May 14, 2010 / 9:48 PM / 8 years ago

UPDATE 1-Ivanhoe Mines' loss widens on conversion charge

* Oyu Tolgoi mine to open in 2013 (In U.S. dollars unless noted)

TORONTO, May 14 (Reuters) - Ivanhoe Mines (IVN.TO), which owns the Oyu Tolgoi copper-gold deposit in Mongolia, said on Friday its first-quarter net loss more than tripled, due largely to a $154 million loss on the conversion of a convertible credit facility.

The Canadian company, which is developing Oyu Tolgoi but does not yet mine from it, lost $193.9 million, or 45 cents a share, compared with a year-before loss of $56 million, or 15 cents a share.

Revenue rose to $13.9 million from $3.5 million, thanks to coal sales at the company’s SouthGobi Energy Resources (SGQ.TO) subsidiary.

Earlier in the week, Ivanhoe unveiled an updated plan for Oyu Tolgoi.

The company expects the mine to produce 1.2 billion pounds (544,000 tonnes) of copper and 650,000 ounces of gold annually over its first 10 years after it begins production in 2013.

Rio Tinto (RIO.L) owns a minority stake in Ivanhoe, while the Mongolian government owns 34 percent of the mine. (Reporting by Cameron French; editing by Rob Wilson)

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