Article from K. Reser - Good InfoFrom Ken's Yahoo site...excellent read - certainly a confidence builder. Ken tells us about the status of the permit process as well.
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Adanac Molybdenum Corp.
The Train Is About To Leave The Station
Ken Reser: July, 27/07
This is intended to be fairly brief heads-up piece on Adanac for those of you in my editorial subscription base until the 1st week of Sept. I have possibly been remiss, judging by the amount of email feedback of late in updating you on Adanac and exactly where we are, at this point in time. There was a reason for my not having spoken of Adanac at length for the last while and that is because I felt I had reached a saturation point of commentary on AUA-V over the last 3 years and wanted to be able to bring something new to the table. I believe that time begins right now.
Firstly, AUA is now into the 45 day ministerial review process, which means the Environmental Assessment Office (EAO) has completed its 180 day review for the environmental permit for their Ruby Creek Molybdenum mine in Atlin BC . Next they have acquired 40 titled acres of land outside of Atlin and nearer the mining claims to use as a staging area for equipment and construction materials for the new mine. Also they have acquired a titled building lot in the town-site of Atlin itself, for the mine headquarters and offices. Both of which are already under construction (offices) and being cleared by bulldozers (staging area) and will be completed before summers end. Drill crews (one as I write and a second on the way) are and will be drilling over 7000 Meters of core to define extensions, outside and beyond the open pit BFS (Bankable Feasibility Study) area submitted last year, and it now appears further new deposits well beyond the prescribed open pit area. There was a past single drill hole in one of these new areas that had encountered Moly to a great depth by Climax Molybdenum in the late 1960's. These new areas, one being on the north side contact of the Adera fault to the north of the open pit area and another to the west are totally new areas of exploration only one of which as having ever been drilled by Adanac. Three successful holes were drilled to the west last year, all of which were very high in Moly content and outside the BFS proposed open pit. Holes A-06-69, A-06-70, A-06-71 were well mineralized and can be reviewed on the accompanying map and assay report linked here.
https://www.adanacmo ly.com/adanac_ news_detail. php?newsid= 125
Beyond that which I have just related, I will say I firmly and truly believe the Ruby Creek deposit is about to get much larger and probably even have higher grades. If this proves to be so, both of these new areas would be mined by underground block caving and would supplement the mill, which I believe is capable of higher output even tho the BFS recommendation only calls for a 20,000 T/p/d operation based on feed from the pit.
When I watch the share values that have soared on a couple of other would be competitors for the next large scale Molybdenum mine trading at $6.00 $7.00 and even $8.00 range and they do not yet even have a BFS to prove a mine is feasible, let alone all the engineering and mine design studies necessary or permits under application which takes 2-3 years, I have to wonder what it is the market is missing when Adanac trades in the low to mid $2.00 range and has all of the above. It makes me want to get a megaphone and shout from the roof-tops, "is anybody awake out there?" There is and there will be a lot more to tell on the Ruby Creek front shortly and over the next months ahead, but I know this much for sure "Adanac is going to be financed, permitted and be building the next large scale Primary moly mine" long before the competitors even know what happened. I wrote once a long while back "Some people make things happen, others act when they see things happen, and many will say, what just happened." Adanac is about to be the prime example of that adage in my opinion. I will be in the Adanac offices over the next week or so and I will be on the Ruby Creek mine-site at the end of August for a number of days, so you can expect a much more comprehensive report in the first week of Sept.
I will leave you with a series of the more pertinent news releases from Adanac, most of which seem to have gone right over many of the investing public's heads, and that is something that baffles me to no end. If these news releases don't speak volumes that even a blind person could see regarding the intent and capability as well as the advanced stage Adanac's Ruby Creek project is at, then I may as well stop trying to find and reveal sound mining projects altogether and take up knitting. I think if you read these NR's in any depth you will see my point. Some investors are, and have been, getting it for some time! As always, thanks for reading.
Best Regards; Ken Reser
403-844-2914
Email: ykgold@telus. net
https://www.adanacmo ly.com
NEWS RELEASES:
Ledcor Awarded Pre-Construction Services of the Ruby Creek Molybdenum Project
Thursday, April 12th 2007 - Vancouver , British Columbia (MOLY @ 30.25US/lb)
Adanac Molybdenum Corporation (AUA: TSX.V, Pink Sheets: AUAYF, Frank: A9N) is pleased to announce that it has entered into an agreement with Ledcor of Vancouver, British Columbia to provide pre-construction services. Adanac and Ledcor have also agreed to explore the development of a partnering arrangement for construction of the Ruby Creek Project.
Adanac believes that this agreement represents a key factor for the successful completion of the project. The inclusion of Ledcor into the project team at this time is a proactive approach by Adanac to address the significant challenges presently being faced by industry. Detailed construction planning will begin immediately in order to identify long lead procurement items and efficiently recruit qualified construction personnel.
Ledcor is one of the largest construction companies in Canada and recognized internationally as a leader in the implementation of multi-discipline heavy industrial projects. With over sixty years experience in northern Canadian construction Ledcor is exceptionally qualified to lead the construction of the Ruby Creek Project. Ledcor will utilize its considerable expertise and resources in the planning and execution of "construction driven" projects to allow more effective control of the project schedule and budget.
Adanac and Ledcor share a commitment to the successful development of the Ruby Creek Molybdenum Project based on the key elements of safe work practices, high employee health and environmental standards and developing long-term community based relationships. Ledcor has an excellent reputation of working with local and first nations contractors and tradespersons during construction that is consistent with Adanac's long term commitment to the local community.
The Ruby Creek Molybdenum Project is a major new mining venture in British Columbia . This important molybdenite resource is projected to operate at 20,000 tonnes per day for more than 20 years and will create over 200 full time jobs. Molybdenum production in the first five years is expected to be 60 million pounds. Long term effects on the environment are projected to be minimal.
On Behalf of Management
ADANAC MOLYBDENUM CORPORATION
Michael MacLeod,
President & Chief Executive Officer
Ball Mill for Adanac's Ruby Creek Molybdenum Project Awarded to Outokumpu Technology
Thursday, April 19th 2007 - Vancouver , British Columbia (MOLY @ 28.75US/lb)
Adanac Molybdenum Corporation (AUA: TSX.V, Pink Sheets: AUAYF, Frank: A9N) is pleased to announce that the company, in conjunction with its engineering contractor Amec America Limited ("AMEC"), has completed a detailed technical and commercial evaluation of bids received for the supply of the ball mill for the Ruby Creek Molybdenum Project near Atlin, B.C. A letter of award has been issued to Outokumpu Technology Minerals Processing North America) for the fabrication of this key item complete with motors, controls and essential spare parts. Work will commence immediately. The commercial terms have been ratified by Outokumpu Technology and Adanac. Delivery is scheduled for the latter part of 2008.
The mill, 22 ft diameter and 27 ft in length with steel liners will be built with grate discharge utilizing Outokumpu Technology's patented Turbo Pulp Lifter (TPL) technology. It will be capable of processing 1100 tonnes/hour of milled ore to the flotation section. Powered by two synchronous motors continuously drawing approximately 8 MW this unit operation is the core of the milling process.
Adanac is proud to have Outokumpu Technology's mill as key component for the Ruby Creek Project.
On Behalf of Management
ADANAC MOLYBDENUM CORPORATION
Michael MacLeod,
President & Chief Executive Officer
Adanac Awards FFE Minerals The Order For Primary Gyratory Crusher At Ruby Creek
Friday, April 27th 2007 - Vancouver , British Columbia (MOLY @ 30.25US/lb)
Adanac Molybdenum Corporation (AUA: TSX.V, Pink Sheets: AUAYF, Frank: A9N) is pleased to announce that the company has selected FFE Minerals Canada Ltd. to build the primary gyratory crusher for its Ruby Creek Molybdenum Project near Atlin, B.C.
The 63x79 Fuller Traylor NT Gyratory Crusher will be capable of crushing run of mine ore from the open pit at rates up to 2000 tonnes per hour. The decision to award FFE Minerals this contract was arrived at after evaluation of the technical/commercia l details submitted by vendors to AMEC Americas Limited, ADANAC's engineering contractor for the detailed engineering phase of the Ruby Creek project.
ADANAC continues to maintain its schedule to advance its Ruby Creek Project for projected completion to production slated for 2009.
Adanac is proud to have Outokumpu Technology's mill as key component for the Ruby Creek Project.
On Behalf of Management
ADANAC MOLYBDENUM CORPORATION
Michael MacLeod,
President & Chief Executive Officer
Adanac Completes Awards of Long Lead Time Items - $39.2 Million CDN in Purchase Orders
Wednesday, May 16th 2007 - Vancouver , British Columbia (MOLY @ 30.25US/lb)
Adanac Molybdenum Corporation (TSX Venture: AUA) (Pink Sheets: AUAYF) (Frank: A9N) is pleased to announce that it has authorized its engineering contractor, Amec Americas Limited ("AMEC"), to award supply of Secondary Cone crushers to Sandvik Mining & Construction Canada Inc., and supply of High Pressure Grinding Rolls (HPGR) to Humboldt Wedag Inc. of Norcross, G.A. U.S.A.
These items of process equipment are the remaining major pieces required to complete the comminution circuit: manufacturing time is well in excess of one year for HPGR units and up to nine months for the Cone crushers. ADANAC has committed to the purchase of the four main components (Gyratory crusher, Cone crushers, HPGR units and Ball Mill) needed to establish design and layout for crushing & grinding in the mill process. The total expenditures for the long lead items including the camp are $39,150,000. 00 CDN of which 10% in down payments have been committed.
Detailed design of concentrator and infrastructure at Ruby Creek is proceeding on schedule under AMEC's control. The project is slated for start up and commissioning at the end of 2008.
On Behalf of Management
ADANAC MOLYBDENUM CORPORATION
Michael MacLeod,
President & Chief Executive Officer
Adanac Awards Man Diesel Canada Ltd. Contract to Supply Ruby Creek's Diesel Generator Sets
Friday, July 6th 2007 - Vancouver , British Columbia (MOLY @ 35.00US/lb)
Adanac Molybdenum Corporation (TSX: AUA) (Pink Sheets: AUAYF) (Frank: A9N) is pleased to announce it has authorized its engineering contractor, AMEC America's Limited ("AMEC") to award Man Diesel Canada Ltd. ("Man Diesel") the contract to supply diesel generator sets for the Ruby Creek Molybdenum project.
Man Diesel will supply four (4) 18V32/40 4-stroke medium speed diesel generators each capable of supplying 7.76 MW. This acquisition raises Adanac's total expenditures committed to major items of equipment to $60 million (Cdn). 2 units are scheduled for delivery in May 2008 with the balance to be delivered in August 2008. It is planned to run 3 units concurrently, with 1 unit remaining on standby.
Detailed engineering is continuing on schedule and the Environmental Certificate recommendation will be submitted to the Ministries by July 25th, 2007.
On Behalf of Management
ADANAC MOLYBDENUM CORPORATION
Michael MacLeod,
President & Chief Executive Officer
Construction Catering Contract Awarded for the Ruby Creek Project
Wednesday, July 11th 2007 - Vancouver , British Columbia (MOLY @ 35.00US/lb)
Adanac Molybdenum Corporation (TSX: AUA) (Pink Sheets: AUAYF) (Frank: A9N) is pleased to announce it has awarded the Construction Catering and Housekeeping Services contract for the Ruby Creek Project located near Atlin, BC.
This contract has been awarded to a joint venture company formed by PTI Group Inc. ("PTI") and the Atlin Tlingit Development Corporation ("ATDC"). The ATDC is a wholly owned company of the Taku River Tlingit First Nations ("TRTFN").
Adanac is extremely pleased with the award of this contract to the PTI/ATDC joint venture company as it offers significant benefit and opportunity to the local community for training and career development that will be transferable to the operations, creating long term sustainable employment and job skills.
PTI has over 30 years experience in the camp and catering industry and has a strong commitment to safety and the provision of high quality catering services, both of which will be key to the stability of the workforce at the Ruby Creek Project.
ADANAC is engaged in the exploration & development of mines to produce molybdenum. The Company's flagship property is the Ruby Creek Molybdenum Project located near Atlin , BC . Open-pit reserves of 143.7 million tonnes containing an average 0.059% Mo at a cut-off grade of 0.04% Mo are sufficient to sustain a milling rate of 20,000 tonnes for more than 20 years. The Project's environmental assessment recommendation will be forwarded to the BC provincial cabinet by July 25th, 2007. The procurement of long lead time items of equipment has been completed and on site construction is slated to begin upon receipt of applicable permits expected early in the fall of 2007.
On Behalf of Management
ADANAC MOLYBDENUM CORPORATION
Michael MacLeod,
President & Chief Executive Officer
Infrastructure Development Begins in Atlin for Construction Phase of Adanac's Ruby Creek Molybdenum Project
Thursday, July 12th 2007 - Vancouver , British Columbia (MOLY @ 35.00US/lb)
Adanac Molybdenum Corporation (TSX: AUA) (Pink Sheets: AUAYF) (Frank: A9N) is pleased to announce it has begun construction of support infrastructure, in the Atlin area, needed for the development of its Ruby Creek Molybdenum Project.
The Company has purchased land in the town of Atlin and at nearby Surprise Lake some 20kms away along the Ruby Creek access road. Construction is underway on a new ADANAC field office building in Atlin and development has started on a 40 acre staging area at the Surprise Lake site. The staging area will initially be used for staging of construction equipment and materials as well as a construction camp to house the workforce for pre-development and initial construction activities on the access road slated to start this summer.
ADANAC has retained community based contractors and suppliers for the on-going development of the Company's foremost project-its 20,000 tonne per day molybdenum mine/mill complex at Ruby Creek. Reserves, at 143.7 million tonnes are sufficient to ensure more than twenty years mine life. The 2007 field exploration to look for additional reserves is underway with approximately 7,000 meters of diamond drilling planned to test an area north of the Adera fault, a possible extension to the southwest of the open pit area and an area south of the open pit in the Boulder Creek drainage. These areas are, at present, open to the resources contained in the open pit.
On Behalf of Management
ADANAC MOLYBDENUM CORPORATION
Michael MacLeod,
President & Chief Executive Officer
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Disclaimer: I am an independent Investor Relations & Research Consultant, currently employed by Goldrea Resources Corp, Adanac Molybdenum Corp. Molycor Gold Corp and Rocher Deboule Minerals Corp. I may own shares in these or other companies from time to time a/o hold options of said companies. This editorial is not a recommendation to own or buy shares of said companies as I am not an accredited investment adviser. KR.