Mr. Larry W. Reaugh, President and Chief Executive Officer of American Manganese Inc. (“American Manganese” or the “Company”), (TSX.V: AMY; Pink Sheets: AMYZF), is pleased to announce the Company has received results from its on going Artillery Peak drilling program for drill hole numbers 49 – 53 located on the South Maggie zone of the Manganese Mesa from its on going Artillery Peak drilling program. Results for drill holes 1 through 48 have been announced previously.
“The Artillery Peak manganese mineralization is located within basin filling alluvial fan/playa deposit which typically exhibit large thickness and lateral continuity” says Mr. Reaugh. He goes on to say: “According to the US Geological Survey, Bulletin 961, the bedded deposits of the Chapin Wash formation have the potential for hosting immense tonnage of prospective manganese mineralization. The success of this drilling program demonstrates that character and continuity.”
4526.3 meters (14,850 ft) has been drilled in 53 holes, and the significant results for holes 49-53 are shown in the following table. The drilling program has now been completed and data compilation review and the preparation of an up-to-date NI 43-101 compliant resource estimate are underway.
See the drill plan map at:
China controls electrolytic manganese production (EMM) supplying and producing 97.44% of the world’s 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).
Manganese is the most critical metal at risk to supply and restriction in the United States as there is no US production. EMM’s greatest uses are the upgrading of specialty steel (47%), and the manufacture of aluminum alloys (32%) and electronics (14%).
China has a 20% export duty on EMM and the US has a 14% import duty, world price is $1.22/lb. and US price is $1.55/lb.
Manganese resources are declining in China.
The 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.
This release has been reviewed by Norman L. Tribe, PEng, a qualified person pursuant to National Instrument 43-101.
On behalf of Management
AMERICAN MANGANESE INC.
Larry W. Reaugh
President and Chief Executive Officer