Mr. Larry Reaugh reports

AMERICAN MANGANESE CLARIFIES RESULTS OF PHASE 2 TESTING

American Manganese Inc. wishes to correct an error in its news release dated Sept. 13, 2016, and to clarify certain statements.

In the phase 2 testing of the company's proprietary hydrometallurgical process to recycle lithium-ion batteries, precipitation tests on leached cobalt/lithium cathode material recovered up to 60 per cent of the lithium present. The prior news release incorrectly stated the percentage as being 55 per cent.

Moreover, the 60-per-cent figure refers only to initial single-pass sequential cobalt/lithium precipitation tests. Kemetco Research Inc. expects lithium recovery of up to 90 per cent with "lock cycle" tests (which are commonly used in potash metallurgy), whereby the recovery process is repeated multiple times. "Simply put in layman's terms," says Larry Reaugh, president and chief executive officer of the company, "you can keep repeating the cycle until you squeeze out every last bit of lithium that is possible. It's a closed system that easily allows one to run the process again and again until almost all the desired lithium has been extracted. There will always be small losses in the system, but based on established processes, a high rate of recovery is achievable."

We seek Safe Harbor.