Abstract：The Dayangshugou molybdenum deposit is located at the junction between the Liaoxi (western Liaoning) platform subsidence and Shanhaiguan platform rise in the Yanshan platform fold zone on the northern margin of the North China platform, in the western segment of the Bajiazi-Yangjiazhangzi polymetallic ore belt. It is a large rich molybdenum deposit found during check verification of geochemical anomalies of stream sediments. Orebodies are all hosted in Yanshanian fine granite. There are close temporal-spatial and genetic relations between the deposit and the granite. The orebodies occur as veins and blind orebodies increase toward the depth, forming dense orebody bundles. The exploration work comprised three stages: additional stream sediment geochemical survey, soil geochemical survey, geological survey and engineering check verification. The discovery of the molybdenum deposit shows that there is still great potential for undiscovered mineral resources in eastern China where the degree of exploration is very high. The regional geochemical anomalies play a guiding role in mineral exploration. In the new round of mineral exploration we should firstly exploit and screen the geochemical anomalies in the ore belt the second time, then gradually improve the quality of anomaly check verification and finally carry out exploration, which is an efficient method for mineral exploration.