General Moly Initiates Preliminary Construction Activities at Mt. Hope

  General Moly Initiates Preliminary Construction Activities at Mt. Hope

Business Wire

LAKEWOOD, Colo. -- January 9, 2013

General Moly, Inc. (the "Company") (NYSE MKT: GMO) (TSX: GMO), a U.S.-based
molybdenum mineral development, exploration and mining company, announced
through its 80% owned Mt. Hope subsidiary, Eureka Moly, LLC, the initiation of
preliminary construction activities including early well field development and
clearing and grubbing of terrain that coincide with the Company’s ongoing
cultural clearance efforts at its Mt. Hope Project in Eureka County, Nevada. A
crew from Ames Construction, Inc. has been mobilized, and is initially focused
on clearing the administrative office and mill site areas as well as clearing
the water pipeline corridor in preparation for developing the well field and
water distribution system to support heavy construction activities.

Bruce D. Hansen, Chief Executive Officer of General Moly, said, “We are
pleased to start preliminary construction activities at Mt. Hope as we prepare
for heavy construction in the spring. Our work plan emphasizes careful cost
management, a timeline of continuous construction and close collaboration with
all of our stakeholders to develop Mt. Hope in an environmentally and socially
responsible manner.”

Bob Pennington, Chief Operating Officer of General Moly, said, “At this early
stage, developing a robust infrastructure of communications, water management
and office space is essential, and we expect to make rapid progress in each of
these areas. In addition, we are moving forward on health and safety measures
including our recent contracting for an onsite emergency response provider. We
are also pursuing environmental priorities such as salvaging topsoil for use
in reclamation and maximizing utilization of natural resources by supplying
local communities with firewood from the trees we are harvesting during the
clearing process.”

Mr. Pennington added, “We believe the Mt. Hope Project will become an
important contributor to economic development and job opportunities in
Northern Nevada for decades to come and have been gratified by the support we
are receiving from the state and local community. Recently, a ceremony to
bless the ground and the project was performed by the tribal elders and
spiritual leaders of the Duckwater Shoshone Tribe.”

Ames Construction, Inc. has been contracted for civil construction at Mt. Hope
including clearing and grubbing, well field development, grading, structural
concrete, underground piping, tailings dam construction, pre-stripping and
waste rock disposal construction and will be onsite until the conclusion of
the process. A full-service, heavy civil and industrial general contractor,
Ames has extensive experience throughout the Western United States having
completed numerous mine facility construction projects for clients including
Rio Tinto plc, Barrick Gold Corporation and Newmont Mining Corporation. Recent
work in Nevada includes development of Newmont’s Phoenix Copper Leach Pad,
Barrick Cortez Tailings Raise and Cell 4 Tailings Facility Construction and
the raising of Barrick Goldstrike Mines’ North Block Tailings Dam.

General Moly is a U.S.-based molybdenum mineral development, exploration and
mining company listed on the NYSE MKT (formerly the NYSE AMEX) and the Toronto
Stock Exchange under the symbol GMO. Our primary asset, our interest in the
Mt. Hopeproject located in central Nevada, is considered one of the world's
largest and highest grade molybdenum deposits. Combined with our second
molybdenum property, the Liberty project that is also located in central
Nevada, our goal is to become the largest pure play primary molybdenum
producer in the world. For more information on the Company, please visit our
website at http://www.generalmoly.com.

Forward-Looking Statements

Statements herein that are not historical facts are “forward-looking
statements” within the meaning of Section 27A of the Securities Act, as
amended and Section 21E of the Securities Exchange Act of 1934, as amended and
are intended to be covered by the safe harbor created by such sections. Such
forward-looking statements involve a number of risks and uncertainties that
could cause actual results to differ materially from those projected,
anticipated, expected, or implied by the Company. These risks and
uncertainties include, but are not limited to, metals price and production
volatility, global economic conditions, currency fluctuations, increased
production costs and variances in ore grade or recovery rates from those
assumed in mining plans, exploration risks and results, political, operational
and project development risks, including the Company’s ability to obtain
required permits to commence production and its ability to raise required
financing, adverse governmental regulation and judicial outcomes. The closing
of the Hanlong transaction and obtaining bank financing are subject to a
number of conditions precedent that may not be fulfilled. The bank financing
and subordinated loans are subject to final negotiation and satisfaction of
conditions precedent. For a detailed discussion of risks and other factors
that may impact these forward looking statements, please refer to the Risk
Factors and other discussion contained in the Company’s quarterly and annual
periodic reports on Forms 10-Q and 10-K, on file with the SEC. The Company
undertakes no obligation to update forward-looking statements.

Contact:

General Moly
Investors:
Scott Kozak, 303-928-8591
skozak@generalmoly.com
or
Media:
Zach Spencer, 775-748-6059
zspencer@generalmoly.com
or
info@generalmoly.com
http://www.generalmoly.com
 
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