pcNewsWire – Ivanhoe Mines (TSX: IVN; OTCQX: IVPAF) has received 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.
May 23, 2017
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, CANADA − 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.
Bill Trenaman +1.604.331.9834
North America: Bob Williamson +1.604.512.4856
South Africa: Jeremy Michaels +27.82.939.4812
SOURCE: Ivanhoe Mines