The primary reason for the US$14.3 million net loss during the second quarter was a non-cash charge of US$11.5 million relating to the May 14, 2013 warrant cancellation associated with the mutually terminated US$125 million subordinated debt agreement between General Moly and Hanlong (USA) Mining.

General Moly's cash balance at June 30, 2013 was approximately US$35 million, compared to US$68 million at December 31, 2012 and US$57 million at March 31, 2013. During the second quarter, cash use of US$24 million was the result of Mt. Hope Project development costs as well as general and administrative expenses partially offset by the receipt of US$2 million in contribution payments from POS-Minerals Corporation. In December 2012, General Moly and POS-Minerals, as members of Eureka Moly LLC, agreed to hold US$36 million of the approximately US$100 million received from POS-Minerals' December, 2012 contributions in a reserve account to maintain additional liquidity until General Moly arranges full project financing.

"We have spent the past few months in discussions with a number of potential strategic partners and investors as we explore a variety of financing alternatives, including equity investments, project level investments and debt financings to determine which would provide the best outcomes for our shareholders in the current market,” said Bruce D. Hansen, CEO of General Moly. "As we proceed towards full financing at Mt Hope, the company will continue to prudently manage our unrestricted cash position of US$35 million at the end of the second quarter with an additional US$36 million in restricted cash.”