Allied Nevada Orders Critical Equipment For Expansion Projects  

RENO, NV - Allied Nevada Gold Corp. ("Allied Nevada" or the "Company") (TSX: ANV.TO - News)(AMEX: ANV.TO - News) is pleased to provide an update on progress made in procuring critical mining and processing equipment for the Hycroft expansion projects.

To date, Allied Nevada has spent or committed $354.9 million, which is 2% below the feasibility estimate for this equipment. The capital spent and committed to date represents approximately 30% of the total capital estimate of $1.2 billion for the heap leach and mill expansions. All equipment pricing is firm and includes freight and taxes. In the case of the mining equipment, the pricing also includes on-site assembly and commissioning. This portion of the capital program is expected to be funded through operating cash flow, the existing cash balance (at September 30, 2011 - $289 million) and the previously announced equipment lease financing of $300 million.

The Company has completed procurement of the long lead equipment for the crushing and milling circuits through to flotation for the mill expansion at Hycroft. In addition to supplying the primary gyratory crusher, as previously announced, FL Smidth of Salt Lake City, Utah, will provide: the secondary and tertiary crushing units, comprised of four cone crushers and screens (Ludowici); 2 36-foot by 22.5-foot semi-autogenous grinding (SAG) mills; 3 26-foot by 42-football mills; and 1 22-foot by 41.5-foot regrind mill.

"Securing this critical equipment is key to remaining on track with our expansion plans at Hycroft," commented Scott Caldwell, President & CEO. "The procurement we've accomplished to date represents a commitment of roughly 30% of the current capital cost estimate of $1.2 billion and supports a smooth construction period." In addition to the crushing and milling equipment listed above, the Company has previously secured: 23 930E 320-ton Komatsu haul trucks (expected to be delivered between 2012 and 2014); 3 EX5500 Hitachi hydraulic shovels (two are inoperation and the third is expected in the second quarter of 2012); 10 Atlas Copco Pit Viper 271 production drills (three are inoperation, the remainder are expected to be delivered between 2012 and 2014); 3 Caterpillar 7495 electric shovels (expected in 2013 and 2014); 1 Fuller-Traylor primary gyratory crusher; and ancillary mining equipment and infrastructure upgrades.

Delivery of the primary though tertiary crushing components is expected to take place in the fourth quarter of 2012 and the mills are expected to be on site by the fourth quarter of 2013. All crushing and milling components are expected to be on site well ahead of the timing required by the construction schedule. The mobile mining equipment is expected to be delivered over the next three years and completed by the end of 2014.

The company's address is 9790 Gateway Drive , Suite 200, Reno, NV 89521, (775) 358-4455, fax: (775) 358 4458, email: [email protected] .