General Moly will purchase 18 Cat 793 haul trucks through Caterpillar’s Nevada-based dealer, Cashman Equipment Co. All 18 trucks will be delivered to and commissioned at the Mt. Hope site beginning in late 2013 and early 2014 to complete mine pre-operation development. The total value of the order, including support equipment, is anticipated to be approximately $75 million.
The order was originally placed in 2008 and contained price escalators. The total cost of the Caterpillar mobile fleet has been managed to a 5% increase from the 2008 budget, including escalation, offset by an optimized and partially used support equipment fleet. Following this order, the company said it also has firm commitments not subject to escalation exposure for approximately $150 million in capital equipment, representing approximately 40% of the equipment budget for Mt. Hope.
General Moly is a U.S.-based molybdenum mineral development, exploration and mining company. Its primary asset is its interest in the Mt. Hope project located in central Nevada, which is considered one of the world’s largest and highest grade moly deposits. Combining Mt. Hope with its second moly property, the Liberty project (also located in central Nevada), General Moly has set its sights on becoming the largest primary moly producer by the middle of the decade.