LAKEWOOD, COLORADO – May 23, 2019, General Moly, Inc. (the “Company” or “General Moly”) (NYSE AMERICAN and TSX: GMO), the only western-exchange listed, pure-play molybdenum (“moly”) development company, announced that the Kobeh Valley, Nevada ranching family’s (“Ranchers”) protests to the Mt. Hope Project’s water rights applications pending before the Nevada State Engineer have been formally withdrawn in exchange for the funding of the initial $1 million payment to a trust account. The release of funds to the Ranchers is pending issuance of the water permits from the Nevada State Engineer.
With the withdrawal of protests, the Ranchers have also forfeited any right to judicial review of any decision by the Nevada State Engineer concerning the water rights applications and permits, and the Ranchers agree not to oppose any other proceedings with any state or federal agency related to the Mt. Hope Project.
At such time that the Mt. Hope joint venture partners at Eureka Moly, LLC (“EMLLC”) secure project financing, additional consideration representing less than 1.5 % of the remaining project capital budget will be payable to the Ranchers. If EMLLC has not secured Mt. Hope Project financing within 12 months of the April 30, 2019 executed settlement agreement, EMLLC will make monthly payments of $10,000 to the Ranchers until financing is achieved and the remaining consideration will be paid to the Ranchers. EMLLC, which operates the Mt. Hope Project, is owned 80% by General Moly and 20% by POS-Minerals Corporation, a subsidiary of POSCO of South Korea
The Company is working cooperatively with the Nevada State Engineer for the anticipated approval of the water applications and issuance of water permits for the development and operation of the Mt. Hope Project.
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About General Moly
General Moly is a U.S.-based, molybdenum mineral exploration and development company listed on the NYSE American, recently known as the NYSE MKT and former American Stock Exchange, and the Toronto Stock Exchange under the symbol GMO. The Company’s primary asset, an 80% 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 the Company’s wholly-owned Liberty Project, a molybdenum and copper property also located in central Nevada, General Moly’s goal is to become the largest primary molybdenum producer in the world.
Molybdenum is a metallic element used primarily as an alloy agent in steel manufacturing. When added to steel, molybdenum enhances steel strength, resistance to corrosion and extreme temperature performance. In the chemical and petrochemical industries, molybdenum is used in catalysts, especially for cleaner burning fuels by removing sulfur from liquid fuels, and in corrosion inhibitors, high performance lubricants and polymers.
Contact:
Scott Roswell
(303) 928-8591
