Strategic Investment in North-East Brazilian Exploration and Mining Company
NEW YORK, May 23, 2012
NEW YORK, May 23, 2012 /PRNewswire-Asia/ -- China Digital Venture Corporation
(OTCBB: CDVV; "China Digital" or the "Company") is pleased to announce that it
has signed a memorandum of understanding between the shareholder group of Sao
Camilo Mineradora Ltda. Group ("Sao Camilo") to acquire a strategic equity
interest in Sao Camilo.
Sao Camilo was founded in 2006 with the objective of developing an iron ore
processing project -- The Sao Camilo Project -- to produce and export pellet
feeds from its mining resources located nearby the city of Sao Raimundo
Nonato, south of Piaui State, in the northeast region of Brazil.
"Following our recent investment in Arnevut Resources (U.S. gold exploration
and mining company), our interests in the Sao Camilo Project will definitely
be an important step to position ourselves as a unique investment platform
into attractive resource projects worldwide," stated Robert Price, China
Digital's Director & CEO. "We are already in discussion with strategic
companies that can help us substantiate the value of this property and bring
the project to the next level."
The Sao Camilo Project
oGreenfield open pit mining project in the northeast of Brazil, focused on
iron ore and manganese
o412 mm m3 of iron ore reserves with a 30% Fe content and 50 k tons of
oIron ore with very low impurities that can be easily concentrated to over
62% iron grade of sinter feed
oManganese associated with the ore, increase value of the iron ore as it
will require less manganese to produce steel
oInfrastructure availability - water, electricity, new railroad
(construction in progress), labor, ports
oIncentives by both federal and local government and low cost financing
available by the Brazilian Development Bank for the projects in the
Iron Ore: The iron ore is represented by banded iron formations interspersed
with small bands of ferruginous quartzite. The ore body is a continuous, well
defined, with length of nearly five kilometers, and layers with thickness
ranging from 50m to 120m. The characteristics of the iron ore deposits, with
medial magnetism and with a typical Itabirite banding, are comparable to major
deposits of iron ore in Brazil, especially the ones found in the central-south
areas of Bahia and in the areas in north of Minas Gerais. In such regions,
similar deposits are in advanced phases to start mining. The iron ore consists
mainly of minerals such as martite, magnetite, ghoetite, quartz, and with Fe
content ranging from 21% to 35%, with an aggregate blend resulting on an
average content of 30% for the total deposit. Technical analysis presented
highly satisfactory results, indicating that the ore is consisted of released
silica. In addition, the iron ore presented extremely low levels of impurities
such as alumina and phosphorous.
Manganese Ore: The manganese ore occurs within the iron ore body in form of
surface concentrations, which has its origin connected to the action of
supergene weathering agents, alongside the influence of topography.
Mineralogical analysis shows that the ore consists essentially of criptomelano
and pyrolusite and its manganese content ranges from 30 ~ 57%, and an average
density of 3.9 t/cubic meter. The manganese ores are represented by tabular
bodies of proto ore silicate, the primary ore, covered by colluvial deposits
of high grade supergene ore.
To date, Sao Camilo has acquired two farms totaling 690 hectares, which cover
most of the mining rights, including the ideal location for the construction
of plant facilities, piling stocks and tailings dam. In addition to the
acquired properties, Sao Camilo has filed a requirement for servitude areas in
order to fulfill the applicable legislation, which determines that industrial
works and the plant facilities are to be comprised within the servitude areas
allowed for the project. These areas will be used for the implementation of
the final pit, processing plant, roads, accesses, offices, workshops, health
and other support facilities, waste disposal, barren, and structures for
environment protection, among other uses.
Since it started its exploratory activities in mid-2005, Sao Camilo has
developed several research activities aimed at investigating the quality and
the volume of the iron and manganese ores. Over the next 12 ~ 18 month period,
the project will commence in-depth research conducted as per NI 43-101 or JORC
standards to obtain an internationally certified reserve.
About China Digital Venture Corporation
China Digital Venture Corporation (OTCBB: CDVV), is a publicly traded U.S.
based junior exploration and mining company headquartered in Rockille,
Maryland. The Company is currently pursuing opportunities for several
acquisition targets focusing on operational plans for current projects across
the trans-pacific regions. China Digital's commitment to asset growth and
increased shareholder value will be sustained by the development of highly
prospective projects, accelerated exploration activities and the acquisition
of viable resources.
Robert M. Price, Director
SOURCE China Digital Venture Corporation
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