This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Ivanhoe Energy Advances Its Priority Initiatives

Continued focus on Commercializing HTL, Financing and Growing Reserves

CALGARY, July 12, 2012 /PRNewswire/ - Ivanhoe Energy Inc. (TSX: IE; NASDAQ: IVAN) announced today that it is continuing to make progress with its priority initiatives and the following provides a summary of that activity.

The Company continues to advance its primary objectives of building reserves and commercializing the Heavy-to-Light (HTL TM) technology.  By the end of 2012 the Company expects to make substantial progress on exploring, developing and upgrading heavy oil. 

Heavy-to-Light (HTL) Commercialization HTL is an upgrading process which captures the price difference between heavy and light oil by converting heavy, viscous oil and bitumen into a lighter, transportable and more valuable synthetic crude oil (SCO).

To support Ivanhoe's perspective on the value of HTL, the Company commissioned a number of consultants including Jacobs Consultancy, a world-class independent consulting firm, to conduct a formal evaluation of the economic feasibility of its HTL projects.  The conclusion of their report is that HTL SCO will trade on par with Brent and this creates a significant opportunity for Ivanhoe and its potential HTL partners. The most significant opportunities include the potential for enhanced cash flows, superior economic returns and reduced financing risk due to the reduced capital intensity of constructing HTL facilities.  A full explanation of this economic analysis is available on the Company's website.

Ivanhoe Energy continues to focus its HTL commercialization efforts in 2012 on establishing midstream partnerships and business development activities are underway for several projects of this nature in Latin and Central America.  Our relationship with the Guatemalan Government is one example. Ivanhoe Energy is providing industry input and supporting the Guatemalan Government's efforts to foster growth and energy self-sufficiency. 

Tamarack - Canada The regulatory approval process for the Tamarack project is progressing well.  The Company has been working with the regulators to answer their technical questions and local area stakeholders to address their specific areas of interest.  Responses to the regulator's second round of Supplemental Information Requests (SIRs) were submitted on July 6, 2012 and are now available on the Company's website.  The Company continues to anticipate receiving regulatory approval by the end of 2012.

Zitong - China Implementation of the previously announced transaction to assign Sunwing's interest in the Production Sharing Contract for the Zitong block in China's Sichuan Basin to Shell China Exploration continues to progress. Closing is expected to occur once all the necessary approvals are complete, and the Company will communicate at that time.

Block 20 - Ecuador In the first quarter Ivanhoe Energy began drilling an exploration well (IP-17) to test the Hollin and Pre-Cretaceous horizons in the southern part of Block 20.  To date, the Company has drilled to approximately 10,500 ft.  The Company has successfully drilled through the challenging volcanic Chapiza formation and there has been evidence of hydrocarbons. Drilling is expected to continue following the completion of further analysis of the results to date and an improved geologic assessment by independent third-party experts. The Company anticipates having greater clarity on next steps following completion of this assessment.

The Company continues to advance discussions with third parties to establish a potential financial partnership for Block 20 with the goal of finalizing the necessary commercial arrangements by the end of 2012.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

Chart of I:DJI
DOW 16,102.38 -272.38 -1.66%
S&P 500 1,921.22 -29.91 -1.53%
NASDAQ 4,683.9190 -49.5780 -1.05%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs