Canadian miner Ivanhoe Mines on Wednesday announced a $500-million investment from sovereign wealth fund Qatar Investment Authority (QIA).

Under the terms of the private placement, Ivanhoe will issue 57.5-million common shares to QIA at C$12.00 a share, raising gross proceeds of about $500-million. On completion, QIA will hold about 4% of Ivanhoe’s issued and outstanding shares.

Ivanhoe said the proceeds would be directed towards exploration, project development and mining of critical minerals, as well as for general corporate purposes.

Executive co-chairperson Robert Friedland said the investment underscored confidence in the company’s long-term strategy.

“This landmark investment by the Qatar Investment Authority is a powerful endorsement of Ivanhoe Mines' vision to be a leading supplier of critical metals that will drive the electrification of the global economy, development of new energy infrastructure, and growth of advanced technologies like large-scale data centres and AI,” said Friedland.

“QIA's forward-looking vision is fully aligned with our own, as well as that of our other long-term strategic investors. We look forward to building this partnership together for years to come.

“Ivanhoe's journey is only just beginning, as we search the globe for our next discoveries and opportunities to develop new Tier 1 mines. QIA's investment will be instrumental in opening up new horizons. Together, we are building an extraordinary partnership of global scale — one that combines world-class resources and shared commitment to sustainable prosperity.”

QIA CEO Mohammed Saif Al-Sowaidi said the transaction reflected the fund’s support for Ivanhoe’s critical minerals strategy.

“This strategic investment reflects QIA's conviction not only in Ivanhoe Mines' world-class portfolio of Tier 1 assets, but more importantly, in supporting its team in finding, developing, and sustainably supplying the critical minerals essential to the global energy transition and advanced technology applications.”

The investment remains subject to customary closing conditions, including TSX approval. On completion, QIA and Ivanhoe will enter into an investor rights agreement giving the sovereign wealth fund rights customary for such a deal, including board representation should its stake rise above 10% and anti-dilution rights.

Existing strategic shareholders CITIC Metal Africa Investments and Zijin Mining Group will also have the right to acquire Ivanhoe shares at the same price to maintain their pro rata holdings.

Ivanhoe and QIA said they also planned to collaborate on further strategic partnerships.

Ivanhoe’s key assets include the Kamoa-Kakula copper complex in the Democratic Republic of Congo (DRC), the ultrahigh-grade Kipushi zinc/copper/germanium/silver mine, also in the DRC, and the Tier 1 Platreef platinum group metals, gold and copper project in South Africa, scheduled to enter production in the fourth quarter of 2025.

The company is also advancing exploration in the DRC’s Western Forelands, as well as in Angola, Kazakhstan and Zambia.