NEW YORK General Moly Inc. says construction of its
Mount Hope molybdenum project is progressing as
planned, and the company is finalizing the projects
financing terms with Chinese investors.
The Lakewood, Colo.-based company is collaborating
closely with Sichuan Hanlong (Group) Co. Ltd. and China
Development Bank on negotiating final terms and
concluding syndication efforts relating to our $665-million
term loan to help fund the project, General Moly chief
executive officer Bruce Hansen said in a statement.
The company is working with (China Development Bank) and
Hanlong on loan syndication as (China Development Bank ) has
indicated that it will lend up to $399 million out of the $665
million total and arrange a consortium of Chinese and
international banks to fund the balance of $266 million for the
construction of the Mount Hope project, the company said.
General Moly said it aims to have the loan completed, approved
and funds available by mid-2013.
The company said construction crews have cleared and grubbed
more than 625 acres at the central Nevada site and are planning
for the construction of the administrative office and mill site
areas, as well as clearing the water pipeline corridor in
preparation for developing the well field and a water
distribution system to support heavy construction activities.
The $1.28-billion Mount Hope project is expected to produce 40
million pounds of molybdenum annually.