Search
AMM.com Copying and distributing are prohibited without permission of the publisher
Email a friend
  • To include more than one recipient, please separate each email address with a semi-colon ';', to a maximum of 5

  • By submitting this article to a friend we reserve the right to contact them regarding AMM subscriptions. Please ensure you have their consent before giving us their details.


General Moly continues hunt for Mount Hope financing

Keywords: Tags  General Moly, Mount Hope, Bruce Hansen, Sichuan Hanlong, China Development Bank, Liu Han, molybdenum, Daniel Fitzgerald


NEW YORK — General Moly Inc. said it is looking to reinvigorate stalled loan negotiations as the company continues its search for another Chinese strategic partner to finance its Mount Hope molybdenum project in Nevada.

The Lakewood, Colo.-based company posted a first-quarter net loss of $3 million, down 6.3 percent from a $3.2-million loss in the same period last year. Excluding restricted cash, the company’s cash balance at March 31 was approximately $57 million vs. $68 million at the end of 2012.

The company recently announced that it was working with Chengdu, China-based Sichuan Hanlong (Group) Co. Ltd. to secure another Chinese financing partner for its Mount Hope project (amm.com, April 4) after negotiations with Hanlong and China Development Bank for a $665-million loan were suspended following the reported detention of Sichuan Hanlong chairman Liu Han (amm.com, March 21).

The company currently is looking to "reinvigorate advanced-stage loan negotiations with China Development Bank," General Moly chief executive officer Bruce Hansen said in a statement.

"Our efforts to secure such a strategic partner are enhanced, given that we are advancing a fully permitted, construction-ready, high-grade, low-cost molybdenum deposit," he said. "As we continue our efforts towards full financing at Mount Hope, the company will continue to prudently manage our unrestricted cash position of $57 million at the end of the first quarter with an additional $36 million in restricted cash."

General Moly said that about 1,800 acres have been cleared and grubbed at the Mount Hope site in preparation for starting major earthworks, while engineering is approximately 64-percent complete.

The $1.28-billion Mount Hope project is expected to produce 40 million pounds of molybdenum annually.


Have your say
  • All comments are subject to editorial review.
    All fields are compulsory.



Latest Pricing Trends

Poll

Are you stocking more inventory today than 18 months ago?

Yes
No


View previous results