VANCOUVER, Oct. 19 /CNW/ - Ivanhoe Energy Inc. (NASDAQ: IVAN and TSX: IE)
has agreed to a maximum six month extension of the expiry date of 10,996,330
common share purchase warrants to purchase 10,996,330 common shares issued in
connection with a US$17.75 million non-brokered private placement special
warrant financing that closed in November 2005, and 2,000,000 warrants to
purchase 2,000,000 common shares issued in November 2005 in connection with a
loan agreement. All of the warrants for which the expiry dates are being
extended are held by arm's length investors. An insider of Ivanhoe Energy who
was issued warrants in connection with the private placement financing has not
been granted an extension.
The warrants, which were scheduled to have expired in November 2007, will
be extended, subject to the approval of the Toronto Stock Exchange, until the
earlier of: (i) six months following the original expiry date of the warrants;
and (ii) thirty days following the date the closing trading price of the
common shares of Ivanhoe Energy on the Toronto Stock Exchange exceeds the
exercise price of the warrants for a period of five consecutive trading days.
Subject to the Toronto Stock Exchange approval, the holders of the
warrants may exercise the warrants at the original exercise price of
US$2.50 per common share in the case of the warrants issued in connection with
the private placement financing and US$2.00 in the case of the warrants issued
in connection with the loan agreement, until the new expiry date. No other
terms have been affected.
Ivanhoe Energy is an independent international heavy oil development and
production company focused on pursuing long-term growth in its reserves and
production using advanced technologies, including its proprietary heavy oil
upgrading process (HTL(TM)). Core operations are in the United States and
China, with business development opportunities worldwide. Ivanhoe Energy
trades on the NASDAQ Capital Market with the ticker symbol IVAN and on the
Toronto Stock Exchange with the symbol IE.
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, 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 risks disclosed in Ivanhoe Energy's Annual Report on Form 10-K filed
with the U.S. Securities and Exchange Commission on EDGAR and the Canadian
Securities Commissions on SEDAR.
For further information:
For further information: Cindy Burnett, (604) 331-9830, Website: