Ivanhoe Electric announced that Cordoba Minerals Corp. and JCHX Mining Management Co. Ltd. have closed their strategic arrangement as previously described in Ivanhoe Electric's December 8, 2022 news release for the joint development of Cordoba's Alacran Project in Colombia.

Ivanhoe Electric currently owns 63.3% of Cordoba. With a portion of the cash proceeds from the initial installment paid by JCHX, Cordoba will immediately repay all outstanding short-term loans previously provided by Ivanhoe Electric. The total repayment is approximately USD 17.3 million including accrued interest.

Ivanhoe Electric intends to use a portion of the loan repayment proceeds to fund the initial exploration drilling program at its Tintic Copper-Gold-Silver Project in Utah, which is expected to commence in May. Cordoba plans to use the balance of cash proceeds from the JCHX acquisition to advance the technical work program associated with the Feasibility Study for the Alacran Copper Project. The second installment of USD 40 million is payable in cash by JCHX at the earliest date upon completion of a Feasibility Study for theAlacran Project and the submission of the Environmental Impact Assessment ("EIA") or, at the latest, by the second anniversary of the transaction.

The third and final installment of USD 20 million is payable in cash byJCHX once the approval of the EIA is obtained, which must be within two years of the transaction's closing date. Should the EIA not be approved by the second anniversary of the closing date, JCHX will have the option to elect not to complete this third and final installment, which will result in JCHX being diluted to 40% and Cordoba increasing to a majority of 60% ownership of the Alacran Project.