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Euro Manganese Signs Demonstration Plant Contract and Appoints Lead Process Plant Engineers for Feas

Euro Manganese Signs Demonstration Plant Contract and Appoints Lead Process Plant Engineers for Feasibility Study

NR 2019-11

• CRIMM awarded Fixed Price, Turnkey Contract for the building, delivery and commissioning of high-purity manganese products demonstration plant. • BGRIMM selected as feasibility study process plant engineers.

Vancouver, Canada (December 11, 2019) – Euro Manganese Inc. (TSX-V / ASX: EMN) (the "Company" or "EMN") is pleased to announce the following:

Awarding of Fixed-Price Turnkey Contract with CRIMM for Demonstration Plant

The Company’s technical team has significantly progressed the design, engineering, planning and permitting of a high-purity electrolytic manganese metal (“HPEMM”) and high-purity manganese sulphate monohydrate (“HPMSM”) demonstration plant (“the DP”) for the Chvaletice Manganese Project (the “Project”), which will produce multi-tonne, high-purity manganese finished product samples for customer testing and qualification. EMN has entered into a fixed-price, turnkey contract with Changsha Research Institute for Mining and Metallurgy (“CRIMM”) for the supply and commissioning of a technology and equipment package for the DP. The contract includes performance guarantees, as well as commissioning services, laboratory set-up and an operator training program.

The DP design replicates the process flowsheet that was used in the Project’s Preliminary Economic Assessment (“PEA”), which was released in the first quarter of 2019. The DP is designed as a locked-cycle, semi-batch, manually operated system of interconnected modules that can be utilized as a circuit or as stand-alone components. The DP will be located in two existing buildings adjacent to the Chvaletice tailings site and produce up to 100 kg/day of dry crystalline HPMSM made from approximately 32 kg/day of HPEMM. The cost of the DP is expected to be approximately US$2.5 million, exclusive of EMN’s site infrastructure and installation costs, as well as cost of operation for one year, which together are estimated at an additional US$2.5 million. The supply and delivery of the DP remains subject to financing. The Company is planning to start its commissioning by Q4 2020.

Founded in 1955, CRIMM is a major research institute under the direct management of China Minmetals Corporation (“CMC”), a state-owned corporation and one of the world’s largest mining, metals and minerals trading companies. As a member of the state-owned Enterprise Electric Vehicle Industry Alliance, CRIMM has been a leader in the research and development of new energy materials and related technologies. For more than 60 years, CRIMM has followed an innovation-driven model, providing strong science and technology support, while helping CMC build itself into a world-class metals and minerals enterprise. CRIMM and CMC have great depth of experience in the design, construction and operation of high-purity manganese plants, as well as lithium-ion battery precursor and cathode manufacturing facilities.

CRIMM has conducted metallurgical test work programs and process development for the Project since 2017.

Dr. Li Maoling, General Manager, Deputy Secretary of the Party Committee, CRIMM, China Minmetals Corporation stated: “We have enjoyed our excellent collaboration with the Euro Manganese team on this strategic project. We have been extremely impressed by their strong focus on technical excellence, delivering very high purity manganese product specifications and achieving world-class environmental standards. We look forward to building the Chvaletice Demonstration Plant.”

Marco Romero, President and CEO of EMN, commented: “CRIMM has been an outstanding partner for Euro Manganese over the last two and a half years, supporting our Company with extensive metallurgical test work programs and process development studies. CRIMM’s remarkable team are world leaders in manganese processing technology and the production of new energy materials. We are delighted to continue working with CRIMM and look forward to building on this relationship.”

Feasibility Study – Appointment of BGRIMM as lead process plant engineer

The appointment of BGRIMM Technology Group (“BGRIMM”) as lead process plant engineer for the Project’s Feasibility Study, follows the evaluation of proposals from a short list of leading engineering and technology firms. The Feasibility Study test work program, which includes numerous optimization and verification tests, commenced earlier this quarter.

BGRIMM is a division of Beijing General Research Institute of Mining and Metallurgy, a leading provider of innovative technology, diversified products and process-orientated engineering services for the mineral and material industries worldwide.

Given that Chinese companies have designed and constructed all the global high-purity manganese plants for decades, CRIMM and BGRIMM’s appointment allows EMN to leverage unequalled technological, engineering and construction expertise for HPEMM and HPMSM plants that exists in China. BGRIMM has agreed to engage Tractebel Czech Republic, to provide localization, regulatory compliance and cost estimation services.

Tractebel Czech Republic is a division of Tractebel Engie, a major worldwide provider of project life cycle and engineering services based in Belgium. Additionally, as announced earlier this year, EMN appointed Tetra Tech Canada Inc. as its Owner’s Engineer and Qualified Person (QP), responsible for overseeing the work prepared by the other consultants and service providers in connection with the preparation of a Feasibility Study, and to prepare the National Instrument 43-101/JORC Feasibility Study report for the Project. The Feasibility Study is scheduled for completion in the second half of 2020.

Prof. Han Long, General Manager, BGRIMM stated: “BGRIMM attaches great importance to this promising project and looks forward to working closely with the EMN team. We will mobilize significant resources to ensure that we deliver first class services and positive outcomes for Chvaletice.

Mr. Romero added: “We are also pleased to have appointed BGRIMM as the lead process plant engineer for the Project. BGRIMM ranks among the leaders in metallurgical research, engineering and technology in China, especially as it relates to leaching, purification and electrolysis in hydrometallurgy. It has extensive experience, both in China and internationally, having completed numerous engineering projects, feasibility studies and EPC mandates in the mining and mineral processing industry. BGRIMM has worked on precious, base, ferrous, and rare metals projects worldwide, and has a thorough understanding of European standards, having worked on several projects within Europe. Its experience and expertise will be of significant benefit to our Project.”

About Euro Manganese Inc.

Euro Manganese Inc. is a Canadian mineral resource company, whose principal focus is advancing the development of the Chvaletice Manganese Project, approximately 90 km. east of Prague, Czech Republic, in which it holds a 100% interest. The proposed Project entails the re-processing of a significant manganese deposit hosted in historic mine tailings, strategically located in the heart of Europe. EMN's goal is to build a leading, competitive and environmentally-superior supplier of Ultra-High-Purity Manganese Products, serving both the lithium-ion battery industry, as well as producers of specialty steel and aluminum alloys.

Contact: Marco A. Romero President & CEO

(604)-681-1010 ext. 101 E-mail: Website:

Fausto Taddei Vice President,

Corporate Development & Corporate Secretary

(604)-681-1010 ext. 105

Company Address: 1500 – 1040 West Georgia Street, Vancouver, British Columbia, Canada, V6E 4H8

Forward-Looking Statements

Certain statements in this news release constitute “forward-looking statements” or “forward-looking information” within the meaning of applicable securities laws. Such statements and information involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company, its projects, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. Such statements can be identified by the use of words such as “may”, “would”, “could”, “will”, “intend”, “expect”, “believe”, “plan”, “anticipate”, “estimate”, “scheduled”, “forecast”, “predict” and other similar terminology, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information or statements include, without limitation, statements regarding the Company’s intentions regarding the Project in the Czech Republic, including without limitation, the continued evaluation and development of the Project, the completion of a Feasibility Study, the development and construction of the DP, the ability of the Company to obtain financing for the DP and for the Project, the ability of the Company to allocate the DP’s planned production, the quality of production from the DP, and the ability of the Company to successfully negotiate offtake agreements. Readers are cautioned not to place undue reliance on forward-looking information or statements. Forward-looking statements and information involve significant risks and uncertainties, should not be read as guarantees of future performance or results and will not necessarily be accurate indicators of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements or information, including, but not limited to, the factors discussed under “Risks Notice” and elsewhere in the Company’s MD&A, as well as the inability to obtain regulatory approvals in a timely manner; the potential for unknown or unexpected events to cause contractual conditions to not be satisfied; unexpected changes in laws, rules or regulations, or their enforcement by applicable authorities; the failure of parties to contracts with the Company to perform as agreed; social or labour unrest; changes in commodity prices; and the failure of exploration programs or studies to deliver anticipated results or results that would justify and support continued exploration, studies, development or operations.

Although the forward-looking statements contained in this news release are based upon what management of the Company believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this news release and are expressly qualified in their entirety by this cautionary statement. Subject to applicable securities laws, the Company does not assume any obligation to update or revise the forward-looking statements contained herein to reflect events or circumstances occurring after the date of this news release. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of the factors set forth in the “Risks Notice” section and elsewhere in the Company’s MD&A for the year ended September 30, 2018 and its Annual Information Form. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), or the ASX accepts responsibility for the adequacy or accuracy of this release.

Download news release here:

NR 2019-11
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