Vancouver, B.C., July 17, 2023 – Entrée Resources Ltd. (TSX:ETG; OTCQB:ERLFF – the “Company” or
“Entrée”) wishes to respond to comments made by its joint venture partner Oyu Tolgoi LLC (“OT LLC”)
and Rio Tinto at an investor site visit to the Oyu Tolgoi copper mine in Mongolia on July 11, 2023. During
the Q&A session when asked about the Entrée/Oyu Tolgoi joint venture, representatives of OT LLC and
Rio Tinto stated that the parties were “nearing the close of the negotiations”, and “finalizing the final
touches on the definitive agreement”. The transcript of the Q&A session has been made available to the markets via Rio Tinto’s website.
As previously disclosed, Entrée has been engaged in negotiations with OT LLC and Rio Tinto to amend or
restructure the joint venture agreement (“Entrée/Oyu Tolgoi JVA”) that has governed the relationship
between the parties since 2008 and transfer the Shivee Tolgoi and Javhlant mining licenses to OT LLC as
contemplated in the Entrée/Oyu Tolgoi JVA. The Company believes that amending or restructuring the
Entrée/Oyu Tolgoi JVA to align the interests of all stakeholders would be in the best interests of the
Company and its shareholders, provided there is no material net erosion of value to Entrée.
While the parties have made good progress, several key items still need to be resolved before any
definitive agreement could be finalized or signed, including with respect to the potential acquisition by
the Government of Mongolia of 34% of the Company’s economic interest in the Entrée/Oyu Tolgoi joint
venture property (“Entrée/Oyu Tolgoi JV Property”). The Minerals Law of Mongolia provides the State
may share in up to 34% of the economic benefit derived from exploitation of a mineral deposit of
strategic importance where proven reserves were determined through funding sources other than the
State budget. The Hugo North Extension copper-gold deposit on the Shivee Tolgoi mining license and the
Heruga copper-gold-molybdenum deposit on the Javhlant mining license are mineral deposits of
strategic importance.
The Company will provide further updates on negotiations as developments warrant. Any amendment
to or restructuring of the Entrée/Oyu Tolgoi JVA would be subject to Toronto Stock Exchange acceptance
and the requirements of Multilateral Instrument 61-101 – Protection of Minority Security Holders in
Special Transactions applicable to a related party transaction. There are no assurances that a definitive
agreement will be signed, or if signed, that a transaction would close.
ABOUT ENTRÉE RESOURCES LTD.
Entrée Resources Ltd. is a well-funded Canadian mining company with a unique carried joint venture
interest on a significant portion of one of the world’s largest copper-gold projects – the Oyu Tolgoi project
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in Mongolia. Entrée has a 20% or 30% carried participating interest in the Entrée/Oyu Tolgoi joint venture,
depending on the depth of mineralization. Horizon Copper Corp. and Rio Tinto are major shareholders of
Entrée, beneficially holding approximately 25% and 16% of the shares of the Company, respectively. More
information about Entrée can be found at www.EntreeResourcesLtd.com