Ivanhoe Energy announces sale of Pan-China Resources Ltd.

          Ivanhoe Energy announces sale of Pan-China Resources Ltd.

PR Newswire

CALGARY, Nov. 21, 2012

Corporate transaction supports strategy and bolsters balance sheet

CALGARY, Nov. 21, 2012 /PRNewswire/ - Ivanhoe Energy Inc. (TSX: IE; NASDAQ:
IVAN) announced today that it has signed a Share Purchase and Sale Agreement
with MIE Holdings Corporation (MIE) for all of the outstanding shares of its
indirect, wholly owned subsidiary, Pan-China Resources Ltd., in exchange for a
cash consideration of USD$45 million. Pan-China Resources holds 100 per cent
of the foreign contractor's rights for the Dagang Production Sharing Contract.

MIE is publicly traded on the Hong Kong Stock Exchange and specializes in  oil 
and gas exploration, development and production. The Company is headquartered
in Hong Kong and has operations in China, the United States and Kazakhstan.

The transaction has an effective date of September 30, 2012 and is subject  to 
standard industry closing conditions, including  a USD$5 million hold-back  of 
the total consideration  that is payable  six months from  the closing  date. 
Anticipated closing will be within 30 days.

The divestiture of  Pan-China Resources  aligns with the  renewed strategy  of 
Ivanhoe Energy.  The Company  continues  to execute  a comprehensive  plan  to 
strengthen  its  balance  sheet  and  focus  resources  on  its  patented  and 
proprietaryHeavy to Light Technology  (HTL) and a  core group of  high-growth 
potential heavy oil assets.

The Company's current priorities include divesting Zitong and Pan-China
Resources, securing regulatory approval for the Tamarack project in Canada,
establishing partnerships to develop Tamarack and Block 20 in Ecuador and
completing mid-stream partnerships that support the commercialization of HTL.

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Ivanhoe Energy is an independent international heavy oil exploration and
development company focused on pursuing long-term growth in its reserves and
production using advanced technologies, including its proprietary heavy oil
upgrading process (HTL^TM). Core operations are in Canada, United States,
Ecuador, China and Mongolia, with business development opportunities
worldwide. Ivanhoe Energy trades on the Toronto Stock Exchange with the ticker
symbol IE and on the NASDAQ Capital Market with the ticker symbol IVAN.

For   more   information    about   Ivanhoe   Energy    Inc.   please    visit 
www.ivanhoeenergy.com.

FORWARD-LOOKING STATEMENTS: This document includes forward-looking statements,
including forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Forward-looking statements include,
but are not limited to the potential for commercialization and future
application of the heavy oil upgrading technology and other technologies,
statements relating to the continued advancement of Ivanhoe Energy's projects,
statements relating to the timing and amount of proceeds of agreed upon and
contemplated disposition transactions, statements relating to anticipated
capital expenditures, statements relating to the timing and success of
regulatory review applications, and other statements which are not historical
facts. When used in this document, the words such as "could," "plan,"
"estimate," "expect," "intend," "may," "potential," "should," and similar
expressions relating to matters that are not historical facts are
forward-looking statements. Although Ivanhoe Energy believes that its
expectations reflected in these forward-looking statements are reasonable,
such statements involve risks and uncertainties and no assurance can be given
that actual results will be consistent with these forward-looking statements.
Important factors that could cause actual results to differ from these
forward-looking statements include the potential that the Company's projects
will experience technological and mechanical problems, new product development
will not proceed as planned, the HTL^TM technology to upgrade bitumen and
heavy oil may not be commercially viable, geological conditions in reservoirs
may not result in commercial levels of oil and gas production, the
availability of drilling rigs and other support services, uncertainties about
the estimates of reserves, the risk associated with doing business in foreign
countries, environmental risks, changes in product prices, our ability to
raise capital as and when required, our ability to complete agreed upon and
planned asset dispositions, competition and other risks disclosed in Ivanhoe
Energy's 2011 Annual Report on Form 10-K filed with the U.S. Securities and
Exchange Commission on EDGAR and the Canadian Securities Commissions on SEDAR.

SOURCE Ivanhoe Energy Inc.

Contact:

Hilary McMeekin
Manager, Corporate Communications
(403) 817 1108
hmcmeekin@ivanhoeenergy.com
 
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