Moly Mines Limited: Gas Supply Agreement for Spinifex Ridge
Wed Oct 8, 9:00 AM
ca.news.finance.yahoo.com
TORONTO, ONTARIO--(Marketwire - Oct. 8, 2008) - THESE PRESS MATERIALS ARE Moly Mines Limited (TSX: MOL.TO)(ASX: MOL.AX) is pleased to announce the completion of a gas supply agreement with Santos (BOL) Pty Ltd (Santos) for the provision of gas for power generation for the Spinifex Ridge Molybdenum Project (Project).
Santos (BOL) Pty Ltd is a wholly owned subsidiary of Santos Ltd.
Under the agreement Santos will supply approximately 15 terajoules per day of gas to the Project for 6 years commencing mid 2010.
The gas supply agreement is yet another cornerstone contract for the Project. The pricing structure of the gas supply has been reflected in the estimated mine operating cost of US$7.20/lb of molybdenum produced as disclosed in the Company's NI43-101 document lodged on 21 August 2008.
The agreement is conditional on the achievement of full financing for the Project.
These press materials do not constitute an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that will contain detailed information about the company and management, as well as financial statements.
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.
Contacts
Derek Fisher
Moly Mines Limited
Managing Director
+61 8 94293300
Natalie Frame
Moly Mines Limited
Investor Relations Coordinator
(416) 777-1801
(416) 777-1802 (FAX)
Email: info@molymines.com
Website: www.molymines.com |
