VANCOUVER, Aug. 10 /PRNewswire-FirstCall/ - Adanac Moly Corp. (AUA-TSX.V)
reports it has received the Mining Report on its Ruby Creek Molybdenum Project
from Golder Associates (Toronto). This preliminary feasibility mine design has
been developed for a 20,000 tonne per day milling operation over a twenty year
mine life. The main points of the report are:

    -  The geological foundation of the mining model is based on the
       NI 43-101 resource study and report done by AMEC Americas Limited (see
       Adanac's news release April 11th, 2005).

    -  This mining model considers the molybdenum grade and a variable
       recovery based on head grade.

    -  Pit optimizations were completed with the set of economic factors
       developed from the previous conceptual studies, for a range of
       molybdenum (Mo) prices of $4 US per pound to $30 US per pound. It was
       envisaged that a range of $5 - $10 US per pound would be appropriate,
       but the analysis at a wider range of prices was performed to locate
       infrastructure.

    -  The pit optimizations were run with a 45 degree overall wall slope
       angle. The initial results showed that a pit shell encompassing
       138 million tonnes of measured and indicated resource grading
       0.065% Mo at a 0.04% Mo mining cutoff grade provided the best economic
       return.

    -  The average mining cost is estimated to be $1.57/tonne mined.

    -  The initial mining capital cost is estimated to be $26.5 million.

    -  A base price of $7 US per pound Mo was used for all tonnage
       calculations and cutoff grade determinations.

    The proposed starter pit has been designed so that the higher grade
portions of the resource near surface can be mined in the first four years.
There is approximately 26.7 million tonnes grading 0.084% Mo which can be
mined and fed to the mill for the first four years of operations at a
stripping ratio of 0.48:1. This will reflect favorably on the economics of the
operation in its early years.
    Further details of this and the other sections of technical and
socio-economic aspects of this project will be made available on completion of
the comprehensive preliminary feasibility which is nearing completion.
    The Company will be reporting on the other two components (see press
release dated May 6, 2005) of the pre-feasibility study when the in-house
engineering staff completes their review.

    On Behalf of Management

    ADANAC MOLY CORP.

    "Larry W. Reaugh"
    -----------------

    Larry W. Reaugh, President and Chief Executive Officer

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    The TSX-Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.

    Adanac Moly Corp.
    2A 15782 Marine Drive, White Rock, BC, CANADA, V4B 1E6
    Telephone: (604) 531-9639, Facsimile: (604) 531-9634
    Email: info@adanacmoly.com
    Visit http://www.AdanacMoly.com for more information

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