Pan American Lithium Corp. is the Focus of Conservative Speculator Report

TUCSON, Ariz., Sept. 21, 2011 (GLOBE NEWSWIRE) -- Pan American Lithium Corp. (TSX-V:PL) PALTF PALTF (www.panamericanlithium.com) (the "Company" or "Pan American"), announced today that the company is the focus of a recent report in Larry Oakley's Conservative Speculator financial newsletter. Following an interview with Pan American President Andrew Brodkey, Oakley noted that Pan American has rights in eleven lithium and potash-bearing brine projects in Chile's Atacama Region III covering cumulatively more than 20,000 hectares. (To see the entire Oakley report, request a password by email from Oakley at up415@aol.com.)

In addition, Oakley noted that the company has an option to acquire an indirect interest in the Cierro Prieto geothermal lithium brine project in Baja California Norte, Mexico. The Laguna Verde surface brine lake project is the most advanced of the Company's portfolio of 11 lithium and potassium bearing brines projects in Chile.

Oakley also reported that Pan American announced it has closed a subscription agreement for a private placement with POSCO Canada Ltd. ("POSCAN"), a Canadian corporation 100% owned by POSCO PKX, one of the largest steel manufacturers in the world, with headquarters in the Republic of South Korea. The Company issued 10,522,090 common shares to POSCAN at the price of C$0.136 per common share, resulting in gross proceeds to the Company of C$1,431,004. Following the closing of the financing, POSCAN holds 19.87% of the issued & outstanding common shares of Pan American.

Oakley pointed out that Pan American also announced commencement of exploration activities at the Llanta, Chile Aquifer Project. In February 2011, Pan American entered into an agreement with Gareste Ltda. of Copiapo, Chile that allows the Company to acquire up to an 80% project interest by performing certain exploration programs and related studies, issuing 900,000 common shares, and making cash payments totaling $600,000. The Llanta Aquifer Project is located 140 km north of the regional capital of Copiapo, near the town of Diego del Almagro (Diego), an industrial town with a population of 20,000, with a workforce that is predominately engaged in providing services related to the mining industry.

Because of its specific heat capacity — the highest of all solids — lithium is often used in coolants for heat transfer applications. In the late 20th century, lithium became important as an anode material. Used in lithium-ion batteries because of its high electrochemical potential, a typical cell can generate approximately 3 volts, compared with 2.1 volts for lead/acid or 1.5 volts for zinc-carbon cells. Because of its low atomic mass, it also has a high charge- and power-to-weight ratio, Pan American said.

Overall demand for lithium is estimated to be growing approximately 5% per year with battery demand increasing over 25% annually. Pan American also has noted that total lithium carbonate demand is estimated to be approximately 85,000 metric tons/year (2007) predicted to increase to over 200,000 metric tons per year by 2015.

On Behalf of the Board,

PAN AMERICAN LITHIUM CORP.
/s/ Andrew Brodkey
Andrew A. Brodkey
President and CEO

This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of the Company. There are numerous risks and uncertainties that could cause actual results and the Company's plans and objectives to differ materially from those expressed in the forward-looking information, including: (i) inability of the Company to complete its business plan; (ii) a decrease in demand for and price of lithium or potassium; and (iii) general uncertainties with respect to mineral exploration in general. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, the Company does not intend to update these forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.