General Moly Records 2013 Net Loss of $16.3 Million

General Moly Inc. (TSX:GMO,NYSEMKT:GMO) announced its audited financial results for the fourth quarter of 2013, as well as 2013 as a whole, commenting that for the full year it incurred a net loss of $16.3 million, or $0.18 per share. That’s up from a net loss of $9.9 million, or $0.11 per share, the previous year.

As quoted in the press release:

Excluding restricted cash, the Company’s cash balance at December 31, 2013 was approximately $22 millioncompared to $68 million at December 31, 2012 and $26 million at September 30, 2013. The Company received approximately $1.5 million in cash proceeds during the fourth quarter from the final payment on the sale of a mining property, the release of historical reclamation bond funding, and Mt. Hope Project cost reimbursement from POS-Minerals Corporation. During the fourth quarter, cash use of $6 million was the result of $3.5 millionspent on Mt. Hope Project development costs (engineering, procurement, owner’s cost, advanced royalties, and reclamation bond premiums) as well as $2.5 million in general and administrative expenses and Liberty Projectrelated expenditures. In December 2012, the Company and POS-Minerals, as the members of Eureka Moly, LLC (‘EMLLC’), agreed to hold $36 million due to the Company, of the approximately $100 million received from POS-Minerals’ December, 2012 contributions in a reserve account until the Company arranges full project financing for its 80% share of Mt. Hope Project construction cost.

Bruce D. Hansen, CEO of General, commented:

We are continuing to focus on financing alternatives for the Mt. Hope Project. To support ongoing due diligence efforts, the Company updated its capital and operating costs, mine plans, and project economics for the Mt. Hope Project. General Moly also developed an optional scenario, released on February 25, 2014, which focuses on the high-grade core of the deposit that incrementally enhances project economics and demonstrates the economic viability of Mt. Hope at lower molybdenum prices. The optional scenario provides additional flexibility for pursuing financing and to support ongoing due diligence efforts. These updated operating and capital cost estimates resulted in robust economics, positioning Mt. Hope within the lower quartile of the cost curve for primary molybdenum development projects and existing primary molybdenum operations.

Click here to read the full General Moly Inc. (TSX:GMO,NYSEMKT:GMO) press release.