Ivanhoe Electric Inc. provided an update on ongoing infill and exploration drilling and technical work at the Santa Cruz Copper Project, located west of Casa Grande, Arizona. 37 development drill holes totaling 25,176 meters have been drilled at the Santa Cruz and East Ridge Deposits since the release of the September 2023 Initial Assessment. The December 2022 Mineral Resource Estimate that formed the basis for the September 2023 Initial Assessment was modeled from 153,000 meters of drilling in 170 diamond drill holes.

Since the effective date of the 2022 Mineral Resource Estimate, Ivanhoe Electric has completed an additional 76 drill holes, totaling 55,964 meters, with 25,176 meters drilled since the September 2023 Initial Assessment. Drilling activity at Santa Cruz ramped up in Fourth Quarter 2023, with eight rigs drilling nearly 10,000 meters in November alone. Recent drilling at Santa Cruz has confirmed the presence of high-grade soluble copper within mineralized oracle granite in an area that was previously classified as an exotic domain within the 2022 Mineral Resource estimate.

The Verde Domain has higher grades, better rock mass conditions and lower water flow rates compared to previous modeling. The improved ground characteristics combined with higher copper grades provide upside potential in terms of possible mining method, mining rate, and metallurgical recovery compared to what was modeled for this area in the Initial Assessment. The opportunity to mine the Verde Domain in the relatively early years is being studied; this has the potential to accelerate capital payback and boost project economics.

The mineralization intersected within the Verde Domain in drill hole SCC-125 includes: 66 meters @ 2.85% total copper from 595 meters, including 56.75 meters @ 3.22% total copper from 598 meters High-grade intersections within SCC-125 include 17.05 meters @ 4.69% total copper from 602 meters and 11 meters @ 4.87% total copper from 626 meters The Initial Assessment is based on 105.2 million tonnes of modeled mill feed from the current indicated and inferred mineral resource with an average grade 1.58% total copper. The goal of the current development drilling program is to increase the quality and confidence of the indicated mineral resource in order to convert a greater portion of resources to probable mineral reserves as part of the Prefeasibility Study. In 2023, the company completed 76 drill holes in support of this conversion effort.

The Texaco Ridge Exploration Area was identified by Ivanhoe Electric's proprietary Typhoon? 3D Induced Polarization Survey in September 2022. Ivanhoe Electric drilled 10 holes totaling 8,606 meters with a single rig at Texaco Ridge during the first half of 2023.

The intention of this drilling was to step out into areas beyond the drilled Texaco Deposit that showed high mineralization potential based on Typhoon? survey results. Hole SCC-122 at Texaco Ridge intersected broad primary sulfides with an intercept of 327 meters @ 0.81% total copper (from 564 meters), using a 0.39% total copper cut-off.

This intercept includes several zones at the same 0.8% total copper cut-off grade as the nearby Texaco mineral resource: a chalcocite-enriched zone of 18 meters @ 1.65% total copper (from 564 meters) a primary sulfide zone of 28 meters @ 0.91% total copper (from 604 meters depth) a primary sulfide zone of 49 meters @ 0.86% total copper (from 682 meters depth) a primary sulfide zone of 63 meters @ 0.89% total copper (from 797 meters depth) Step-out drilling to the southwest has intersected high-grade soluble copper that remains open. Drill hole SCC-135 includes several zones of soluble copper mineralization at the same 0.8% total copper cut-off grade as the nearby Texaco Mineral Resource: 12.75 meters @ 2.02% total copper (1.97% total soluble copper) from 649 meters depth 6.37 meters @ 2.50% total copper (2.48% total soluble copper) from 667 meters depth Step-out drilling to the northeast, highlighted by drill hole SCC-133, has intersected a broad intercept of enriched sulfide material containing 67 meters @ 0.90% total copper (0.57% total soluble copper) from 615 meters. Exploratory drilling at the Texaco Deposit area has also demonstrated the potential expansion of the primary sulfide area.

Drill hole SCC-144, drilled just outside the edge of the December 2022Texaco mineral resource, intersected a thick intercept dominated by primary sulfides including 191.75 meters @ 0.73% total copper (from 619 meters depth) using a 0.39% total copper cut-off. This includes several intercepts at the same 0.8% cut-off grade of the nearby Texaco Resource: A soluble zone of 22.36 meters @ 0.92% total copper (0.88% soluble copper) from 625 meters depth A primary sulfide zone of 40 meters @ 1.09% total copper from 712 meters depth A primary sulfide zone of 13.64 meters @ 0.99% total copper from 768.80 meters depth SCC-144's position over 300 meters southwest from SCC-019, and outside the Texaco Indicated and Inferred Resources, demonstrates the potential for new zones of high-grade primary sulfide in the Texaco Deposit area.