Artillery Peak Manganese Project Update

Added September 13th, 2010 – Vancouver, British Columbia


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 report the continuing progress of its Artillery Peak Manganese Project. The Company has made good progress on the project over the past several months despite the difficult environment for financing. The following goals have been reached and the Company is now able to proceed with its pilot plant study and will soon be able to initiate prefeasibility studies:

August 24, 2010: The Company has filed its application with the U.S Patent Office for a provisional patent for the innovative robust energy efficient hydrometallurgical process for treating low grade manganese dioxide (pyrolusite, psilomelane & wad).

The process which has been designed to be energy and water efficient and address all processing concerns in regard to the environment should not materially affect the cost of production as envisioned in the previously announced NI 43-101 “Preliminary Economic Assessment”.

The Company has accepted an invitation to present a technical paper describing its manganese extraction process at the Society for Mining, Metallurgy and Exploration Inc. (“SME”) at their March 2nd, 2011 annual meeting in Denver, Colorado.

Kemetco Research Inc. (“Kemetco”) is continuing its metallurgical research on the project. Since the announcement of the patent application the Company has received several queries from steel companies and others who have an interest in securing product off-take agreements and marketing American Manganese’s electrolytic manganese metal product.

August 11, 2010: The Company completed a private placement raising gross proceeds of $412,231.32 for 2,290,174 units at $0.18/unit. Financings for 2010 total: $2,621,050.80

July 22, 2010: The Company has completed 53 reverse circulation drill holes which commenced March 18, 2010 totaling 4,526.3 meters (14,850 feet). N. Tribe & Associates Ltd. is preparing an up-to-date NI 43-101 Resource Estimate designed to assign more of the inferred resources to indicated resources. The Resource Estimate is expected to be completed by the end of this month.

Currently, the NI-43-101 compliant Resource Estimate is:

NI 43-101 Resource Study Estimate

Tonnes%MnMn Pounds
Indicated10,865,9294.461,068,307,976
Inferred96,933,7244.529,661,091,721

The Company has now completed 70 drill holes entailing 7,553 meters (24,780 feet) of diamond and reverse circulation drilling (programs in 2007, 2008 and 2010) on the Artillery Peak Project. With prior drilling by the U.S Bureau of Mines and M.S Hanna Co the total holes drilled on Artillery Peak are 83 diamond drill holes and 53 reverse circulation drill holes for a total of 136 holes.

July 13, 2010: Kemetco completed a Bench Scale Test Program and submitted an innovative conceptional flow sheet with heat, mass and energy balance designed to process lower grade manganese mineralization into value added high purity manganese metal.

The report confirms that American Manganese’s proprietary process can extract more than 90% of the contained manganese while minimizing water use and potential environmental impacts. The conceptual process flow sheet developed during this test program is based on a unique application of commercially available process equipment so that the process is deemed to be robust and energy efficient. In addition to the production of electrolytic manganese metal, a saleable anhydrous sulphate by-product will also be produced.

February 25, 2010: The Company appointed Michael MacLeod, P.Eng as Chief Operating Officer (“COO”) to coordinate development of the Artillery Peak Arizona Manganese operation. A seasoned mine developer Mr. MacLeod has 30 years experience in mine development, feasibility, environmental and marketing assessments as well as capital projects.

January 19, 2010: The Company changed its name from Rocher Deboule Minerals Corp. to American Manganese Inc. to better reflect its focus on developing the Company’s Artillery Peak Manganese Project in Arizona, U.S.A.

The Artillery Peak resource contains the largest low grade manganese deposit in the southwestern United States (USBM) with the potential to grow through further exploration. With the process patent applied for, the Company could potentially become one of the lowest cost producers of electrolytic manganese in the world. The mineralogy of the manganese at Artillery Peak allows the Company to produce a “Value Added” high purity manganese metal. The world price of manganese metal is US$1.30/lb rather than the more well known world price for manganese ore (>40% Mn) being US$0.14/lb. The NI 43-101 Preliminary Economic Assessment has estimated that electrolytic manganese could be produced at Artillery Peak at a cost of US$0.44/lb.

About Manganese

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 substitute 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 $1.28/lb. and US price is $1.53/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 John W. Fisher, 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

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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.