General Moly (NYSE AMEX: GMO) (TSX: GMO) announced the Company, through
a subsidiary, received approval of its water applications. The Nevada
State Engineer released Ruling 5966, which granted the previously filed
applications for an annual consumptive duty, or volume of 11,300 acre
feet annually (afa). The vast majority of the water has as its source
the Kobeh Valley ground water basin. This ground water will be utilized,
and placed to a beneficial use on the Mt. Hope project.
As previously announced, the Company purchased sufficient quantities of
existing irrigation and mining water rights in Kobeh Valley, adjacent to
the Mt. Hope project. In the first half of 2008, the Company submitted
applications to the Nevada Division of Water Resources requesting
transfer of the water rights to Eureka Moly's proposed well field as
well as to change the designated use of these water rights from
agricultural to mining and milling. Following a State Engineer's hearing
on these applications in October of last year, the granting of these
applications was received on March 26, 2009.
During 2008, the Company explored for and tested specific water well
locations in the proposed well field. This effort identified several
highly productive wells and verified that the Company will be able to
obtain the 7,000 gallons per minute (gpm) necessary to meet the Mt. Hope
project's life of mine production needs. The well field is conveniently
located seven miles west of the planned open pit mining operation.
In addition, the Nevada State Engineer determined in his findings that
Kobeh Valley pumping will have no adverse impact to the predominately
agricultural users in Diamond Valley, the adjacent water basin 15 miles
east of our well field site. The grants are subject to a monitoring,
management, and mitigation plan by the Nevada State Engineer for the
place of use, which is limited to the Plan of Operations submitted to
and accepted by the BLM (Mt. Hope project area).
General Moly is a U.S.-based molybdenum mineral development, exploration
and mining company listed on the NYSE AMEX (formerly the American Stock
Exchange) and the Toronto Stock Exchange under the symbol GMO. Our
primary asset, our interest in the Mt. Hope project located in central
Nevada, is considered one of the world's largest and highest grade
molybdenum deposits. Combined with our second molybdenum property, the
Liberty project that is also located in central Nevada, our goal is to
become the largest primary molybdenum producer by the middle of the next
decade. For more information on the Company, please visit our website at http://www.generalmoly.com.
Forward-Looking Statements
Statements herein that are not historical facts are "forward-looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995, and involve a number of risks and uncertainties that
could cause actual results to differ materially from those projected,
anticipated, expected or implied. These risks and uncertainties include,
but are not limited to, the Company's ability to obtain required permits
to commence production and its ability to raise required financing,
metals price and production volatility, exploration risks and results,
and project development risks. For a detailed discussion of risks and
other factors that may impact these forward looking statements please
refer to the Risk Factors and other discussion contained in the
Company's quarterly and annual periodic reports on Forms 10-Q and 10-K,
as the same are amended from time to time, on file with the SEC. The
Company undertakes no obligation to update forward-looking statements.
General Moly
Seth Foreman, 303-928-8591 (Investors)
sforeman@generalmoly.com
or
Greg
McClain, 303-928-8601 (Business Development)
gmcclain@generalmoly.com
info@generalmoly.com
http://www.generalmoly.com
