentrations." He added, "The strength of our team is that we can filter dozens of quality situations in Brazil until we find one that is highly accretive in value. We are a young company with revenues from diamond and gold. The potential of long-term revenues and profits from this project -- through eventual commercial exploration, or joint development, or even an early sale -- is clearly positive for our shareholders." "This is the type of BMIX structured deal that we like to do: huge potential, measured risk, and no money down. In the worst-case scenario, we retain some ownership if we walk away," Fogassa concluded.

Paulo Lima, Vice President of Geology, stated, "It is rare to find mineralization with this high level of geochemical results for all three minerals -- vanadium, titanium, and iron. In fact, our geochemical results match closely those seen in Largo Resources' Campo Alegre de Lourdes project. That property is only 25km away from ours and most likely geologically connected."

Vanadium and Titanium are considered strategic minerals and have a substantial use in military and high technology applications. Both are utilized to improve strength in steel alloys. Vanadium is used in green energy applications such as advanced batteries as well as in superconductors; Titanium is utilized in pigments, additives, and coatings. Iron is the basic material used for the production of steel and one of the major commodities in demand by growing economies.

About Brazil Minerals, Inc.
Brazil Minerals Inc. (OTCQB: BMIX), a U.S. corporation, is a diamond and gold producer with resources and assets in Brazil. Its mining assets include a 55% ownership in Duas Barras, a diamond and gold producing mine. BMIX has exploration projects for vanadium, titanium, iron, and gold, and a healthy pipeline of other sizeable opportunities throughout Brazil. Its Brazilian headquarters is in São Paulo, the financial hub of Latin America, with an operational office in Belo Horizonte, the capital of the state of Minas Gerais, a name that means "General Mines," and serves as reminder of the strength of that region of Brazil for natural resources. 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, the 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.