U.S. Senator and Congressman comment: Project is a “positive step” towards “durable source of supply”

American Manganese Inc. (TSX-V: AMY) (OTC US: AMYZF) (FSE: 2AM) is pleased to announce that the United States Defense Logistics Agency (DLA) has awarded the Company a grant to perform work on the United States Government’s manganese ore stockpile located near Wenden, Arizona, with the goal of producing electrolytic manganese metal (EMM) for the nation. The DLA manages combat logistics across all U.S. Armed Services and oversees the U.S. National Defense Stockpile (NDS).

AMY has been awarded a grant to conduct tests of the Wenden stockpile to confirm the viability of using the Company’s patented hydrometallurgical process to recover EMM from the stockpile. If successful, the DLA, together with AMY, will proceed to transform sub-economic manganese resources into a valuable source of EMM, an outcome in line with the DLA’s acquisition plan for EMM as well as President Trump’s Executive Order 13953 (September 30, 2020), “Addressing the Threat to the Domestic Supply Chain From Reliance on Critical Minerals From Foreign Adversaries and Supporting the Domestic Mining and Processing Industries.” This project has garnered strong support from members of the Senate and Congress:

• “The United States should never be reliant on an adversary like China for minerals critical to our national defense,” Senator Martha McSally (R-AZ) said. “I have been working to bring America’s crucial supply chain home from China and today’s announcement is a positive step toward that goal. This grant is great news for both Arizona and our national security.”
• “As a Member of Congress, it is seldom that I see such a clearly amazing opportunity,” said Congressman Paul Gosar (R-AZ). “The successful execution of this project could transform an unwanted stockpile of low-grade material, long ago paid for by the U.S. taxpayer, into a NDS stockpile material (EMM). The U.S. simply cannot remain dependent on Chinese supply chains — particularly when electrolytic manganese metal is a designated strategic defense mineral. The proposed project is a strong first step towards advancing a durable American source of supply.”

Under AMY’s proposed program for the Wenden stockpile, selected sample materials would be tested through a laboratory bench-scale testing campaign to provide proof of concept of a future modular pilot-scale testing facility. The Company expects to commence the work soon once details have been finalized with the DLA. The total program is anticipated to take about 47 weeks.

The DLA grant constitutes AMY’s second project to gain support from the U.S. government. The Company, due to its development and ownership of the RecycLiCo^TM technology, is also part of a team – which includes the Oak Ridge National Laboratory, the Idaho National Laboratory and Purdue University – formed by the U.S. Department of Energy’s Critical Materials Institute to research and advance recycling of electric vehicle battery materials.

The manganese market is greater than 41 billion pounds per year and is the fourth most-traded metal, but the U.S. is 100% import-dependent on manganese. There is no substitute for manganese in the production of steel and as BHP Billiton’s former CEO Brian Gilbertson has said, “You cannot make steel without manganese. And if you cannot make steel – the world stops.”

“We are very excited that AMY has been chosen to work on the Wenden manganese stockpile,” said Larry Reaugh. “We look forward to demonstrating that our patented process can deliver a material that is designated as strategic by the Pentagon, and is one of the materials covered by President Trump’s new Executive Order declaring a ‘national emergency’ regarding critical mineral development.”

Following the increased focus on manganese, the Company announced a review of its manganese assets and patents in the September 17, 2020 news release

About American Manganese Inc.

American Manganese Inc. is a critical metals company focused on recycling of lithium-ion batteries (RecycLiCo™) and the production of electrolytic manganese metal from low grade U.S. resources. The recycling process provides high extraction of cathode metals, such as lithium, cobalt, nickel, manganese, and aluminum at high purity, with minimal processing steps. American Manganese Inc. aims to commercialize its breakthrough RecycLiCo™ patented process and become an industry leader in recycling cathode materials from spent lithium-ion batteries