Femin Inc.
Femin Inc.: FEMIN INC.RAILROAD NEWS – GOVERNMENT CONFIRMS 4 SUBCONTRACTORS ARE CURRENTLY CONSTRUCTING THE FIOL (EAST- WEST RAILROAD) Government Funded Infrastructure substantially minimizes transportation cost thereby maximizing net profitability
Femin Inc. / Key word(s): Miscellaneous 09.11.2011 / 08:00 --------------------------------------------------------------------- Toronto ON - Femin Inc. (FRA-FJM) ('Femin') is pleased to announce that Brazil's Ministry of Transportation has confirmed construction and has begun on the 537km Phase 1 section of the FIOL (East-West Railroad) which will connect Caetité to the new port being built in Itacare. The construction has been contracted out in subsections to four separate railroad contractors who will hook up in July 2013 in order to complete the 537km route. The Phase 1 section of the FIOL Railway will connect with the Febra mine spur which is in the engineering and planning stage as detailed in Femin Inc.'s October 12th, 2011 news release. Details of the railroad construction are set out below. Subsection Lengths and Subcontractors Subsection Length - km Construction Contractor 1 124.99 Consortium SPA / DELTA / VONVAP 2 117.9 Consortium Galvão / OAS 3 115.36 Consortium TORC / Ivaí / CAVAN 4 178.28 Consortium Andrade Gutierrez / Barbosa Mello / Serveng *Source - VALEC Engineering, Construction and Railroads SA. Brazil's Ministry of Transport Femin CEO Alexander Stewart says, 'The fact that the government is building the railroad at no cost to us together with the port is excellent news and a huge boost to the project. Previously the Febra project had budgeted approximately $1.9 billion to build a slurry pipeline and port facility which is now not necessary.' The Febra Project is very unique as the transportation infrastructure of the project is being paid for by the Brazilian government. The returns of the project are enhanced dramatically and profitability occurs much earlier without Femin having to commit to these upfront costs while adding significant value by allowing us to bring the iron ore to market much faster. Infrastructure is one of the most critical elements in an iron ore project. These developments by the Brazilian government substantially minimize transportation overhead maximizing net profitability. This puts Femin in the envious position of selling its iron ore at very attractive margins. The current contract price for a metric tonne of iron ore is in the range of $150 to $160 with spot prices being 10-20% higher. 'We are confident that these logistical and transportation advantages position us to obtain robust margins thus creating long term economic growth for the company' added CEO, Alexander Stewart.www.femin.ca ** END OF PRESS RELEASE ** About Femin Inc. Femin Inc. is a mineral exploration and development company located in Toronto, Canada. The Company was established in 2010 and its primary focus is the Febra Iron Project, which is a substantial iron deposit located in the State of Bahia, Brazil. Femin's management team has extensive experience in the exploration and development of mineral deposits all over the world. Femin Inc.'s shares (Wkn: A1H50Q / ISIN: CA31502Y1034) are listed for trading on the Frankfurt Stock Exchange, Open Market. This news release may contain certain forward-looking statements, expectations, intentions, strategies and beliefs regarding the future. All statements contained herein are based upon information available to the management of Femin Inc. as of the date hereof, and actual results may vary based upon future events, both within and without the control of the management, including risks and uncertainties that could cause actual results to differ materially. Management does not take any responsibility to update the contents of this News Release in case new aspects arise or new conditions change the facts available. Femin Inc. 2500 - 120 Adelaide Street West, Toronto/Canada, M5H 1T1 For further information, please contact: Alexander Stewart, CEO Phone: (416) 644-1179 E-mail:astewart@femin.ca Stephen Stewart, VP Phone : (416) 644-1179 Email : sstewart@femin.ca Homepage: www.femin.ca End of Corporate News --------------------------------------------------------------------- 09.11.2011 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- 145288 09.11.2011
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