CALGARY, May 10, 2013 /CNW/ - Ivanhoe Energy (TSX: IE; NASDAQ: IVAN)
announced today that reported allegations contained in a recently filed
lawsuit in Vancouver, British Columbia against Ivanhoe Energy, its
subsidiaries Ivanhoe Energy Latin America and Ivanhoe Energy Ecuador
and shareholder Robert Friedland, are false and without merit. The new
suit, filed by Cotundo Minerales S.A. (Cotundo), an Ecuadorian
corporation, contains recycled allegations about Ivanhoe Energy's
contract on the Pungarayacu heavy oil field, which were dismissed
previously in the United States (U.S.) federal court system.
The previous suit, alleging the same and even more extreme claims
against these and other defendants, was filed in 2008 by Cotundo and
its principal, Jack Grynberg, in Colorado. Mr. Grynberg has a long
history of filing lawsuits as part of his business activities. The U.S.
District Court for the District of Colorado dismissed the claims in
September 2009 for lack of jurisdiction, denied the plaintiffs' attempt
to have the case transferred to the U.S. District Court for the Eastern
District of California, issued sanctions against the associated
individuals and companies for making baseless allegations and
subsequently ordered them to pay a substantial amount of the
defendants' attorneys' fees, which was an unusual step in the U.S.
courts. The Colorado District Court's decision rested, in part, on the
conclusion that the allegations did not "likely have merit". In July
2012, the U.S. Court of Appeals for the Tenth Circuit strongly affirmed
the District Court's rulings in a detailed 50-page written judgment.
The Company intends to vigorously defend the new lawsuit. Ivanhoe Energy
does not believe that this lawsuit will impede its initiatives to
develop Block 20 (including the Pungarayacu oil field).
Ivanhoe Energy is an independent international heavy oil exploration and
development company focused on pursuing long-term growth in its
reserves and production using advanced technologies, including its
proprietary heavy oil upgrading process (HTLTM). Core operations are in Canada, United States, and Ecuador, with
business development opportunities worldwide. Ivanhoe Energy trades on
the Toronto Stock Exchange with the ticker symbol IE and on the NASDAQ
Capital Market with the ticker symbol IVAN. For more information about
Ivanhoe Energy Inc. please visit www.ivanhoeenergy.com.
FORWARD-LOOKING STATEMENTS: This document includes forward-looking statements, including
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements include, but
are not limited to the potential for commercialization and future
application of the heavy oil upgrading technology and other
technologies, statements relating to the continued advancement of
Ivanhoe Energy's projects, statements relating to the timing and amount
of proceeds of agreed upon and contemplated disposition transactions,
statements relating to anticipated capital expenditures, statements
relating to the timing and success of regulatory review applications,
and other statements which are not historical facts. When used in this
document, the words such as "could," "plan," "estimate," "expect,"
"intend," "may," "potential," "should," and similar expressions
relating to matters that are not historical facts are forward-looking
statements. Although Ivanhoe Energy 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 include the potential that
the Company's projects will experience technological and mechanical
problems, new product development will not proceed as planned, the HTLTM technology to upgrade bitumen and heavy oil may not be commercially
viable, geological conditions in reservoirs may not result in
commercial levels of oil and gas production, the availability of
drilling rigs and other support services, uncertainties about the
estimates of reserves, the risk associated with doing business in
foreign countries, environmental risks, changes in product prices, our
ability to raise capital as and when required, our ability to complete
agreed upon and planned asset dispositions, competition and other risks
disclosed in Ivanhoe Energy's 2012 Annual Report on Form 10-K filed
with the U.S. Securities and Exchange Commission on EDGAR and the
Canadian Securities Commissions on SEDAR.
SOURCE: Ivanhoe Energy Inc.
For further information:
Manager, Corporate Communications
(403) 817 1108