Allied Nevada purchases mining fleet

Allied Nevada Gold Corp. has purchased a used mining fleet for US $13.9 million.

The mining fleet will be used at the Company’s Hycroft open pit mine located near Winnemucca, Nevada. The fleet consists of five 200-ton haul trucks, two 28-yard wheel loaders, two blast hole drills and various pieces of support equipment. The fleet will be disassembled and shipped to the Hycroft Mine site in the near future and is scheduled to begin operating in the second quarter of 2008.

The purchase of the Hycroft mining fleet moves us another step closer to meeting our goal of achieving gold production in the fourth quarter of 2008. The fleet is in good condition, and we were able to purchase the equipment for a reasonable price despite the competitive heavy equipment market that exists today. We believe that by operating our own mining equipment at the Hycroft Mine that our direct mining costs will be reduced from our original contractor mining cost estimates, which is expected to reduce our overall cost of sales per ounce of gold produced. said James Mike Doyle, Vice President of Project Development for Allied Nevada.