Adanac Molybdenum Corporation
FRANKFURT : A9N
PINK SHEETS : AUAYF
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Adanac Molybdenum Corporation

October 21, 2008 18:17 ET

Adanac Molybdenum Corporation: Ruby Creek Project-Exploration Update

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 21, 2008) -

Adanac Molybdenum Corporation ("Adanac or the Company") (TSX:AUA)(PINK SHEETS:AUAYF)(FRANKFURT:A9N) announces the results for 10 holes from its Ruby Creek 2007/2008 diamond drilling program.

2007/2008 Diamond Drill Program

The program includes 60 holes starting at AD-372:



AD-372 to AD-374 results previously reported on September 13, 2007
AD-375 to AD-383 results previously reported on July 10, 2008
AD-384 to AD-393 condemnation holes
AD-394 to AD-402 results previously reported on September 30, 2008
AD-403 to AD-409 results reported in this news release
AD-410 awaiting assay results
AD-411 to AD-416 results previously reported on September 30, 2008
AD-417 to AD-419 awaiting assay results
AD-420 to AD-422 results reported in this news release
AD-423 to AD-431 awaiting assay results


The table attached to this news release provides location coordinates for all 60 holes (AD-372 through AD-431). The locations have recently been surveyed by Underhill Geomatics of Whitehorse. The Company is awaiting assay results for a further 13 holes. They will be released when they become available.

The Ruby Creek deposit is a stockwork deposit and true widths are unknown at this time.

10 Hole Update in this Release

The attached drill map shows the 10 holes for which assays are reported in this news release. They include holes AD-403 through AD-409 (7 holes) and AD-420 through AD-422 (3 holes).

Seven holes, AD-403 to AD-409 were collared within the company's proposed open pit. The three vertical holes (AD-403, AD-405 and AD-407) are well mineralized and show that there is a continuous body of mineralization over a distance of approximately 1000 meters defined by previous drilling. The mineralized zone straddles the northeast-trending Adera fault in the vicinity of the feasibility designed open pit. It underlies the north wall of the feasibility designed open pit, extends for a considerable distance beyond and is open to the southwest.

Drill holes AD-404, AD-406 and AD-408 were from the same pads as the vertical holes. They were angled to the northwest, away from the mineralization and are only weakly mineralized. Drill hole AD-409 was drilled to the southeast from the pad at AD-407 and crossed the Adera fault without intercepting significant mineralization.

Drill holes AD-420, AD-421 and AD-422 were collared close to the Adera fault and drilled to the southeast through previously documented mineralization in the proposed open pit area to test for mineralization below the floor of the currently defined pit. The holes show substantial intervals of good-grade mineralization well below the bottom of the proposed open pit.

Significant intercepts include:

Hole AD-405 contains 146.3 meters of 0.098% Mo.

Hole AD-407 contains 219.5 meters of 0.090% Mo.

Hole AD-420 contains 274.0 meters of 0.063% Mo.

Hole AD-421 contains 281.6 meters of 0.086% Mo.

Hole AD-422 contains 277.4 meters of 0.094% Mo.

The company is confident that the 2007-2008 drilling program results will add substantially to the Ruby Creek mineral resources.

Future News Releases

Adanac expects to release additional information on the 2007/2008 program as and when assay results come available. Adanac has engaged Golder Associates Ltd. to incorporate the information into its existing database and to update the mineral resource estimate for the Ruby Creek site. This work is currently underway and is expected to be complete one month following receipt of the final assays for the 60 hole program. The report is currently expected prior to the end of 2008.

Golder Associates Ltd. previously determined the Ruby Creek deposit contains a NI 43-101 compliant "measured and indicated" resource of 212.9 million tonnes grading 0.063% Mo at a 0.04% Mo cut-off. However, this mineral resource does not include the drill results from the 2007/2008 program.

CEO Comment

Peter R. Jones, Adanac Chairman and CEO, said, "I am very pleased with the excellent grade in key holes from the 10-hole suite of results; they should strongly impact the mineral resources re-calculation process currently underway with Golder Associates." He also said, "We plan to complete project funding this year, start site construction in early 2009 with a production start in Q4 2010."

Qualified Person

This news release was reviewed by Robert Pinsent, PhD., P. Geo., a qualified person recognized under National Instrument 43-101.

Attachments:

1. Ruby Creek 10 hole update table October 21, 2008

2. Ruby Creek 10 hole update map

3. Ruby Creek 60 hole program status to October 21, 2008

To view accompanying tables and map, please click on the following link: http://media3.marketwire.com/docs/AUAattachments.pdf

If a reader is unable to activate the link to attachments then please visit the Adanac website at www.adanacmoly.com where the attachments are included as part of the news release.

About Adanac Molybdenum Corporation

Adanac Molybdenum Corporation is listed on the TSX and Frankfurt exchanges and owns the Ruby Creek Molybdenum Project in northern British Columbia. The Company has advanced the project through feasibility studies, a production decision and has previously ordered long-lead equipment, completed permitting for construction, constructed a road to the site and secured US$80 million in bridge financing. The Company is sourcing construction funding and expects a site construction start in February 2009 and production in Q4, 2010.

Cautionary Notice: This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation and United States securities laws. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not anticipate", or "believes" or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made, and is based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward looking information. Many of these assumptions are based on factors and events that are not within the control of the Company and there is no assurance they will prove to be correct. Factors that could cause actual results to vary materially from results anticipated by such forward looking information include risk factors discussed in the Annual Information Form for the year ended April 30, 2008 for the Company available at www.sedar.com. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking information.

These securities have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities law, and may not be offered or sold in the United States unless an exemption from registration is available.

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