FEM

Ferrum Americas Mining Inc., (TSX VENTURE:FEM) ("Ferrum" or the "Company") is
pleased to announce the receipt of environmental permits for its Cerro Rojo iron
ore project located in eastern Bolivia, approximately 55 kilometres west of
Puerto Suarez and the Hidrovia River system near Corumba, Brazil. The Corumba
iron ore district hosts a number of world class iron ore deposits including
Vale's Corumba mine and the large El Mutun deposit in Bolivia.


2012 Program Objectives

The permit allows Ferrum to start its field programs at Cerro Rojo which will
include a 4,000 m diamond drill program which the Company anticipates will begin
by late June. The permit allows for a full spectrum of exploration activities
including bulk sampling. 


Additional program objectives for the balance of this year include:



--  Complete sufficient drilling in 2012 leading to a NI 43-101 compliant
    resource estimate by the first quarter of 2013. 
--  Complete additional metallurgical test work. 
--  Complete preliminary logistics analysis of the rail and river barge
    potential for low cost shipping of ore iron ore products to market. 
--  Initiate baseline environmental studies in preparation for an
    Environmental Impact Assessment and future feasibility analysis.



Community Relations

Considerable support was received from the communities near Cerro Rojo, in
particular Yacuses, which took a proactive approach in supporting Ferrum's
permit applications. This included letters of support and requests to meet with
government officials to support our project.


"Unlike many jurisdictions around the world, the Community of Yacuses and its
leaders have shown a remarkable level of support for our company and our
project. This pro-mining and pro-economic development attitude demonstrated by
the local communities near Puerto Suarez is something we respect and fully
intend to support so that all stakeholders in Cerro Rojo, including our local
communities, are rewarded," Nick Tintor President and CEO of Ferrum said.


Cerro Rojo Project

Cerro Rojo is a large Neoproterozoic banded iron formation which is part of the
regional iron ore trend extending into Bolivia from the world class
Corumba-Urucum iron ore fields located 75 kilometres to the east in Brazil.
Cerro Rojo strikes for more than 4 km and has been mapped for more than 1,000 m
along its dip slope. Surface sampling grades average in excess of 50% Fe
according to reports prepared by Rio Tinto in 1999 and verified by Ferrum.


Preliminary metallurgical test work completed by Ferrum generated excellent
results suggesting iron ore from Cerro Rojo will liberate well and can be
upgraded to produce a product of attractive iron grade. The test work shows that
an excellent quality iron concentrate can be produced at a relatively course
grind size and with a high mass yield. (See Press Release dated January 19, 2012
for complete details of the metallurgical test work)


Logistics

An internal logistics analysis is in progress which is determining costs and
options for transporting an iron ore product from Cerro Rojo to Atlantic
shipping. Cerro Rojo is located approximately 55 km from Puerto Suarez which is
located on the Hidrovia river system, the Mississippi of Latin America according
to The World Bank (1). Large barge convoys are already used to transport iron
ore down river to off load sites in Argentina.


Vale and MMX, both operating in the Corumba-Urucum iron ore fields in Brazil
across from Puerto Suarez, are currently shipping more than 8 million tonnes of
iron ore annually utilizing barge tug convoys on the Hidrovia.


Other Business

The Company has granted stock options to acquire an aggregate of 550,000 common
shares to directors, employees and consultants of the Company under Ferrum
Americas stock option plan. Each option granted to the directors, employees and
consultants is exercisable for a five year period to acquire one common share at
a price of $0.27 per share and vest on an annual schedule. 




 (1) "Strengthening Bolivia's Competitiveness-Export Diversification and    
     Inclusive Growth" A World Bank Country Study, 2009, The World Bank     



About Ferrum Americas Mining

Ferrum Americas has rights to acquire a 98% interest in the Cerro Rojo iron ore
project in Bolivia. Located 600 km east of Santa Cruz and approximately 55 km
from Puerto Suarez and the Hidrovia river system near Corumba, Brazil, Cerro
Rojo is a large banded iron formation striking for more than 4 km and sample
grading in excess of 50% Fe, according to reports prepared by Rio Tinto in 1999
and verified by Ferrum.


Ferrum Americas is planning an aggressive exploration and development program
for 2012 designed to advance Cerro Rojo and surrounding iron ore projects
towards feasibility and production.


Laurence Curtis, PhD, P.Geo., is a Qualified Person as defined by National
Instrument 43-101 and has read and approved the technical content of this press
release.


Forward Looking Statements

This news release may contain forward-looking statements that are based on
Ferrum Americas Mining Inc.'s expectations, estimates and projections regarding
its business and the economic environment in which it operates. These statements
are not guarantees of future performance and involve risks and uncertainties
that are difficult to control or predict. Therefore, actual outcomes and results
may differ materially from those expressed in these forward-looking statements
and readers should not place undue reliance on such statements. Statements speak
only as of the date on which they are made, and the Company undertakes no
obligation to update them publicly to reflect new information or the occurrence
of future events or circumstances, unless otherwise required to do so by law.

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