Base metal mineralization in the Liberty deposit consists of molybdenite (MoS2), chalcopyrite (CuFeS2), chalcocite (Cu2S), galena (PbS), sphalerite (ZnS), tetrahedrite (Cu8Sb2S7), and pyrite (FeS2). Molybdenite occurs mainly in 0.1" to 1.2"-wide quartz veins and veinlets in amounts that range from 0.1% to more than 40% by volume, typically as a selvage on vein walls. Molybdenite is also found in wider (+1.2”) quartz veins, but these are much less common in occurrence. Chalcopyrite and pyrite also are common but lesser vein/veinlet constituents. Galena, sphalerite, and lesser tetrahedrite occur with quartz in separate generations of base metal veins and veinlets that were emplaced at the end of each mineralization pulse (Shaver, 1991).

In general, molybdenum-bearing quartz veins and veinlets are more concentrated along the margins of the Hall stock, forming an irregular shell or sleeve of higher grade mineralization around a lower grade core. However, the intensity of quartz veining does not correlate directly with higher grade molybdenum – barren quartz veins are common within the deposit. Disseminated molybdenite is rare, occurring only in a 100'- to 200'- thick portion of the North Hall stock as replacements in biotite and/or plagioclase sites (Shaver, 1991). In addition to quartz, minor gangue minerals present in the veins and veinlets include fluorite, scheelite, tourmaline, gearksutite, and creedite, with siderite, dolomite, and calcite occurring as vug fillings.

The average grade (0.080% Mo) of the quartz monzonite porphyry (Kqmp) is higher than the average grade (0.064% Mo) of the orthoclase-rich intrusive rocks (Kamp). Part of the reason for this may be that the Kamp is more prevalent in the interior portion of the stock, while Kqmp is the dominant rock type along this portion of the stock margins (particularly the west and southwest sides), where quartz-molybdenum veining is more
concentrated.

Although chalcopyrite can occur with molybdenite in minor amounts in veins and veinlets within the main body of molybdenum mineralization in the Hall stock, it is much more prevalent in quartz veins in the metasediments on the northeast and east sides of the stock. Here it occurs in the remnant of the copper-dominant shell that originally surrounded the Hall stock before it was tilted and disrupted by faulting. In addition to chalcopyrite, chalcocite occurs as disseminations and as secondary coatings on pyrite within a roughly horizontal blanket of secondary supergene copper enrichment just below the bottom of oxidation. Definition of this supergene copper blanket is based on a combination of reverse circulation and diamond core drill holes that penetrate this portion of the deposit and on pit bench exposures from mining by Equatorial in 2000 – 2002. The thickness of the supergene blanket ranges from a few feet to 170 ft, and averages approximately 85 ft. Although generally horizontal and laterally continuous, the supergene blanket is locally offset by post-mineral faulting, particularly towards the main body of molybdenum mineralization to west. Copper grades in the supergene zone range from 0.06% Cu to 1.71% Cu, and average around 0.31% Cu. Beneath the supergene blanket, the chalcopyrite content of the sulfide zone is generally very low.

The Liberty mine project will employ conventional hard rock, open pit mining methods. Ore production to the mill is planned at 26,500 short tons per day (st/d) (9,673,000 short tons per year). The mine plan and production schedule was developed with the goal of filling the mill at the required ore rate and maximizing the project return on investment. The total material rate starts at 32 million short tons per year (Mst/y) for the first six years and then ramps up to 42 Mst/y for six years before reducing to lower levels for the last half of the mine life.

The results of metallurgical testing have indicated that conventional flotation technology can be used to recover copper and molybdenum from the project feed material. The design basis for the processing facility is 26,500 dry short tons per day (dst/d) or 9.67 million dry short tons per year (st/y). It is contemplated that feed will be transported from the mine to the concentrator facility by off-highway haulage trucks. Mineralized material would then be processed to produce copper and molybdenum sulfide concentrates, with the copper concentrate being shipped by truck and the molybdenum concentrate packaged in super-sacks.

The proposed process operations are as follows:

- Crushing of the feed by primary gyratory crusher to reduce the feed size from run of mine to minus 6 inch.

- Stacking of primary crushed feed in a coarse ore stockpile and then reclaiming by in-tunnel feeders and conveyor belts, with one feed system for each of the two grinding lines.

- Grinding is accomplished using 2 semi-autogenous grinding (SAG) mill / ball mill circuits, with each circuit consisting of a single SAG mill and a single ball mill. The SAG mill will operate in closed circuit with a vibrating screen. Oversize material will be recirculated via a conveyor belt to be fed back through the SAG mill. The ball mill will operate in closed circuit with a hydrocyclone cluster to produce the desired grinding product size distribution of 80% (P80) passing 147 micrometers.

- Each grinding circuit cyclone overflow reports to a bank of eight bulk rougher flotation cells. The bulk rougher concentrate from each bank is re-ground in closed circuit with a vertical mill.

- The molybdenum-copper re-ground concentrate is up-graded in two cleaner flotation circuits, with the tailing for the first cleaner section undergoing a scavenger flotation step prior to exiting the mill with the bulk rougher tailing.

- The up-graded molybdenum-copper concentrate is thickened and then conditioned with reagents prior to entering the molybdenum-copper separation stage.

- The molybdenum separation section is composed of a rougher flotation section where-in the copper minerals are depressed, while the molybdenite is floated. The tailing from the molybdenum-copper separation step is sent to a copper up-grading section.

- The molybdenum first cleaner concentrate is thickened and then undergoes four additional cleaning flotation steps to produce a final molybdenum concentrate.

- The final molybdenum concentrate is thickened, the underflow filtered, and the filter cake dried using a hollow screw dryer. The dryer discharge is stored and then packaged into super-sacks.

- The copper concentrate up-grading circuit incorporates a thickener, conditioning tanks, up-grade flotation cells, one stage of concentrate cleaning, and a scavenger circuit on the cleaner tailing.

- The final copper concentrate is thickened and filtered with a pressure filter to yield a cake containing no more than 8% moisture. The filter cake is conveyed to a storage building from which it is loaded into overthe-road trucks.

-Facilities are provided for storing, preparing, and distributing reagents.