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MEI Online: Commodities: Metallic Ores: Molybdenum: Latest News: July 27th 2006


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:: Adanac Opts for High Pressure Grinding Rolls (HPGR) Technology for the Ruby Creek Molybdenum Project

Mr. Larry Reaugh, President & CEO of Adanac Moly Corp. is pleased to announce the Company has received Wardrop Engineering Inc.’s report, “The Ruby Creek HPGR Feasibility Process and Infrastructure Design Cost Estimate and Economic Model” (“HPGR”). The report confirms the results from WARDROP’S earlier work and recommends high pressure grinding rolls replace the conventional Semi-autogenous grinding (“SAG”) mill option which is the basis of the Ruby Creek feasibility announced in the April 7, 2006 press release. WARDROP points to significant reductions in operating costs and increased process plant availability associated with the HPGR option. Overall on-line power demand for the nominal 20,000 tonne per day concentrator and infrastructure is expected to be reduced from 19.2 to 16.5 megawatts. With the HPGR option, process plant availability will be increased from 91% to 96% which equates to an additional 400,000 tonnes milled annually from which 2.6 million lbs Mo will be added to production in first five full years of operations.

The Ruby Creek molybdenite occurrence is, according to the table of significant porphyry molybdenum resources in B.C. contained in British Columbia Ministry of Energy and Mines Geo file Report No. 2005-23, the second largest unexploited known deposit in B.C. Total measured and indicated tonnes contain 130,016,250 kg Mo according to Golder Associates updated NI43-101 compliant resource published February 2006.

ADANAC is in the final stages of negotiations with consultants to create contracts for the development of detailed engineering, procurement and construction liaison services for the project.




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