Ivanhoe Mines Closes Private Placement With Rio Tinto

Ivanhoe Mines (TSX:IVN)(NYSE:IVN)(NASDAQ:IVN), reported that the company has closed its private placement with Rio Tinto that was announced on March 1, 2010.

The press release is quoted as saying:

As part of the private placement agreement, Ivanhoe Mines has issued 15 million common shares to Rio Tinto at CDN$16.31 per share, for total proceeds of CDN$244.7 million (US$241.1 million equivalent). Ivanhoe Mines has used CDN$198.2 million (US$195.4 million equivalent) of the proceeds to purchase from Rio Tinto key mining and milling equipment for the Oyu Tolgoi copper-gold mining complex in Mongolia. Ivanhoe Mines has received the balance of the proceeds, CDN$46.4 million (US$45.7 million equivalent), which will be used to purchase additional equipment and for general corporate purposes.

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