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Adanac Announces $80 Million Bridge Financing Offer
April16, 2008 - Vancouver,
British Columbia
Adanac Molybdenum Corporation (TSX: AUA) (Pink Sheets: AUAYF) (Frank: A9N) today
announced the Company has signed a term sheet with a leading global institutional investor to provide $80 million
bridge financing to fund continued development of the company�s proposed Ruby
Creek molybdenum project. The financing would be in the form of senior secured
notes, and is subject to regulatory approval, due diligence by the investor and
mutual agreement of definitive terms; with final acceptance by both parties
expected by mid-May, 2008.
�This financing would advance our Ruby Creek
project to the next level� said Dr. David Stone, CEO. �The funding would enable
Adanac to continue its engineering and construction planning activities and
take possession of processing equipment we have ordered for the molybdenum
mine. It represents a strong vote of confidence from the financial market for
building the project, and would provide the funds to see the company through
the time period to secure the balance of the money necessary to build and
start-up the mine, processing facilities and related infrastructure.�
The offer was arranged through Adanac�s United
States based investment banker and forms
part of the overall project
financing initiative; underway since it was previously announced on October 17,
2007; which is contemplated as a debt and equity offering of approximately $750
million. Completion of the balance of the project financing is targeted for the
summer of 2008.
Adanac Molybdenum Corporation is
engaged in the exploration and development of mines to produce molybdenum and
other ferro-alloy metals. Its flagship property is the Ruby Creek molybdenum
project located near Atlin,
BC. The property contains an open
pit reserve of 157.7 million tonnes grading 0.058% Mo using a 0.040% cut-off
grade. This news release has been reviewed by Michael Petrina, P.Eng. a
qualified person pursuant to National Instrument 43-101.
On Behalf of Management
ADANAC MOLYBDENUM CORPORATION
Michael MacLeod
President and Chief Operating Officer
Information Contact
Michael MacLeod
President & COO
Head Office: Suite
200 � 2055 152 Street, Surrey,
B.C. V4A 4N7
� Telephone: 604-535-6834 Facsimile: 604-536-8411
Corporate Office: 2A 15782 Marine Drive,
White Rock, B.C. V4B 1E6
� Telephone: 604-531-9639 Facsimile: 604-531-9634
Email: info@adanacmoly.com
This
release is not an offer of securities for sale in the United States.
The
Toronto Stock Exchange has not reviewed and does not accept responsibility for
the adequacy or accuracy of this release.
www.adanacmoly.com