General Moly Announces Hanlong's Receipt of Key Chinese Governmental Approval

General Moly (NYSE Amex: GMO)(TSX: GMO) announced that the Company has
been informed by Sichuan Hanlong Group (Hanlong) that it has received
formal approval from the Chinese National Development and Reform
Commission (NDRC) to invest in General Moly as a component of an overall
structure to fully finance General Moly's 80%-owned share of the Mt.
Hope project.

Bruce D. Hansen, Chief Executive Officer of General Moly, said, 'The
NDRC approval represents another key milestone reached in the overall
finance and development plan for our world-class Mt. Hope molybdenum
project. The NDRC approval is by far the most important Chinese approval
and signifies that the transaction is in alignment with China's
strategy. We anticipate the receipt of a Certificate of Overseas
Investment as approval from the Ministry of Commerce and filing of that
Certificate with the State Administration of Foreign Exchange (SAFE) to
be forthcoming, within the next few days. We have agreed with Hanlong
that formal approval from SAFE is not practical nor required at this
time, as funds will not be required to be transferred until later in the
year.'

Once completed, and following the publication of the Mt. Hope project's
Draft Environmental Impact Statement (DEIS), the Company will close on
the initial 12.5% fully-diluted share sale to Hanlong for $40 million.
General Moly continues to anticipate both publication of the DEIS and
Hanlong's equity investment to occur prior to year end. The Company will
resume engineering and procurement upon receipt of these funds. The DEIS
publication in the Federal Register will begin the public review period
and signifies the final stages of federal permitting.

Under the agreement with Hanlong, Hanlong will increase its interest in
General Moly to 25% on a fully-diluted basis, through an additional $40
million equity investment, following General Moly's receipt of its
Record of Decision (ROD) and Hanlong's delivery of a $665 million
Hanlong-guaranteed loan to be sourced from a Prime Chinese Bank. General
Moly currently anticipates ROD receipt by mid-2011 and anticipates loan
availability and initiation of construction within three months of
permit receipt. General Moly has already initiated discussions with
several Prime Chinese Banks, including the Import Export Bank of China.

WATER RIGHTS UPDATE

The Nevada State Engineer's office has set a hearing for December 6th to
the 10th to review the Company's water applications. The Company now
anticipates the State Engineer's office to issue its ruling
approximately three months following the conclusion of the hearings.

General Moly is a U.S.-based molybdenum mineral development, exploration
and mining company listed on the NYSE Amex (formerly the American Stock
Exchange) and the Toronto Stock Exchange under the symbol GMO. Our
primary asset, our interest in the Mt. Hope  project located in central
Nevada, is considered one of the world's largest and highest grade
molybdenum deposits. Combined with our second molybdenum property, the
Liberty project that is also located in central Nevada, our goal is to
become the largest primary molybdenum producer by the middle of the
decade. For more information on the Company, please visit our website at http://www.generalmoly.com.

Forward-Looking Statements

Statements herein that are not historical facts are 'forward-looking
statements? within the meaning of Section 27A of the Securities Act, as
amended and Section 21E of the Securities Exchange Act of 1934, as
amended and are intended to be covered by the safe harbor created by
such sections. Such forward-looking statements involve a number of risks
and uncertainties that could cause actual results to differ materially
from those projected, anticipated, expected, or implied by the Company.
These risks and uncertainties include, but are not limited to, metals
price and production volatility, global economic conditions, currency
fluctuations, increased production costs and variances in ore grade or
recovery rates from those assumed in mining plans, exploration risks and
results, political, operational and project development risks, including
the Company′s ability to obtain required permits to commence production
and its ability to raise required financing, adverse governmental
regulation and judicial outcomes. The closing of the Hanlong transaction
and obtaining bank financing are subject to a number of conditions
precedent that may not be fulfilled. For a detailed discussion of risks
and other factors that may impact these forward looking statements,
please refer to the Risk Factors and other discussion contained in the
Company′s quarterly and annual periodic reports on Forms 10-Q and 10-K,
on file with the SEC. The Company undertakes no obligation to update
forward-looking statements.

General Moly, Inc.

Investors:

Seth Foreman, 303-928-8591

sforeman@generalmoly.com

or

Business
Development:

Greg McClain, 303-928-8601

gmcclain@generalmoly.com

or

http://www.generalmoly.com

info@generalmoly.com