Arduino Mini Programming Problem

Hello. I'm new to the arduino but I love it. I bought and programmed an arduino uno. Everything was exactly what I wanted. I then recently purchased an arduino mini 328. I cannot program it correctly with arduino 1.0. I am trying to connect it to a LCD and Keypad. The keypad works correctly but the LCD does not. I originally tried programming it with TX to TX and then switched RX to TX and it worked the exact same. I am using the Arduino MiniUSB adapter to connect it via usb on the breadboard.

I can program it if I use the arduino uno as the board. If I use the arduino mini 328 board in the program I get:

avrdude: stk500_getsync(): not in sync: resp=0x00


avrdude: Yikes! Invalid device signature. Double check connections and try again, or use -F to override this check.

Do I need to reburn the bootloader? (I'm assuming that this will clear out what is in the memory and start new) Is the chip corrupted?

I'm at a loss because I am very new to microcontrollers and I had such a great experience with the Uno that I want to learn and do more.

Thank you in advance.