Ivanhoe Mines announced yesterday that the company”s
Board of Directors has appointed Kay Priestly as Chief Executive Officer and
Chris Bateman as Chief Financial Officer.

The management changes were
contemplated by the memorandum of agreement signed with majority shareholder
Rio Tinto on April 18, 2012. The agreement included a comprehensive financing
package, which is intended to cover Ivanhoe”s total funding needs to complete
the development of the Oyu Tolgoi project.

Interim Chairman Michael Gordon
said, “On behalf of the Board, I would like to congratulate Kay and Chris
on their appointments as CEO and CFO, respectively. This is an important point
in Ivanhoe”s history as Oyu Tolgoi prepares for its planned start-up later this
year, transitioning from an exploration project to a world-class, tier one,
copper-gold mine and one of Mongolia”s largest mining operations.”

Ms. Priestly previously was a senior
executive at Rio Tinto and has served as a Director of Ivanhoe Mines since
February 2011. Most recently, she served as Chief Financial Officer of Rio
Tinto”s global Copper product group. Ms. Priestly joined Rio Tinto in 2006 as
Chief Financial Officer at Rio Tinto”s Kennecott Utah Copper operations. Ms.
Priestly also spent more than 24 years with global professional services firm
Arthur Andersen, where she provided tax and consulting services to global
companies in the energy and mining sectors and was a member of Andersen”s
global executive team. She also is a Non-Executive Director of Stone Energy
Corporation.

Mr. Bateman previously was a senior
executive of Rio Tinto and served as Chief Financial & Business Development
Officer of the company”s Diamonds and Minerals product group since 2010. In
2006, Mr. Bateman was appointed Chief Financial Officer at ASX-listed Energy
Resources of Australia. Prior to that, he held both commercial and operational
roles at Rio Tinto”s Kennecott Utah Copper operations. Mr. Bateman also spent
eight years at Arthur Andersen”s business consulting practice and worked as
Financial Planning and Analysis Director at Kaiser Aluminum.

Source: http://www.marketwatch.com