Sprott Molybdenum Participation Corporation announces a review of strategic alternatives

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(TSX: MLY, MLY.WT) - Sprott Molybdenum Participation Corporation (the "Corporation" or "Sprott Moly") is announcing that, in light of both recent market developments and the fact that the Corporation's shares continue to trade at a significant discount to net asset value, its board of directors, together with Sprott Asset Management Inc., the Manager of the Corporation, is exploring strategic alternatives for Sprott Moly. The focus of the review is to investigate strategic alternatives that would make best use of the Corporation's current cash position, including a possible liquidation. As at December 5, 2008, the Corporation's net asset value was $1.74 per common share, of which $1.31 per common share was in cash and near cash securities, net of short term liabilities.

There can be no assurance that the process will result in any specific strategic or financial transactions, and no timetable has been set for its completion. The Corporation does not plan to make future comments about the status of the review unless there are material developments.