TORONTO, ONTARIO--(Marketwired - Dec. 6, 2017) - Belo Sun Mining Corp. ("Belo Sun" or the "Company") (TSX:BSX) reports that the Federal Court of Appeals in Brasilia has decided to uphold the suspension of the Construction Licence ("Licenca de Instalacao" or "LI") related to its Volta Grande Project. The Court has verbally advised the Company of its decision, however it has yet to publish the written details of the ruling. Belo Sun will provide an update on the ruling if the written decision is materially different than what was verbally announced by the Court this morning once details of the decision have been published.
As previously announced on April 12, 2017, a judge from the Brazilian Federal Regional Court had issued an interim order suspending the LI due to fact that Funai (Indigenous Affairs Agency of Brazil) had not approved the indigenous studies that had been completed by Belo Sun.
According to the decision of the Federal Court of Appeals, Belo Sun will be required to complete an indigenous study in accordance with Funai's guidelines. The Company intends to continue negotiations with Funai to complete an indigenous study that complies with the agency's protocols. In parallel, all possible legal options available to the Company will be evaluated, including appealing the decision. According to current Brazilian regulations, only projects located less than 10 kilometres from indigenous lands require an indigenous study. In accordance with best practices, Belo Sun completed indigenous studies on the two closest indigenous lands, despite the 12 and 16 kilometres distance from the Volta Grande Project.
Peter Tagliamonte, President and CEO of Belo Sun, commented, "We are disappointed with the ruling, however we are confident that a resolution can be reached. We will continue working with Funai to ensure that our indigenous study meets their requirements, and in parallel we intend to explore all legal measures to appeal the decision."
About Belo Sun Mining
Belo Sun Mining Corp. is a Canadian-based mining company with a portfolio of gold-focused properties in Brazil. The Company is currently focused on the development of its 100%-owned flagship Volta Grande project. Belo Sun trades on the Toronto Stock Exchange under the symbol "BSX".
