PRE-FEASIBILITY AND DRILLING UPDATE (MOLY @$30.00 (US)/lb)

July 27, 2005 - Vancouver, British Columbia

Adanac Moly Corp. (AUA:TSX.V) ("Adanac") reports it has received the drafts from the four engineering and metallurgical firms conducting its pre-feasibility studies on the Ruby Creek Molybdenum Project located near Atlin, B.C.

Golder Associates have completed the draft on the open pit studies including pit design and slope stability. Klohn Crippen have completed the draft study on the tailings, dam and water handling systems. MinnovEX Technologies Inc. have completed other drafts on metallurgical studies including grinding index and recoveries. Wardrop Engineering Inc. have almost completed their engineering on the Mill site and optimum milling plan. (This study has been held up pending receipt of the MIT study which is required to complete their optimum study.)

All of the above work is part of the final feasibility study which is on schedule and expected to be completed before the end of the year. As the studies are signed off on the company will be releasing the final pertinent results. To date the studies as assessed by management are positive.

Drilling at Ruby Creek is progressing well with 8 holes completed on the in-pit section entailing 2000 metres (6,400') and drilling has now commenced on the exploration part of the program. Two holes have been processed and shipped for assay. The Company had to rebuild and rewire the core splitting and bucking facilities resulting in the short delay in processing the samples. All core is split by a diamond saw, crushed and split for shipment on the site.

The Ruby Creek Project is a proposed open pit molybdenum mine situated 24 kilometres northeast of Atlin, BC, which would operate at 20,000 tonnes per day of ore for 20 plus years and have an overall footprint of approximately 830 hectares. The Company believes that the proposed mine is a sound project that will minimize any long term environmental effects and maximize socio-economic benefits to the local community, Taku River Tlinget First Nation and British Columbia.

On Behalf of Management

ADANAC MOLY CORP.

"Larry W. Reaugh"

Larry W. Reaugh, President and Chief Executive Officer

The TSX-Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This news release may contain certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time with the Toronto Venture Exchange, the British Columbia Securities Commission and the US Securities and Exchange Commission.

View More Press Releases

www.adanacmoly.com

Corporate Profile by Secular Bull

Interested in any future Private Placements with this company? Click here!