General Moly Receives Loan Extension

General Moly (NYSE:GMO, TSX:GMO) announced that they have reached an agreement with Hanlong Mining to extend their Bridge Loan maturity to November 16, 2013.

As quoted in the press release:

The new maturity date corresponds to the deadline for Hanlong’s obligation to procure the $665 million Chinese sourced Term Loan and is intended to provide General Moly with greater financial flexibility in the interim. Further, the parties agreed to the expiration of the second $10 million tranche of the original $20 million Bridge Loan Facility effective March 31, 2013.

General Moly’s CEO, Bruce Hansen, said:

In addition to extending the Bridge Loan, we are working with Hanlong to secure another Chinese strategic partner to help advance the full financing of the Mt. Hope Project. We feel this path provides the most promise in the near term given China’s strategic long-term view towards moly sourcing, our current exclusivity agreement with Hanlong, and taking into account the Company’s advanced stage of loan negotiations with China Development Bank.

To view the whole press release, click here.