Ivanhoe Mines Reports Strong Copper and Zinc Production in the First Two Months of 2025

Ivanhoe Mines (TSX: IVN) (OTCQX: IVPAF) Executive Co-Chairman Robert Friedland and President & Chief Executive Officer Marna Cloete announced an update on year-to-date production at the Kamoa-Kakula Copper Complex in the Democratic Republic of the Congo (DRC) and the ultra-high-grade Kipushi zinc mine, also in the DRC.

Kamoa-Kakula delivered near-record copper production in January of 45,477 tonnes and 40,849 tonnes during the shorter month of February.

Daily copper production averaged over each month totaled 1,467 tonnes per day (tpd) in January and 1,459 tpd in February. These achievements are just short of the record 1,518 tpd of copper production achieved in December 2024.

In addition, copper production during the last week of February was 11,122 tonnes of copper. This is equivalent to an annualized production rate of over 578,000 tonnes of copper, which is at the top end of 2025 annual guidance. As announced on January 8, 2025, Kamoa-Kakula’s 2025 copper production guidance is 520,000 to 580,000 tonnes of copper.

Kamoa-Kakula’s power availability improving as the Southern Africa wet season gathers pace

Since the start of the year, Kamoa-Kakula’s Phase 1, 2 and 3 operations have been powered by approximately 100 MW of domestically-generated and imported hydroelectric power.

This is equivalent to approximately two-thirds of the operation’s total requirement, with the remaining sourced from installed on-site, diesel-generated back up power. Discussions are well advanced to increase imported hydroelectric power by a further 20 MW by month-end.

Water levels have recently improved at the Cahora Bassa hydroelectric dam in Mozambique, where the majority of Kamoa-Kakula’s imported power is sourced, as well as the Kariba hydroelectric dam in Zambia.

As reported on the Club of Mozambique website on March 4, 2025; “Current water levels in the Cahora Bassa reservoir guarantee the production of electricity until the last quarter of this year.

This is the result of the water reserves accumulated during this rainy season, after levels fell to 19.18% in January, the lowest level in recent times.” The Chairman of Cahora Bassa Hydroelectric Plant, Tomás Matola recently stated publicly, “With the rainfall that fell in February, we were able to recover and our hydro-meteorological forecasts show that more rain is coming and storage will naturally increase.”

Repairs to damaged on-site back up generators progressing well

Kamoa-Kakula has over 190 megawatts (MW) of on-site, diesel-generated back up power installed. Currently, the on-site diesel generators are used to supply up to 50 MW, or approximately one-third, of Kamoa-Kakula’s operational requirements.

Of the total 190 MW installed, 36 MW of generator capacity was damaged and are undergoing repair, as reported on January 8, 2025.

Total power required to operate the Phase 1, 2, and 3 operations, as well as the smelter at full capacity, is approximately 240 MW. Discussions to secure additional grid-supplied power dedicated for the heat-up of Kamoa-Kakula’s smelter are advancing. The operations team are expecting heat-up to commence in May or June 2025 as previously announced.

Kamoa-Kakula’s Project 95 is 20% complete and advancing on schedule

The “Project 95” initiative on Kamoa-Kakula’s Phase 1 and 2 concentrators is expected to increase concentrator recoveries to 95%, from approximately 87%.

The initiative, with a capital expenditure of approximately $180 million, is expected to increase annualized copper production by up to 30,000 tonnes, at an industry-leading capital intensity of $6,000 per tonne of copper.

Kamoa-Kakula’s Project 95 is advancing well at 20% complete and is on schedule for completion in Q1 2026.

Kipushi produced a record 16,063 tonnes of zinc in January; nameplate milling rate recently achieved

The ramp up of the Kipushi concentrator is ongoing, with a record 16,063 tonnes of zinc produced in January and 11,903 tonnes of zinc produced during the shorter month of February.

Kipushi’s production rates on an annualized basis are approaching its 2025 guidance range of 180,000 to 240,000 tonnes of zinc in concentrate.

In addition, since the start of 2025, concentrator recoveries have averaged approximately 88% and the concentrate grade is approximately 53% contained zinc. Ramp up to the nameplate milling rate of 2,000 tonnes per day was achieved in late February. Further improvements in production rates and concentrator recoveries are expected over the coming months.

Kipushi is targeting a production rate of over 250,000 tonnes of zinc in concentrate for 2026, following the completion of the debottlenecking program that is on schedule for late Q3 2025.