Great news today...Gov of the State of Minas Gerais signs support docs.

TORONTO, ONTARIO--(Marketwire - April 7, 2011) -

Amazon Mining Holding Plc (TSX VENTURE:AMZ) ("Amazon" or the "Company") is pleased to announce that the Minas Gerais State government ("the State") has signed a memorandum of understanding ("Memorandum") to provide Amazon with support in terms of potential financing for working capital and fixed investment, with funds administered by the development bank of Minas Gerais (BDMG). The stated objective of the Memorandum is to enable the implementation, by Amazon, of an industrial unit and the installation of a distribution centre located in the State of Minas Gerais destined for the manufacturing and commercialization of ThermoPotash, Potassium Chloride and Potassium Sulfate. The Memorandum was signed by a collaboration of key personnel interested in the development of the Cerrado Verde Potash Project, specifically; Minas Gerais State Governor Antonio Augusto Junho Anastasia, Dorothea Fonseca Furquim Werneck, Secretary of the State Department for Economic Development, Leonardo Mauricio Colombini Lima, Secretary of the State Treasury Department, Jose Frederico Alvares, President of the Integrated Development Institute of Minas Gerais ("INDI"), and Ricardo Murari Bandeira, Regulatory Manager of Amazon Mining.


The State, through INDI, shall provide support and assistance to Amazon during the implementation and operation phases of the project, particularly with regard to assisting with financing requirements and the expedition of permits and licenses. The terms of the special tax treatment (see Amazon release dated December 22, 2010), including the suspension of ICMS taxes on purchases destined for the construction of the Cerrado Verde Project are also outlined in the Memorandum.

The consolidation of the chemical industry sector is of great importance for the development of productive activities that add value and technology to the State, as evidenced by its commitment to Amazon. The Memorandum confirms that Cerrado Verde is within the parameters of the State's primary development goals, namely; increasing employment and reducing regional and social inequalities, and seeking to form strategic partnerships with the private sector aiming at the industrial and commercial development, internalization of industry and environmentally integrated policy. In respect to social development and to the economy of the State of Minas Gerais, the benefits granted to Amazon provide an increase in direct and indirect employment opportunities as well as in revenue.


Commenting, Cristiano Veloso, President and CEO said, "The exact terms and means of the State financial involvement at Cerrado Verde will be determined as we move forward with the project. This Memorandum represents a unique acknowledgement by the government of Minas Gerais of the incredible benefit domestic potash production will bring to the agricultural sector in Brazil. We gladly welcome the participation of the State in building our innovative potash operation."

Other Matters

Amazon will be hosting its Annual General Meeting on Tuesday, April 12 at 10:00am EST, at the offices of Fasken Martineau LLP at 333 Bay Street, Suite 2400, Toronto, ON M5H 2T6. All shareholders are invited to attend.

Subsequent to approval from the TSX Venture Exchange, Amazon has increased the exercise price to
.45 on stock options previously granted between November 2008 to June 2009 to five consultants who were each granted 50,000 options to purchase ordinary shares of Amazon. Four of the consultants received stock option grants exercisable at
.35 while one of the consultants received a stock option grant exercisable at
.30. Amazon has increased the exercise price to be above the par value of the ordinary shares.

About Amazon
Amazon Mining is a mineral exploration and development company founded by Brazilians in 2005. The company is focused on the development of the Cerrado Verde project. Cerrado Verde is a source of a potash rich rock from which Amazon plans to produce a slow-release, non-chloride, multi-nutrient, fertilizer product. Amazon Mining is a UK public company with shares listed on the Toronto Stock Exchange since November 2007.

On behalf of the Board of Directors of Amazon Mining Holding Plc

Courtesy of Red Pill on sh

Go to www.google.ca

and type

minas gerais cerrado verde potassio

you will find MANY official and news pages regarding today's announcement. It seems to be a major news for Minas Gerais state.

Google translate give you a decent translation. Below a good sample (machine translation - "Green Fertilizer" is the translation of Verde Fertilizer, our new name). Some of these pages talk about 105M tons... they will be glad to realize that they have much more than that.

I was already thinking that we got today good news.... now I am convinced that these are great major news.

GLTA

"
The governor signed Antonio Anastasia, on Wednesday (04/06) in Tiradentes Palace protocol of intent with Green Fertilizer for the feasibility of the project Savannah Green - Potash Mine. The unit will be installed in the Alto Paranaiba, with startup scheduled for the second half of 2013. Will be invested R $ 280 million in the project, with the creation of 286 direct jobs and 1,330 indirect jobs. At the beginning of the operation, the unit will have a production capacity of 1.1 million tons / year.

"This important project will allow Minas give a very positive step for self-sufficiency in production of fertilizers, helping to meet demand in Brazil. Consequently, reduce the price of agricultural production, feeding the best Brazilian and also allowing our food exports will increase, "said the governor.

The Savannah Green project is a mining project and heat treatment of glauconite (rock verdigris) termopotássio for production, new fertilizer to be placed in the Brazilian market to replace imports of potassium chloride, the raw material used in the production of agricultural input.

Reduction of imports

In addition to generating jobs in the state, the venture will add value for a mineral commodity. Minas Gerais will benefit from the reduction in 16% of import of potassium, equivalent to about 3% for the country. This may represent, in the beginning of operation, annual savings close to $ 100 million in remittances abroad.

Brazil currently imports more than 90% of this nutrient is vital to the agribusiness sector, particularly for soybeans, corn, coffee and sugar cane. The main markets suppliers are Russia and Canada.

The president of Amazon Mining Holding, parent of Green Fertilizers, Cristiano Veloso said the project will contribute to the reduction of imports, contributing to the development of the economy of Minas Gerais.

"Of all the mining projects underway in Brazil, this is certainly the most important for three reasons: aggregation means maximum value possible for a mineral commodity. It is an opportunity for Brazil, headed by Mines, to solve this problem of dependence on imports of potassium for agribusiness. Bring major impacts to the economic and social development in the state, "said Cristiano Veloso.

According to the executive, the company will quadruple production capacity depending on the acceptance of termopotássio the Brazilian market. The production could reach 4.4 million tons / year.

"Over the next 12 months we will invest in geological exploration and technological approximately $ 30 million. The goal is, until the third quarter, we could announce the discovery and confirmation of the largest deposits of potash in the world to open, "he said.

Government Support

The Government of Mines will provide support to the project with funding lines through the Development Bank of Minas Gerais (BDMG). Furthermore, the Government has initiated the study to invest in the venture through the Development Company (Codemig), with participation of Agricultural Research Company (Epamig) as promoter of termopotássio.

The vice president of operations for Green Fertilizers, Maurício Sampaio stressed the importance of partnership with the State Government to implement the project in Minas Gerais.

"With the support of the government of Minas'm sure we will expedite our goal of reducing the import of fertilizers," said

Nitrogen Fertilizer Unit

During the ceremony, the governor Antonio Anastasia noted that the region of Triangulo Mineiro and Alto Paranaiba is becoming an important pole of fertilizers in the country. Last month, the Government of Mines signed a protocol of intentions between Petrobras and Cemig to implement the gas pipeline connecting Sao Paulo to Uberlandia and deployment in the city of an ammonia plant, the raw material for production of nitrogen-based fertilizers.

The expectation is that the unit and the pipeline will be completed in 2014. For the construction of the pipeline, the state will invest $ 750 million, with funds Cemig, parent of Gasmig. Petrobras will invest in the ammonia plant $ 1.3 billion from the forecast to generate 5,000 direct jobs during construction.

Besides developing the Triangulo Mineiro region, the deployment of ammonia plant in Uberaba reduce the country's dependence on import of raw material for manufacturing fertilizers, an important ingredient of agribusiness.

This stock is ready for lift off!