Ivanhoe Electric and SQM Enter into Typhoon(TM) Driven Mineral Exploration and Collaboration Agreement in Chile to Explore for New Copper Deposits Beneath Electrically Resistive Caliche

The most recent news release (January 27, 2026) announces a Collaboration and Exploration Agreement between Ivanhoe Electric (IE) and Sociedad Química y Minera de Chile (SQM). SQM has committed $9 million over an initial three-year term to fund exploration on 2,002 km2 of its mining concessions in northern Chile. IE will provide its proprietary Typhoon geophysical survey system and CGI data inversion software. If a "Qualifying Copper Deposit" (at least 1 million tonnes of contained copper or equivalent) is identified, IE has the option to form a 50/50 joint venture by paying twice SQM's exploration expenditures to date. SQM will retain operational roles in drilling and potential future management.

The agreement is materially positive for several reasons: - Validation of Proprietary Tech: The partnership with SQM, a top-tier global miner, provides high-level validation of IE’s Typhoon technology. - Low-Cost Entry: SQM is funding the first $9 million of exploration. IE gains access to a massive land package (2,002 km2) in one of the world's premier copper jurisdictions with minimal upfront capital outlay. - Strategic Diversification: This adds a high-potential Chilean leg to IE’s portfolio, which is currently concentrated in Arizona (Santa Cruz) and Saudi Arabia (Ma’aden JV). - Success-Based Commitment: IE only has to commit significant capital (the 2x expenditure payment) after a significant discovery (1M tonnes Cu) is confirmed. - Comparison to Projections: This follows the pattern of the Saudi JV with Ma'aden, showing management is successfully executing its "technology-driven exploration" business model globally.

Ivanhoe Electric is a US-based mineral exploration and development company led by Robert Friedland. - Flagship Project: Santa Cruz Copper Project (Arizona, USA). - Status: Pre-Feasibility Study (PFS) completed June 2025. - PFS Economics: $1.38B After-tax NPV8 and 20% IRR (at $4.25/lb Cu). - Operation: Underground 100% heap leach operation producing copper cathode on-site. - Production Target: 2028 start, with a 23-year mine life producing 1.4 million tonnes of copper.