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2016-07-20

AMG Advanced Metallurgical Group N.V.: AMG Advanced Metallurgical Group N.V. Approves Lithium Project

Key Highlights

* AMG's Supervisory Board approves project to construct a lithium concentrate
(spodumene) plant at the Mibra mine in Brazil, with an initial annual
production of 90,000 tons, expandable to 140,000 tons
* Production is expected to commence in the first quarter of 2018 and capital
investment is estimated at approximately $50 million
* AMG expects to be the low cost producer of lithium concentrate globally
* Pre-feasibility study for the construction of a lithium chemical plant,
with targeted annual production of between 14,000 tons and 20,000 tons
lithium carbonate equivalent (LCE), will be completed in the fourth quarter
2016

Amsterdam, 20 July 2016 (Regulated Information)

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AMG Advanced Metallurgical Group N.V. ("AMG", EURONEXT AMSTERDAM: "AMG") is
pleased to announce that the Supervisory Board of AMG has approved the
construction of a lithium concentrate (spodumene) plant at the Mibra mine in
Brazil.

"Following a number of years spent on preparatory activities, including the
operation of a pilot plant at AMG's Mibra mine in Brazil, we are delighted to
announce our entrance into the lithium market," said Dr. Heinz Schimmelbusch,
CEO and Chairman of the Management Board. "The recovery of lithium-bearing
minerals from existing tailings will enable AMG to be a cost leader in the
lithium market, creating significant value for our shareholders."

AMG's new business segment, AMG Lithium, will commence operations in the first
quarter of 2018, with an initial annual production capacity of 90,000 tons of
lithium concentrate, expandable to 140,000 tons. Total capital investment is
estimated at approximately $50 million and will be incurred primarily in 2016
and 2017.

The recovery of lithium-bearing minerals from existing tailings, a by-product
of AMG's tantalum operations in Brazil, is expected to result in a
cost-leading production process.

This announcement follows the press release distributed on March 10, 2016, in
which AMG announced that Outotec completed an affirmative prefeasibility
study for the recovery of lithium-bearing mineral Spodumene.

In addition, AMG has completed an affirmative scoping study for the downstream
conversion of lithium concentrate into lithium hydroxide and/or lithium
carbonate. As part of this analysis, AMG performed a global site location
study to determine the best location for a new lithium chemical plant.

Following the successful completion of the scoping and location studies, AMG
has commissioned Hatch to complete a pre-feasibility study for the
construction of a lithium chemical plant, with targeted annual production of
between 14,000 tons and 20,000 tons lithium carbonate equivalent (LCE).

The previously published Technical Report on Mineral Resources states that
AMG's Mibra mine has 14.7 million tons of measured and indicated resources,
including tantalum, niobium, tin and lithium. AMG estimates that the current
life of the mineral resource is approximately 18 years, based upon current
production levels.

Chemical grade lithium is primarily used in lithium-ion batteries and in the
fine-chemical industry.

Further details of AMG's lithium project can be found on AMG's website
underwww.amg-nv.com/Investors/Presentations.

About AMG

AMG is a global critical materials company at the forefront of CO2reduction
trends. AMG produces highly engineered specialty metals and mineral products
and provides related vacuum furnace systems and services to the
transportation, infrastructure, energy, and specialty metals&chemicals end
markets.

AMG produces aluminum master alloys and powders, titanium alloys and coatings,
ferrovanadium, natural graphite, chromium metal, antimony, tantalum, niobium
and silicon metal. AMG Engineering designs and produces vacuum furnace
equipment and systems used to produce and upgrade specialty metals and alloys
for the transportation, automotive, infrastructure, and energy markets.

With approximately 3,000 employees, AMG operates globally with production
facilities in Germany, the United Kingdom, France, Czech Republic, United
States, China, Mexico, Brazil and Sri Lanka, and has sales and customer
service offices in Russia and Japan (www.amg-nv.com).

For further information, please contact:

AMG Advanced Metallurgical Group N.V. +1 610 293 5804

Steve Daniels

Senior Vice President

sdaniels@amg-nv.com

Disclaimer
Certain statements in this press release are not historical facts and are
"forward looking". Forward looking statements include statements concerning
AMG's plans, expectations, projections, objectives, targets, goals,
strategies, future events, future revenues or performance, capital
expenditures, financing needs, plans and intentions relating to acquisitions,
AMG's competitive strengths and weaknesses, plans or goals relating to
forecasted production, reserves, financial position and future operations and
development, AMG's business strategy and the trends AMG anticipates in the
industries and the political and legal environment in which it operates and
other information that is not historical information. When used in this
press release, the words "expects," "believes," "anticipates," "plans,"
"may," "will," "should," and similar expressions, and the negatives thereof,
are intended to identify forward looking statements. By their very nature,
forward looking statements involve inherent risks and uncertainties, both
general and specific, and risks exist that the predictions, forecasts,
projections and other forward looking statements will not be achieved. These
forward looking statements speak only as of the date of this press release.
AMG expressly disclaims any obligation or undertaking to release publicly any
updates or revisions to any forward looking statement contained herein to
reflect any change in AMG's expectations with regard thereto or any change in
events, conditions, or circumstances on which any forward looking statement
is based.

July 20 2016 A
http://hugin.info/138060/R/2029404/754583.pdf

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This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: AMG Advanced Metallurgical Group N.V. via Globenewswire

HUG#2029404

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