Ivanhoe Mines Ltd Stock Price, News & Analysis

Ivanhoe Mines reported record Q3 2024 production for its Kamoa-Kakula Copper Complex and Kipushi zinc mine in the DRC. Key highlights include:

1. Kamoa-Kakula produced a record 116,313 tonnes of copper in concentrate, with the Phase 3 concentrator ramping up.

2. Kipushi produced 17,817 tonnes of zinc in concentrate during ramp-up.

3. Kamoa-Kakula's 2024 production guidance adjusted to 425,000 - 450,000 tonnes of copper.

4. Kipushi's 2024 production guidance lowered to 50,000 - 70,000 tonnes of zinc.

5. Kamoa-Kakula's Phase 3 concentrator nearing steady-state production.

6. Kipushi concentrator achieving recoveries over 90% as ramp-up continues.

7. Kamoa-Kakula's 500,000 tpa smelter on schedule for year-end completion.

Ivanhoe Mines (TSX: IVN) (OTCQX: IVPAF) has signed a Memorandum of Understanding (MOU) with Zambia's Ministry of Mines and Minerals Development to facilitate exploration activities in the country. The MOU outlines a partnership for sustainable development of Zambia's mineral resources, with Ivanhoe applying for new exploration rights. Key points include:

1. The Ministry will share information, identify prospective land packages, and provide access to geological data.
2. Ivanhoe plans to invest in exploration following its successful model from the Kamoa-Kakula Copper Complex in DRC.
3. Zambia aims to quadruple copper production to 3 million tonnes by 2031, potentially becoming the world's second-largest producer.
4. The agreement aligns with Zambia's nationwide geophysical survey to map mineral resources.

Ivanhoe Mines announced record copper production at its Kamoa-Kakula Copper Complex in the Democratic Republic of Congo. In August, the Phase 1, 2, and 3 concentrators achieved a combined monthly production record of 40,347 tonnes of copper in concentrate and a milling record of 1.1 million tonnes. A daily production record of 2,096 tonnes of copper was set on August 31. The Phase 3 concentrator is nearing steady-state production, with hot commissioning of fine-grinding mills expected to be completed soon, potentially boosting recoveries to the nameplate target of 86%.

Year-to-date production is approximately 263,000 tonnes of copper, with 14,000 tonnes from Phase 3. Kamoa-Kakula expects to achieve its 2024 guidance of 440,000 to 490,000 tonnes of copper. On-site backup power generation capacity has been increased to 135 MW, ensuring full operation of Phase 1 and 2 concentrators even without grid power.

Ivanhoe Mines announces that the Phase 3 concentrator at the Kamoa-Kakula Copper Complex in the Democratic Republic of Congo has achieved commercial production. The complex reported a record 35,941 tonnes of copper produced in July. With Phase 3, Kamoa-Kakula's annual copper production capacity increases to over 600,000 tonnes, making it the third-largest copper mining complex globally.

The Phase 3 concentrator was completed ahead of schedule on May 28, 2024, with copper concentrate production starting on June 10, 2024. It consistently mills at the nameplate processing rate of 5 million tonnes of ore per annum. The company is also pursuing ways to maximize copper production through the 'Project 95' program and debottlenecking of the Phase 3 concentrator.

Ivanhoe Mines (TSX: IVN) (OTCQX: IVPAF) reported a fatal accident at its Kamoa-Kakula Copper Complex in the Democratic Republic of Congo. The incident occurred underground at the Kansoko mine, where a drill rig operator, Mr. Bruno Akake Mutombo, was struck by a fall of ground. Despite emergency response efforts, Mr. Mutombo later succumbed to his injuries at the hospital.

The company has initiated a comprehensive review of the incident and is cooperating with DRC authorities in their investigation. Ivanhoe Mines has expressed its commitment to enhancing safety protocols at its operations. Mining activities at Kansoko were temporarily suspended but have since resumed after securing the incident area.

Ivanhoe Mines reported a quarterly profit of $67 million and a record normalized profit of $115 million for Q2 2024, significantly driven by the Kamoa-Kakula joint venture income of $90 million. The company achieved a record Adjusted EBITDA of $203 million, up from $126 million in Q1 2024.

Kamoa-Kakula generated record revenue of $817 million and record EBITDA of $547 million, selling 95,900 tonnes of payable copper at a cost of sales of $1.53 per lb. The C1 cash cost stood at $1.52 per lb., at the lower end of guidance. The Phase 3 concentrator was completed ahead of schedule, increasing annual copper production to approx. 600,000 tonnes. Additionally, the smelter project is over 85% complete and on track for year-end completion.

Elsewhere, the Kipushi concentrator was finished ahead of schedule with ramp-up to steady-state expected in Q3. First ore was fed into the concentrator on May 31, 2024, and the first zinc concentrate was produced on June 14, 2024.

Financially, Ivanhoe Mines maintains a strong balance sheet with $246 million in cash and minimal corporate debt post-convertible note redemption. New funding includes $200 million from a term finance facility and $110 million in loans for Kipushi operations.

Ivanhoe Mines (TSX: IVN) (OTCQX: IVPAF) has announced it will release its Q2 2024 financial results on July 31, 2024, before market open. The company will host an investor conference call at 10:30 a.m. Eastern time on the same day, featuring a Q&A session. Analysts can join via phone, while media are invited to attend in listen-only mode.

Ivanhoe Mines is a Canadian mining company with three main projects in Southern Africa: the Kamoa-Kakula Copper Complex expansion in the DRC, the Platreef palladium-nickel-platinum-rhodium-copper-gold project in South Africa, and the Kipushi zinc-copper-germanium-silver mine restart in the DRC. The company is also exploring 1,808 km² of prospective licences in the Western Forelands, adjacent to Kamoa-Kakula.

Ivanhoe Mines reported Q2 2024 production results for the Kamoa-Kakula Copper Complex. The complex produced 100,812 tonnes of copper in concentrate for Q2 and 186,925 tonnes for the first half of 2024. The Phase 3 concentrator, which was completed ahead of schedule, began producing concentrate on June 10, 2024, and is expected to ramp up to steady-state production in Q3 2024, increasing annualized capacity to over 600,000 tonnes of copper.

The company maintains its 2024 guidance of 440,000-490,000 tonnes of copper. The Phase 1 and 2 concentrators produced 99,706 tonnes at a recovery rate of 87.0%, surpassing the design rate. As of June 30, 2024, 4.82 million tonnes of ore are stockpiled for the Phase 3 ramp-up.

Ivanhoe Mines will report Q2 2024 financial results on July 31, 2024. The company is collaborating with DRC's power company to upgrade the power grid by late 2025 and has expanded its on-site backup power generation. An MOU was signed to improve power supply from Angola to DRC and Zambia.

Ivanhoe Mines announced the completion of construction of the Kipushi concentrator ahead of schedule, with first ore fed on May 31, 2024, and initial concentrate produced on June 14, 2024. The Kipushi mine, located in the Democratic Republic of Congo, is set to produce 100,000-140,000 tonnes of zinc concentrate in 2024 and aims to average 278,000 tonnes annually over the first five years, making it the fourth-largest zinc mine globally. Off-take agreements have been signed with CITIC Metal and Trafigura, along with $170 million in financing facilities secured. The concentrator's capacity is planned to increase by 20% to 960,000 tonnes annually. The Kipushi mine is also confirmed as the world's lowest carbon-emission intensive zinc mine based on Scope 1 and 2 emissions. The project is a joint venture with Gécamines, who will increase their shareholding over time. This milestone marks the return of operations at Kipushi after 31 years, highlighting its potential to significantly impact global zinc markets.