CITIC Metal Co., Ltd., a wholly-owned subsidiary of CITIC Limited, has agreed to make a major investment acquiring a significant 19.9% stake in Ivanhoe Mines. Under terms of the agreement signed in Beijing today, Ivanhoe Mines will issue 196,602,037 common shares to CITIC Metal (or its designated affiliate) through a private placement at a price of C$3.68 per share, yielding gross proceeds to Ivanhoe of approximately C$723 million (US$560 million). CITIC Metal will come to own 19.9% of Ivanhoe Mines’ issued and outstanding common shares when the placement is completed, establishing CITIC Metal as Ivanhoe’s largest single shareholder. Mr. Friedland will be Ivanhoe’s second-largest shareholder, with over 17% shareholding.