Press Release dated October 13, 2005
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
From:
October 13, 2005
IVANHOE MINES LTD.
(Translation of Registrants Name into English)
Suite 654
999 CANADA PLACE, VANCOUVER, BRITISH COLUMBIA V6C 3E1
(Address of Principal Executive Offices)
(Indicate by check mark whether the registrant files or will file annual reports under cover of
Form 20-F or Form 40-F.)
(Indicate by check mark whether the registrant by furnishing the information contained in this form
is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.)
(If Yes is marked, indicate below the file number assigned to the registrant in connection with
Rule 12g3-2(b): 82- .)
Enclosed:
Press release
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused
this report to be signed on its behalf by the undersigned, thereunto duly authorized.
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IVANHOE MINES LTD.
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Date: October 13, 2005 |
By: |
/s/ Beverly A. Bartlett |
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BEVERLY A. BARTLETT |
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Corporate Secretary |
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October 13, 2005
NEW DATA INCREASES MEASURED AND INDICATED COAL RESOURCE AT
NARIIN SUKHAIT IN MONGOLIA BY 39%, TO 116 MILLION TONNES
ULAANBAATAR, MONGOLIA Ivanhoe Mines Ltd. announced today that a re-calculation of data has
significantly increased the estimate of the resource discovered to date at the companys Nariin
Sukhait Coal Property in southern Mongolia. On September 16, 2005, Ivanhoe issued a news release
stating that an initial measured and indicated coal resource of 72 million tonnes, with an
additional inferred coal resource of approximately 26 million tonnes, had been established for
three areas at its Nariin Sukhait Property. The independent estimates were prepared by Norwest
Corporation of Salt Lake City, Utah. In the preparation of the 43-101 technical report, new data
has led Norwest to further refine the geologic model, which has resulted in a 39% increase in the
measured and indicated resource estimates.
Norwests independent estimates of the coal contained in the South, East and West fields now stand
at 116 million tonnes of measured plus indicated resources and an additional inferred resource
of approximately 42 million tonnes. These estimates are based on drilling to August 9, 2005.
Drilling is ongoing and new resource estimates for the South, East and West fields are expected
before the end of 2005. Norwest also expects to be providing resource estimates on four additional
areas at Nariin Sukhait that have shown encouraging initial results.
Norwest has been providing onsite management and technical assistance to Ivanhoes coal exploration
program at Nariin Sukhait. The addition of a recently completed, detailed topographic and tenement
boundary survey has greatly enhanced the geologic model and expanded the resource areas from which
initial resource estimates were determined.
In-Place Coal Resources Summary
as of August 9, 2005
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In-Place Resources
(Tonnes) |
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Area |
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ASTM Group |
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Measured |
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Indicated |
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Inferred |
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South Field |
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High- |
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9,771,000 |
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8,704,000 |
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9,870,000 |
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East Field |
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Volatile |
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20,007,000 |
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10,862,000 |
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5,086,000 |
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West Field |
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Bituminous |
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33,277,000 |
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33,545,000 |
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26,806,000 |
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Total |
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116,166,000 |
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41,762,000 |
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Initial coal-quality testing ranks the Nariin Sukhait coal as high-volatile bituminous under
American Society for Testing and Materials (ASTM) standards. Drill-core samples are undergoing
complete thermal and metallurgical testing by SGS Minerals Services in Denver, Colorado, USA.
The Nariin Sukhait Coal Project is located approximately 40 kilometres north of the Mongolia-China
border and the shipping terminus for a newly constructed, 450-kilometre Chinese rail line that is
expected to be operational into the border area by the end of this year.
Ivanhoe plans to bring the Nariin Sukhait resources into a pre-feasibility-level study within the
next five months. The company currently is involved in preliminary marketing discussions with
potential
coal buyers. Successful negotiations and the issuance of a mining licence by the Mongolian
government could see initial production from the Ivanhoe properties in the second half of 2006.
In its initial resource calculation, Norwest had developed its geologic model using a topographic
surface built from drill-hole collar elevation data. The topographic surface used in the initial
resource calculation was built from approximately 150 points of observation. Because of the limited
topographic data available at the time of initial resource estimates, Norwest had employed a
conservative approach. The new data, provided by a detailed land-traverse survey, now includes
several thousand points of observation for constructing the topographic surface in the geologic
model. Changes to the topographic surface have vertically repositioned many of the drill-hole
intercepts in the geologic model. While changes in horizontal control of the drill holes were
minor, elevation control of the drill holes and the surrounding landscape changed significantly by
as much as 40 metres, which in many areas of the fields significantly increased the base-limit
depth employed for the in-place resource estimates.
In addition to modifying the geologic model, the detailed survey corrected a survey error in the
northern boundary of the exploration licences. This increased the size of both the South and West
Field resource areas. Modification to the resource estimates, along with a description of modelling
techniques and estimation criteria, will be provided in the forthcoming Technical Report to be
filed on Sedar (www.sedar.com) this week. The Nariin Sukhait resource estimates have been prepared
in conformance with Canadian Institute of Mining (CIM) Standards and the requirements set out in
Canadas National Instrument 43-101 and are based on drilling completed prior to August 9, 2005.
Qualified Person
Mr. Steven B. Kerr, Senior Geologist with Norwest Corporation and a Qualified Person as defined by
NI 43-101, has reviewed and approved the information contained in this release.
Ivanhoe has a 100% interest in the Oyu Tolgoi gold and copper project in Mongolia and owns or
controls exploration rights covering approximately 134,000 square kilometres in central and
southern Mongolia, where additional copper-gold and coal discoveries have been made. Ivanhoe
produces LME grade A copper from its Monywa joint venture in Myanmar.
Ivanhoe shares are listed on the Toronto and New York stock exchanges under the symbol IVN.
Information contacts in North America
Investors: Bill Trenaman: +1.604.688.5755 / Media: Bob Williamson: +1.604.688.5755
Forward-Looking Statements: This document includes forward-looking statements. Forward-looking
statements include, but are not limited to statements concerning Ivanhoes planned coal exploration
and development program, updated resource estimates, pre-feasibility studies and planned mining,
and other statements that are not historical facts. When used in this document, the words such as
could, plan, estimate, expect, intend, may, potential, should, and similar
expressions are forward-looking statements. Although Ivanhoe Mines believes that its expectations
reflected in these forward-looking statements are reasonable, such statements involve risks and
uncertainties and no assurance can be given that actual results will be consistent with these
forward-looking statements. Important factors that could cause actual results to differ from these
forward-looking statements are disclosed under the heading Risk Factors and elsewhere in the
corporations periodic filings with Canadian and US securities regulators.