American Manganese Inc. Receives Soil Geochemical Survey Results from Lonnie Project from Rara Terra Minerals

March 27, 2012 - Vancouver, British Columbia

American Manganese Inc. (“American Manganese” or the “Company”), (TSX.V:  AMY; Pink Sheets:  AMYZF; Frankfurt:  2AM), is pleased to announce results of the geochemical work program completed by Rara Terra Minerals Corp. (TSX.V: RTX) on its Lonnie joint venture project in central British Columbia during the months of September and October 2011.

As a followup to the airborne magnetic survey conducted in March 2011, a comprehensive geochemical soil survey over the magnetic anomalies with a particular focus on magnetic highs and magnetic lows was completed.  The program was managed and conducted by Minconsult Exploration Services, of Vernon, BC.  The objective of this program was to identify near-surface exposure and trend of carbonatite bodies which are pervasive on the Lonnie property.  Samples were collected at 50m intervals along lines spaced at 100m for a total of 39.7 line kilometers. Grid control was by handheld GPS instruments.

A total of 876 soil samples were collected and analyzed.  The results are encouraging, especially for three strongly anomalous zones returning up to 8467 ppm total Rare Earth Elements + Yttrium (TREE+Y) being delineated along a consistent five kilometre long NW trend.  Additional anomalous zones have also been located, generally along the same strike trend, and could prove to be extensions of the known zones.  Where warranted, anomalies will be followed-up by trenching and drilling programs to begin later this year.

Highlights:

Zone 1 – Vergil – Strong Niobium (Nb) and TREE+Y anomalies occur in this approximately 800 x 400 m zone.  Niobium values up to 1003 ppm and TREE+Y values of up to 2225 ppm were obtained. These anomalies appear to be open to the north, west and south.

Zone 2 – Blue Dot – The highest value (TREE+Y =  8467 ppm) collected during the geochemical survey was taken on the western edge of a regional shear structure coincident with  two small, adjacent  magnetic lows that were specifically targetted for sampling on this survey.  The corresponding niobium value for this sample was 223 ppm.  Interestingly, there are a number of anomolous molybdenum showings (as high as 63 ppm) in Zone 2.

Zone 3 – Lonnie South – This anomaly (approximately 200 x 500 m) is east and southeast of the historic Lonnie 1 showing.  Peak values in these soils were 940 ppm for Nb and 6626 ppm for TREE+Y.

Zone 4 – Granite Creek West – An approximate 1000 x 300 m rare earth and niobium soil anomaly has been identified here.  Peak values for TREE+Y in soil include 2206 ppm and 1430 ppm, while Nb values include 1438 ppm and 868 ppm.  Anomalous values are coincident with magnetic highs.

Maps for reference:

1. Lonnie compilation map with zone names, total mag intensity and TREE+Y anomalies:

http://www.raraterra.com/documents/Lonnie_Geology.pdf

2. Geochemical Nb anomalies:

http://www.raraterra.com/documents/Lonnie_Geochemical_NB.pdf

3. Geochemical TREE+Y anomalies:

http://www.raraterra.com/documents/Lonnie_Geochemical_TREE+Y.pdf

Alex Helmel, CEO of Rara Terra, stated: “With soil samples approaching 1% total rare earths, plus additional Niobium credits, we are encouraged that higher grade mineralization exists in the bedrock beneath the overburden and are especially encouraged by the discovery of the Blue Dot anomaly [Zone 2] in an area of the Lonnie property previously untouched.”

The Lonnie Property

Located 220 km northwest of Prince George, BC, the Lonnie Property consists of ten mineral claims, totaling 2480 hectares, and is underlain by metasediments of the Upper Proterozoic Wolverine Complex.  The metasediments include quartz - hornblende gneiss, quartz gneiss, quartzite and garnet biotite muscovite schist which are intruded by a conformable medium grained carbonatite complex, that account for the Vergil and Lonnie showings.

The Lonnie property is under a 3-year option to Rara Terra Minerals Corp. (TSX.V: RTX). 

Sample Preparation and Analysis

All samples were collected from the “B” soil horizon at depths of up to 0.6 m, placed into tamperproof bags, labelled and then transferred to Acme Analytic Laboratories Ltd in Vancouver, BC, where they were treated according to the Acme procedure SS80 and then analyzed for 43 elements by ICP methods (Acme procedure 1T-MS).  Overlimit Ce and La samples were reanalyzed using Acme procedure 4B03.

TREE+Y is the addition of all parts per million (ppm) values for rare earth elements (lanthanum, cerium, praseodymium, neodymium, samarium, europium, gadolinium, terbium, dysprosium, holmium, erbium, thulium, ytterbium, and lutetium) plus yttrium.

Qualified person

Rara Terra's qualified person, Robert Friesen, PGeo, has read and approved the technical disclosure contained in this news release.

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 metal from its Arizona Manganese Project.

On behalf of Management

AMERICAN MANGANESE INC.

Larry W. Reaugh
President and Chief Executive Officer

Information Contacts:

Larry W. Reaugh
President and Chief Executive Officer
604-531-9639

Connie Fischer
Investor Relations
604-531-9639 ext. 110
Email:  connieir@amymn.com or info@amymn.com
ww.americanmanganeseinc.com

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