Ivanhoe Australia is building a profitable multi-mine, mid-tier mining company based initially on our tenements in the Cloncurry region. A key platform for growth is further success on our extensive portfolio of exploration prospects. The company is predominately focussed on copper and gold prospects and also molybdenum and rhenium prospects.

Ivanhoe Australia has assembled a significant package of Mineral Resources in the highly mineralised Cloncurry district, near Mount Isa, Queensland. The nature of the geological systems indicates potential metal production could be both multifaceted and long term. Exploration success so far has revealed a portfolio of copper, gold, molybdenum and rhenium Mineral Resources and Mineral Reserves.

Ivanhoe Australia has a producing copper-gold operation and a portfolio of development projects. The commencement of production from the Osborne Copper-Gold Project ahead of schedule in late February 2012 was an important strategic step for Ivanhoe Australia, moving the Company to producer status. This project has an initial four year mine life to 2015, with a number of resource extensions and prospects across Ivanhoe Australia's tenements identified as potential ore sources targeting a long term mine life.

The development portfolio contains two keys projects: Mount Elliott, Ivanhoe Australia's flagship project, which contains one of the largest copper-gold mineralised systems discovered in Australia and the Merlin Project which is based on the world's highest grade molybdenum and rhenium deposit.

The exploration program has two clear priorities. The first priority is to discover a new standalone economic copper project and the second priority is to identify economic deposits close to the Osborne operation with low capital development costs, solid copper grades to provide low cost mill feed to enhance the cost profile of the existing operation and extend the potential economic life of the operation.