Larry W. Reaugh, President and Chief Executive Officer of American Manganese Inc., (TSX.V: AMY; Pink Sheets: AMYZF) (“American Manganese” or the “Company”) is pleased to report Kemetco Research Inc. (“Kemetco”) has completed its task to develop a conceptual process for extraction and recovery of high purity manganese metal from the Company’s vast manganese resources at Artillery Peak, Mohave County, Arizona.

The overall process, based on a unique application of commercially available process equipment is deemed to be very robust, energy efficient, uses minimal water and in addition to production of electrolytic manganese metal will also produce a clean, saleable anhydrous sodium sulphate by-product.  The energy to recover water and destroy dithionates is balanced with the energy produced by burning of sulphur to produce sulphur dioxide.  High energy requirements for these applications were a major challenge facing prior art.  Dithionate destruction yields sulphur dioxide which can be recycled to the leaching stage and use of water is minimized thru production of solid tailings which can be returned to worked out areas of the open pit.

The Company has agreed to Kemetco’s recommendation to seek patent protection for this novel innovative proprietary technology which will enable the manganese resources at Artillery Peak to be processed at minimum cost:  Kemetco will prepare and submit documents for patent application immediately.

Solid waste products are benign.  Overall, the process is judged to be a significant development in hydrometallurgy for production of manganese metal from U.S. domestic resources.

About Manganese

  • China controls electrolytic manganese production (EMM) supplying and producing 97.44% of the worlds needs (2.6 billion pounds per year).
  • There is no substitution for manganese in steel (total manganese market greater than 30 billion pounds per year, fourth largest traded metal).
  • The most critical metal at risk to supply and restriction in the United States.  No US production. 
  • EMM’s greatest uses are upgrading specialty steel 47%, manufacture of aluminum 32% and electronics 14%.
  • China has a 20% export duty on EMM and the US has a 14% import duty, world price is $1.33/lb. and US price is $1.68/lb.
  • Manganese resources are declining in China.
  • Overall manganese market grew at 8% per year to 30 billion pounds up to 2008.  EMM market grew at 26% per year from 2003 – 2008 to 2.6 billion pounds per year.

About American Manganese Inc.:

American Manganese Inc. is a diversified specialty and critical metal Company focusing on potentially becoming the lowest cost producer of electrolytic manganese from its Arizona Manganese Project

About Kemetco Research Inc.:

Kemetco Research is privately owned contract Research and Development Company specializing in extractive metallurgy, chemical processing and specialty chemical analysis.  Kemetco was formed after the acquisition of the Industrial Process Division of BC Research.  BC Research had been in operation for over 60 years as an R&D contractor in British Columbia, Canada.

This release has been reviewed by John W. Fisher, P.Eng. a qualified person pursuant to National Instrument 43-101.

On behalf of Management

AMERICAN MANGANESE INC.

Larry W. Reaugh
President and Chief Executive Officer


The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This news release may contain certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time with the Toronto Stock Exchange, the British Columbia Securities Commission and the US Securities and Exchange Commission.