The lease, signed with General Moly subsidiary Liberty Moly, covers an initial five-year period renewable for a further five one-year periods and covers enough water for the project's annual projected requirements at full production rates.
The leased water rights are currently attached to the Liberty molybdenum mine, no longer producing, some 18 miles west of, and in the same water basin as, Sunrise’s project.
Liberty Moly has agreed to cooperate with Sunrise on the application to the Nevada Division of Water Resources for permits to enable the extraction of water at the company’s designated well site.
"This is another tick in the box for project development. We need water for dust control and so are delighted to have secured this water lease,” said Patrick Cheetham, the executive chairman of Sunrise.