Moly Mines Limited

Moly Mines Limited

December 20, 2010 09:05 ET

Moly Mines Reports on First Shipment-Spinifex Ridge Iron Ore

TORONTO, ONTARIO--(Marketwire - Dec. 20, 2010) - Moly Mines Limited (TSX:MOL)(ASX:MOL) is pleased to announce that it has confirmed the booking of a vessel for the maiden iron ore shipment from the Spinifex Ridge Iron Ore Project.

The "MV Father Neptune" is due to arrive at Port Hedland on 27 December 2010. Loading will commence soon after, with the vessel to sail before the end of the calendar year. The maiden shipment will carry up to 55,000 tonnes of iron ore fines at a forecast grade of 59% Iron.

Shipment sizes will increase over the next 12 weeks as the mine production rate ramps-up and commissioning of the Company's stockpiling facilities at Utah Point is completed.

Managing Director and CEO Dr Derek Fisher said "cashflow from the iron ore mine at Spinifex Ridge will support the debt financing facilities currently being sought by the Company and our major shareholder, Hanlong Mining Investment Pty Ltd, to advance the construction of our major project - the world-class Spinifex Ridge Molybdenum mine."

Iron ore prices continue to perform strongly, with the price of 62% iron ore fines trading above US$165/t - CFR China.

To view the Spinifex Ridge Iron Ore Project, please visit the following link:

This news release includes "forward-looking statements" as that term within the meaning of securities laws of applicable jurisdictions. Forward-looking statements involve known and unknown risks, uncertainties and other factors that are in some cases beyond Moly Mines' control. These forward- looking statements include, but are not limited to, all statements other than statements of historical facts contained in this news release, including, without limitation, those regarding Moly Mines' future expectations. Readers can identify forward-looking statements by terminology such as "aim," "anticipate," "assume," "believe," "continue," "could," "estimate," "expect," "forecast," "intend," "may," "plan," "potential," "predict," "project," "risk," "should," "will" or "would" and other similar expressions. Risks, uncertainties and other factors may cause Moly Mines' actual results, performance, production or achievements to differ materially from those expressed or implied by the forward-looking statements (and from past results, performance or achievements). These factors include the failure to complete and commission the mine facilities, processing plant and related infrastructure in the time frame and within estimated costs currently planned; variations in global demand and price for molybdenum and copper; fluctuations in exchange rates between the U.S. dollar and the Australian dollar; failure to recover the resource and reserve estimates of the Project; the failure of Moly Mines' suppliers and service providers to fulfill their obligations under construction, supply and tolling agreements; unforeseen geological, physical or meteorological conditions, natural disasters or cyclones; changes in the regulatory environment, industrial disputes, labor shortages, political and other factors; the inability to obtain additional financing, if required, on commercially suitable terms; and global and regional economic conditions. Readers are cautioned not to place undue reliance on forward-looking statements. We assume no obligation to update such information.

Contact Information

  • Moly Mines Limited
    Natalie Frame
    Investor Relations
    +1 416 777 1801
    +1 416 371 7541
    Moly Mines Limited
    Derek Fisher
    Managing Director
    +61 8 94293300