Adanac Molybdenum Corporation
TSX VENTURE : AUA
PINK SHEETS : ANCGF
FRANKFURT : A9N

Adanac Molybdenum Corporation

November 06, 2006 15:40 ET

Adanac Moly Corp.: Up to $24,000,000 in Proposed Financings

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 6, 2006) - Adanac Molybdenum Corporation (TSX VENTURE:AUA)(PINK SHEETS:ANCGF)(FWB:A9N) (the "Company"), announces that it has appointed Olympus Securities, LLC ("Olympus"), of New York, to act as agent for the Company in connection with arranging a proposed investment of up to $12,000,000 in the common shares of the Company by qualified institutional buyers and accredited investors. The investment will comprise up to 11,765,000 units (the "Units") at $1.02 per Unit. Each Unit will consist of one common share in the capital of the Company (a "Common Share") and one common share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder to purchase one additional Common Share of the Company for a four year term at an exercise price of $1.50 per share in the first year, $1.75 in the second year, $2.00 in the third year and $2.25 in the fourth year.

The Company shall file a short form prospectus in conjunction with the proposed investment.

The Company also announces it has negotiated an agreement with D&D Securities Company ("D&D") to conduct a private placement offering on a best efforts basis for up to 11,765,000 Units at $1.02 per Unit for gross proceeds of $12,000,000. Each Unit will consist of one Common Share in the capital of the Company and one Warrant. Each whole Warrant will entitle the holder to purchase one additional Common Share of the Company for a four year term at an exercise price of $1.50 per share in the first year, $1.75 in the second year, $2.00 in the third year and $2.25 in the fourth year.

All references to dollar amounts refer to Canadian Dollars.

In each of the above financings, the Company has agreed to pay fees and commissions in accordance with the policies of the TSX Venture Exchange (the "Exchange"). The proposed financings are subject to the approval of the Exchange.

On Behalf of Management

ADANAC MOLYBDENUM CORPORATION

Larry W. Reaugh, Chairman of the Board

This news release may contain certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time with the Toronto Venture Exchange, the British Columbia Securities Commission and the US Securities and Exchange Commission.


The TSX-Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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