CORRECTING and REPLACING Idaho General Mines Announces the Completion of the Mt. Hope Bankable Feasibility Study Indicating an Estimated Project Net Present Value of $1.4 Billion

    LAKEWOOD, COLO., August 30 /CNW/ - In the table titled "NPV at 10%," the
first row, second column titled "($ Millions)" should read: $83 (sted $830).

    The corrected release reads:


    Idaho General Mines (AMEX:  GMO) announced the completion of the Mt. Hope
Bankable Feasibility Study (the "Bankable Feasibility Study" or "Study"),
which supports the viability and robust economics of the Company's Mt. Hope
molybdenum property. Highlights of the Bankable Feasibility Study included:

    --  Net Present Value (NPV) of $1.4 billion for the Mt. Hope project;

    --  Internal Rate of Return (IRR) of over 37% and capital payback of 2.0

    --  Molybdenum production of 38.3 million pounds annually over the first
five years;

    --  Direct operating costs of $4.42 per pound over the first five years;

    --  Average grades of 0.100% molybdenum processed over the first five

    --  1.3 billion pounds contained molybdenum within Proven and Probable
reserves; and a

    --  44 year mine life including 32 years of mining operations and 12
years of low-grade production.

    Bruce D. Hansen, Chief Executive Officer, said, "We believe the results
of this study continue to illustrate the significant value of the Mt. Hope
project. Based on an increase in our anticipated production rates by over 15%,
we see growth in expected value that more than offsets the increased capital
required. The estimated NPV of $1.4 billion continues to compare favorably to
our fully-diluted market capitalization of $429.3 million. We believe the
Company will provide value to our investors given the Company's current nearly
70% valuation discount to the NPV of Mt. Hope and the unique growth
opportunity that Hall-Tonopah provides.

    "The Study indicates that Mt. Hope's Proven and Probable reserves contain
1.31 billion pounds of molybdenum at an average grade over its 44 year life of

    "Mt. Hope will utilize proven technologies and is located in Nevada,
where the permitting process is comparatively well defined, allowing the
Company to benefit from excellent pre-existing infrastructure and access to a
significant mining workforce in the area. Over the next two years, we expect
to continue to evolve the Mt. Hope project including necessary permitting,
financing and construction. We anticipate placing long-lead equipment orders
beginning in the fourth quarter of this year and receiving the required
permits in the first quarter of 2009. With construction estimated to take
18-20 months, we expect to emerge as one of the lowest cost primary molybdenum
producers in the second half of 2010."

    The Bankable Feasibility Study was completed by M3 Engineering &
Technology Corp and supported by Independent Mining Consultants (IMC), SRK
Consulting, and Mountain States Research and Development (MSRDI), as well as
other independent consulting companies.


    The Company consulted with CPM Group, an independent commodities research
and consulting firm, to utilize their extensive analysis and research of the
molybdenum market that examined both expected supply and demand of the metal
over the next ten years. Based largely on this analysis, the Company is
confident that demand growth for molybdenum will remain robust and that prices
will remain elevated over the next ten years. Forecasted real prices through
2016, estimated by CPM Group, as well as non-inflation adjusted costs have
been utilized in the Company's NPV calculations of Mt. Hope and are contained
in the table below.

                           CPM Group Price Forecast

         Production Year              Real $               Nominal $
                1                     $28.00                 $31.72
                2                     $24.00                 $28.14
                3                     $22.00                 $26.64
                4                     $19.50                 $24.41
                5                     $16.00                 $20.76
                6                     $14.50                 $19.44
                7                     $13.50                 $18.68

    Mt. Hope's NPV remains highly levered to changes in the molybdenum price.
A 20% increase in price per pound, for example, results in a 43% increase in
NPV ($2.0 billion versus $1.4 billion).

    Project NPV values were also calculated using non-escalated flat rate
prices. At $15 per pound, the Mt. Hope project has an estimated NPV of over $1
billion, an increase of nearly 20% compared to the Company's prior estimate of
$840 million at lower throughput levels. Flat rate price sensitivities are
provided below.

                                       NPV at 10%
         Price Per Moly Lb            ($ Millions)           IRR (%)
               $10.00                     $83                 11.5%
               $15.00                    $1,001               24.7%
               $20.00                    $1,837               34.5%
               $25.00                    $2,694               43.4%
               $30.00                    $3,550               51.6%
               $35.00                    $4,407               59.1%


    Project capital of approximately $852 million is expected to be required
to develop Mt. Hope, excluding working capital and bonding requirements.
Increases from the previous estimate of $600-$700 million are primarily due to
costs associated with mine expansion (approximately $100 million), a
re-classification of first year sustaining capital to initial capital
(approximately $50 million), price escalation (approximately $25 million) and
further labor and housing requirements identified in the Feasibility Study
(approximately $25 million).

    Sustaining capital is expected to be $635 million over the life of the
mine, or approximately $14 million per year. Increases in sustaining capital
from prior estimates are primarily related to price escalation in mining
equipment and additional equipment needed to sustain higher mining rates.

    Operating costs per pound molybdenum are expected to be $4.42 per pound
on average in the first five years of production, $4.67 per pound over the
first ten years of production, and $6.05 per pound for the life of the mine.
Total cash costs per pound, inclusive of royalties, which vary as a function
of price, and reclamation and closure costs, are expected to be $5.57 per
pound on average in the first five years, $5.60 per pound over the first ten
years, and $6.94 per pound for the life of mine based on the CPM moly price

    Mt. Hope's economics are comparatively less sensitive to changes in
capital or operating costs. For example, a 20% change in initial capital costs
would decrease expected NPV by less than 10% while a 20% change in operating
costs would decrease expected NPV by less than 14%.


    Based on the study, molybdenum production at Mt. Hope is anticipated to
average 38.3 million pounds per year over the first five years of production
and 36.1 million pounds per year over the first ten years of production.
Estimated production, grades, mill recoveries and roasting recoveries are
provided in the table below.

    Average Annual Payable Metals       5 Years 10 Years 32 Years 44 Years
    Average Mill Grade                  0.100%   0.094%   0.086%   0.068%
    Mill Recovery (%)                    87.7     87.4     86.4     85.8
    Leach and Roaster Recovery (%)       99.2     99.2     99.2     99.2
    Molybdenum (millions of pounds)      38.3     36.1     29.5     25.5

    Pre-stripping at Mt. Hope is anticipated to begin in 2009 with the first
ore scheduled to the mill in the third quarter of 2010. Annual high grade ore
delivered to the mill is expected to vary from 19.8 to 23.2 million tons.
Total material moved is expected to average 261,600 tons per day (95.5 million
tons per year), with daily mill production averaging 60,625 tons per day (22.1
million tons per year).

    Proven and Probable Reserves

    Reserves, U.S. SEC Definitions

                                                    Contained Pounds
                     Tons (millions) Grade (%)         (millions)
    Proven               189.675       0.083             314.86
    Probable             776.251       0.065            1,009.13
    Proven &
     Probable            965.926       0.068            1,313.66

    Cutoff Grade at 0.034%
    Mineralized Material is tabulated at the internal cutoff at $10.00/lb
    Internal cutoff covers the cost to process the material

    M3 Conclusions

    --  The results of the feasibility study indicate that the Mount Hope
project is technically feasible. The mining and process methods are typical
and do not require any specialized technology.

    --  Project economics at current molybdenum prices are better than
favorable. The economic base-case analysis results in a 37.3% IRR and $1,394
million NPV and is most sensitive to molybdenum prices. The base case prices
from CPM Group are considered reasonable forecasts. In addition, M3 considered
a price range of minus 20% to plus 20% from the base case prices in the
sensitivity analysis. Price sensitivity was also performed covering a wide
range of constant Molybdenum prices. All sensitivities studied indicate
positive economics.

    --  M3 concludes that the capital costs are reasonable considering recent
increases in labor and worldwide equipment and commodity prices. The capital
costs are comparable to like sized projects.

    --  M3 finds that the project location is fortuitous in that it is
situated in the middle of the Nevada mining district and is within 1.5 miles
of a paved highway, near a 230kV electrical substation, and with sustainable
ground water resources. The climate is moderate and the mill and tailings site
locations are on a reasonable and constructable site. The water rights for the
project have been acquired or are being acquired at the time of this study.
Additionally, a public airport capable of landing business jet aircraft is
within 10 miles of Mount Hope.

    --  The feasibility study indicates that the environmental permits are
obtainable within schedule. The permitting requirements have been defined and
scheduled. The EIS contractor and the BLM have been performing to the project
schedule. The baseline studies required for the EIS are substantially

    --  The project schedule is reasonable assuming early engineering,
prevailing equipment procurement lead times and the permit schedule. The ball
mills, SAG mill and mining shovels drive the project schedule and should be
procured as soon as possible. An early release of basic engineering will
provide the opportunity to expedite construction mobilization in early 2009.


    For additional information contained in the Mt. Hope Bankable Feasibility
Study, please see the condensed executive summary that has been provided on
the Company's website under the Investors tab.

    A conference call will be held today, August 30, 2007 at 4pm Eastern (2pm
Mountain) to discuss the Study's results. Call-in information is provided
below. Corresponding slides are provided on the Company's website under the
Investors tab. Additionally, a listen-only webcast will simultaneously run on
the Company's website, also under the Investors tab.

    Conference Call Details
        Dial-in Number       866.713.8565
        Int'l Dial-in Number 617.597.5324
        Passcode             Idaho General Mines

        Replay               888.286.8010
        Replay Passcode      2442 3167

    Forward-Looking Statements

    Statements herein that are not historical facts, such as expected project
NPV, planned throughput capacity and rates, future molybdenum production,
future permitting expectations, estimates of the volume and grade of mineral
deposits, estimates of capital costs, and future production levels and time
periods are "forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995, and involve a number of risks and
uncertainties that could cause actual results to differ materially from those
projected, anticipated, expected or implied. These risks and uncertainties
include, but are not limited to, the Company's ability to raise required
financing, metals price and production volatility, exploration risks and
results, political risks, project development risks, including, without
limitation, changes in planned work resulting from weather, logistical,
technical or other factors, uncertainties involved in the interpretation of
results and other tests and the estimation of reserves and resources, the
possibility that required permits may not be obtained on a timely manner or at
all, the possibility that capital and operating costs may be higher than
currently estimated, the possibility that the estimated recovery rates may not
be achieved, risk of accidents, equipment breakdowns or other anticipated
difficulties or interruptions, the possibility of cost overruns or
unanticipated expenses in work programs or mine closures, and the risk of
environmental contamination. For a more 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-QSB and 10-KSB on file with the SEC. The
Company undertakes no obligation to update forward-looking statements.


For further information:

For further information: Idaho General Mines Seth Foreman - Investor
Relations, 303-928-8591

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