Bob Pennington reports
GENERAL MOLY GRANTED PERMIT TO CONSTRUCT TRANSMISSION LINE POWERING MT. HOPE PROJECT
Moly Inc.'s 80-per-cent-owned Mt. Hope subsidiary, Eureka Moly LLC,
has been granted a permit by the Public Utilities Commission of Nevada (PUCN) to construct a 230-kilovolt power line that interconnects with Nevada
Energy's transmission system at the existing Machacek substation located
near the town of Eureka, Nev., and extend it approximately 25 miles to the
planned Mt. Hope substation. In addition, the Bureau of Land Management
has notified the company that its surety bonds were approved for
rights-of-way grants for the 230-kilovolt power transmission line.
Bob Pennington, chief operating officer of General Moly, said: "This
permit allows us to build the transmission infrastructure in a timely
manner and provide the necessary capacity to power everything from the
electric shovels we will begin to use during prestripping operations to
the 60,000-ton-per-day mill, which will start up when Mt. Hope begins
production. Construction of the transmission line will also include
upgrades to an existing substation near Eureka that will improve the
reliability of electrical power to that community. We appreciate the
focus and diligence the PUCN and BLM showed in expediting these
At full production, the Mt. Hope mine will have a total electrical demand
load of approximately 75 megawatts. Transmission capacity was secured in
2008 with a cash deposit of approximately $13-million. The company is
currently negotiating for generating capacity, which will be available
once the power line is constructed and energized.
We seek Safe Harbor.