Adanac Announces $15 Million Equity Offer

Adanac Molybdenum Corporation (TSX: AUA) (Pink Sheets: AUAYF) (Frank: A9N) today announced it plans to raise up to $15 million with an equity offering to partially fund construction of the company’s proposed Ruby Creek molybdenum project.

"This financing advances our Ruby Creek project to the next level" said Michael MacLeod, President and CEO. "The funding it provides will enable Adanac to continue construction activities and take possession of processing equipment we have ordered for the molybdenum mine."

The offering is being conducted through a syndicate of six agents co-led by Haywood Securities Inc. and MGI Securities Inc. The transaction structure is a fully marketed short-form prospectus, which provides for an over-allotment option to be exercised at the discretion of the agents.

The initiative seeks to raise the $15 million total with two classes of securities:

• flow-through shares; and

• units, with each unit consisting of one common share and one-half of one common share purchase warrant with each warrant to be exercisable for a period of 24 months from the applicable closing date.

As currently contemplated, the flow—through share offering is scheduled to close on or about December 27, 2007 and the unit offering is scheduled to close on or about January 8, 2008.

The equity offering follows Adanac’s October 17, 2007 announcement that the Company is retaining a U.S. investment bank in respect of a debt offering totaling US$600 million. Use of proceeds of the debt offering will be the same as for the current equity initiative.

This news release has been reviewed by Rick Alexander, P.Eng, a qualified person pursuant to National Instrument 43-101.

On Behalf of Management

ADANAC MOLYBDENUM CORPORATION

Michael MacLeod,
President & Chief Executive Officer

The Toronto Stock 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 Stock Exchange, the British Columbia Securities Commission and the US Securities and Exchange Commission.