Ivanhoe Mines Ltd.

Ivanhoe Mines Ltd.

May 23, 2017 09:47 ET

Ivanhoe Mines receives fifth and final US$41.2 million installment payment from Zijin Mining Group as part of Zijin's US$412 million investment in the Kamoa-Kakula Copper Project in D.R. Congo

VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 23, 2017) - Ivanhoe Mines (TSX:IVN)(OTCQX:IVPAF) announced today that it has received the fifth and final installment of US$41.2 million owing from a subsidiary of Zijin Mining Group Co., Ltd. as part of a strategic co-development agreement under which Zijin acquired 49.5% of Ivanhoe's majority stake in Kamoa Holding Limited.

Kamoa Holding has an indirect 80% interest in the tier one Kamoa-Kakula Copper Project, in the Democratic Republic of Congo, now being jointly developed by Ivanhoe and Zijin.

Zijin − through its subsidiary, Gold Mountains (H.K.) International Mining Company Limited - agreed to pay US$412 million for a 49.5% interest in Kamoa Holding Limited. Zijin paid an initial US$206 million at closing in December 2015, followed by the payment of the first four scheduled US$41.2 million installments in March, July and October of last year and February of this year.

Following the signing of a partnership agreement with the DRC government in November 2016, Ivanhoe and Zijin Mining now each hold an indirect 39.6% interest in the Kamoa-Kakula Project, Crystal River Global Limited holds an indirect 0.8% interest and the DRC government holds a direct 20% interest.

After the receipt of the fifth installment from Zijin, Ivanhoe's consolidated working capital is approximately US$325 million (C$440 million).

About Ivanhoe Mines

Ivanhoe Mines is advancing its three principal projects in Sub-Saharan Africa: 1) Mine development at the Platreef platinum-palladium-gold-nickel-copper discovery on the Northern Limb of South Africa's Bushveld Complex; 2) mine development and exploration at the Kamoa-Kakula Copper Project on the Central African Copperbelt in the DRC; and 3) upgrading at the historic, high-grade Kipushi zinc-copper-lead-germanium mine, also on the DRC's Copperbelt. For details, visit www.ivanhoemines.com.

Contact Information

  • Ivanhoe Mines - Investors
    Bill Trenaman

    Ivanhoe Mines - Media
    North America:
    Bob Williamson

    South Africa:
    Jeremy Michaels