##### Table of Contents



UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q

|           |  |                                                                                                                                     
|---------- |  | ------------------------------------------------------------------------------------------------------------------------------------
|(CHECKBOX) |  | Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934.For the quarterly period ended June 30, 2002
|or         |  |                                                                                                                                     
|(BOX)      |  | Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.
For the transition period from  to        
|          
|           |  | Commission file number 000-30586                                                                                                    



IVANHOE ENERGY INC.  (Exact name of registrant as specified in its charter)


| |                                                                             |  |                                                   
| | --------------------------------------------------------------------------- |  | --------------------------------------------------
| | Yukon, Canada(State or other jurisdiction of
incorporation or organization) |  | Not applicable(I.R.S. Employer
Identification No.)

Suite 654  999 Canada PlaceVancouver, British Columbia, CanadaV6C 3E1(Address of principal executive office)

(604) 688-8323(registrants telephone number, including area code)

Former Name, Former Address and Former Fiscal Year, if Change Since Last
Report:

Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.

Yes      (CHECKBOX)      No      (BOX)

The number of shares of the registrants capital stock outstanding as of June
30, 2002 was 144,630,818 Common Shares, no par value.

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TABLE OF CONTENTS



|                               |                                                                                               |  |  |  |  |  |  | 
|------------------------------ | --------------------------------------------------------------------------------------------- |  |  |  |  |  |  | 
|Part I  Financial Information
|                               | Item 1 Financial Statements                                                                  
|                               | Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations
|Part II  Other Information   
|                               | Item 1. Legal Proceedings: None                                                              
|                               | Item 2. Changes in Securities and Use of Proceeds: None                                      
|                               | Item 3. Defaults Upon Senior Securities: None                                                
|                               | Item 4. Submission of Matters To a Vote of Securityholders                                   
|                               | Item 5. Other Information: None                                                              
|                               | Item 6. Exhibits and Reports on Form 8-K                                                     
|Certificate of the CEO and CFO



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##### Table of Contents



TABLE OF CONTENTS

|        |  |                                                                  |  |  |    |      |  | 
|------- |  | ---------------------------------------------------------------- |  |  | -- | ---- |  | 
|        |  |                                                                  |  |  |    | Page
|PART I  |  | Financial Information                                            |  |  |    |     
|       
|Item 1  |  | Financial Statements                                             |  |  |    |     
|       
|        |  | Consolidated Condensed Balance Sheets at June 30, 2002           |  |  |    |     
|        |  | (unaudited) and December 31, 2001                                |  |  | 3  |     
|       
|        |  | Unaudited Consolidated Condensed Statements of Loss and          |  |  |    |     
|        |  | Deficit for the Three Month and Six Month Periods Ended June 30, |  |  |    |     
|        |  | 2002 and 2001                                                    |  |  | 4  |     
|       
|        |  | Unaudited Consolidated Condensed Statements of Cash Flow         |  |  |    |     
|        |  | for the Three Month and Six Month Periods Ended June 30,         |  |  |    |     
|        |  | 2002 and 2001                                                    |  |  | 5  |     
|       
|        |  | Notes to the Unaudited Consolidated Condensed Financial          |  |  |    |     
|        |  | Statements                                                       |  |  | 6  |     
|       
|Item 2  |  | Management's Discussion and Analysis of Financial Condition      |  |  |    |     
|        |  | and Results of Operations                                        |  |  | 8  |     
|       
|PART II |  | Other Information                                                |  |  |    |     
|       
|Item 1  |  | Legal Proceedings                                                |  |  | 13 |     
|       
|Item 2  |  | Changes in Securities and Use of Proceeds                        |  |  | 13 |     
|       
|Item 3  |  | Defaults Upon Senior Securities                                  |  |  | 13 |     
|       
|Item 4  |  | Submission of Matters To a Vote of Securityholders               |  |  | 13 |     
|       
|Item 5  |  | Other Information                                                |  |  | 13 |     
|       
|Item 6  |  | Exhibits and Reports on Form 8-K                                 |  |  | 13 |     

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Part I  Financial Information




Item 1 Financial Statements



IVANHOE ENERGY INC.
Consolidated Condensed Balance Sheets
(stated in thousands of U.S. Dollars)

|                                                      |  |               |         |                   |  |   |         |  
|----------------------------------------------------- |  | ------------- | ------- | ----------------- |  | - | ------- | -
|                                                      |  | June 30, 2002 |         | December 31, 2001
|                                                      |  | (unaudited)   |         | (audited)        
|                                                      |  |               |         |                  
|Assets                                                |  |               |         |                   |  |   |         |  
|Current Assets                                        |  |               |         |                   |  |   |         |  
|Cash                                                  |  | $             | 5,632   |                   |  | $ | 9,697   |  
|Accounts receivable                                   |  |               | 3,245   |                   |  |   | 1,938   |  
|Other                                                 |  |               | 228     |                   |  |   | 375     |  
|                                                      |  |               |         |                   |  |   |         |  
|                                                      |  |               | 9,105   |                   |  |   | 12,010  |  
|Long Term Assets                                      |  |               | 462     |                   |  |   | 397     |  
|Oil and gas properties, equipment and GTL investments |  |               | 99,523  |                   |  |   | 91,596  |  
|                                                      |  |               |         |                   |  |   |         |  
|                                                      |  | $             | 109,090 |                   |  | $ | 104,003 |  
|                                                      |  |               |         |                   |  |   |         |  
|Liabilities and Stockholders' Equity                  |  |               |         |                   |  |   |         |  
|Current Liabilities                                   |  |               |         |                   |  |   |         |  
|Accounts payable and accrued liabilities              |  | $             | 3,171   |                   |  | $ | 5,974   |  
|Convertible debenture                                 |  |               | 1,000   |                   |  |   | 1,000   |  
|                                                      |  |               |         |                   |  |   |         |  
|                                                      |  |               | 4,171   |                   |  |   | 6,974   |  
|                                                      |  |               |         |                   |  |   |         |  
|Provision for site restoration                        |  |               | 180     |                   |  |   | 132     |  
|                                                      |  |               |         |                   |  |   |         |  
|Shareholders Equity                                  |  |               |         |                   |  |   |         |  
|Share capital, issued 144,631,000 common shares;      |  |               |         |                   |  |   |         |  
|December 31, 2001 139,267,000                         |  |               | 130,862 |                   |  |   | 120,392 |  
|Deficit                                               |  |               | (26,123 | )                 |  |   | (23,495 | )
|                                                      |  |               |         |                   |  |   |         |  
|                                                      |  |               | 104,739 |                   |  |   | 96,897  |  
|                                                      |  |               |         |                   |  |   |         |  
|                                                      |  | $             | 109,090 |                   |  | $ | 104,003 |  
|                                                      |  |               |         |                   |  |   |         |  

(see accompanying notes)

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IVANHOE ENERGY INC.
Unaudited Consolidated Condensed Statements of Loss and Deficit
(stated in thousands of U.S. Dollars except per share data)

|                                                              |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|------------------------------------------------------------- |  | -------------- | ------- | -------------- |  | ---- | ------- | ---- |  | - | ------- |  |  | - | ------- | 
|                                                              |  | Three Months   |         | Six Months    
|                                                              |  | Ended June 30, |         | Ended June 30,
|                                                              |  |                |         |               
|                                                              |  | 2002           |         | 2001           |  | 2002 |         | 2001
|                                                              |  |                |         |                |  |      |         |     
|Revenue                                                       |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|Oil and gas revenue                                           |  | $              | 1,981   |                |  | $    | 2,278   |      |  | $ | 3,644   |  |  | $ | 4,433   | 
|Interest income                                               |  |                | 43      |                |  |      | 138     |      |  |   | 72      |  |  |   | 486     | 
|                                                              |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|                                                              |  |                | 2,024   |                |  |      | 2,416   |      |  |   | 3,716   |  |  |   | 4,919   | 
|                                                              |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|Expenses                                                      |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|Operating costs                                               |  |                | 1,012   |                |  |      | 1,073   |      |  |   | 1,868   |  |  |   | 2,015   | 
|General and administrative (including Project Identification) |  |                | 1,401   |                |  |      | 2,870   |      |  |   | 2,988   |  |  |   | 4,841   | 
|Depletion and depreciation                                    |  |                | 718     |                |  |      | 436     |      |  |   | 1,488   |  |  |   | 919     | 
|Provision for impairment                                      |  |                |        |                |  |      | 5,000   |      |  |   |        |  |  |   | 5,000   | 
|                                                              |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|                                                              |  |                | 3,131   |                |  |      | 9,379   |      |  |   | 6,344   |  |  |   | 12,775  | 
|                                                              |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|Net loss                                                      |  |                | 1,107   |                |  |      | 6,963   |      |  |   | 2,628   |  |  |   | 7,856   | 
|Deficit, beginning of period                                  |  |                | 25,016  |                |  |      | 3,266   |      |  |   | 23,495  |  |  |   | 2,373   | 
|                                                              |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|Deficit, end of period                                        |  | $              | 26,123  |                |  | $    | 10,229  |      |  | $ | 26,123  |  |  | $ | 10,229  | 
|                                                              |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|Net Loss per share                                            |  | $              | 0.01    |                |  | $    | 0.05    |      |  | $ | 0.02    |  |  | $ | 0.06    | 
|                                                              |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 
|Weighted Average Number of Shares (in thousands)              |  |                | 140,493 |                |  |      | 127,319 |      |  |   | 139,979 |  |  |   | 127,159 | 
|                                                              |  |                |         |                |  |      |         |      |  |   |         |  |  |   |         | 

(see accompanying notes)

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IVANHOE ENERGY INC.
Unaudited Consolidated Condensed Statements of Cash Flow
(stated in thousands of U.S. Dollars)

|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|--------------------------------------------------------- |  | -------------- | ------ | -------------- |  | ---- | ------- | ---- |  | - | ------- | - |  | - | ------- | -
|                                                          |  | Three Months   |        | Six Months    
|                                                          |  | Ended June 30, |        | Ended June 30,
|                                                          |  |                |        |               
|                                                          |  | 2002           |        | 2001           |  | 2002 |         | 2001
|                                                          |  |                |        |                |  |      |         |     
|Operating Activities                                      |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Net loss                                                  |  | $              | (1,107 | )              |  | $    | (6,963  | )    |  | $ | (2,628  | ) |  | $ | (7,856  | )
|Items not requiring use of cash                           |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Depletion and depreciation                                |  |                | 718    |                |  |      | 436     |      |  |   | 1,488   |   |  |   | 919     |  
|Provision for impairment                                  |  |                |       |                |  |      | 5,000   |      |  |   |        |   |  |   | 5,000   |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|                                                          |  |                | (389   | )              |  |      | (1,527  | )    |  |   | (1,140  | ) |  |   | (1,937  | )
|Changes in non-cash working capital items                 |  |                | (2,252 | )              |  |      | 3,455   |      |  |   | (2,376  | ) |  |   | 3,192   |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|                                                          |  |                | (2,641 | )              |  |      | 1,928   |      |  |   | (3,516  | ) |  |   | 1,255   |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Investing Activities                                      |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Capital spending                                          |  |                | (5,144 | )              |  |      | (13,627 | )    |  |   | (11,832 | ) |  |   | (25,735 | )
|Proceeds from sale of Daqing project                      |  |                |       |                |  |      |        |      |  |   | 1,200   |   |  |   |        |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|                                                          |  |                | (5,144 | )              |  |      | (13,627 | )    |  |   | (10,632 | ) |  |   | (25,735 | )
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Financing Activities                                      |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Shares issued on private placement                        |  |                | 9,964  |                |  |      |        |      |  |   | 9,964   |   |  |   |        |  
|Shares issued on exercise of options                      |  |                | 50     |                |  |      | 41      |      |  |   | 119     |   |  |   | 228     |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|                                                          |  |                | 10,014 |                |  |      | 41      |      |  |   | 10,083  |   |  |   | 228     |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Increase (Decrease) in cash for the period                |  |                | 2,229  |                |  |      | (11,658 | )    |  |   | (4,065  | ) |  |   | (24,252 | )
|Cash, beginning of period                                 |  |                | 3,403  |                |  |      | 17,100  |      |  |   | 9,697   |   |  |   | 29,694  |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Cash, end of period                                       |  | $              | 5,632  |                |  | $    | 5,442   |      |  | $ | 5,632   |   |  | $ | 5,442   |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Supplementary Information
Regarding Non-Cash Transactions |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Investing activities, net assets acquired:                |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Oil and gas properties                                    |  | $              |       |                |  | $    | 2,978   |      |  | $ |        |   |  | $ | 2,978   |  
|Accounts receivable                                       |  |                |       |                |  |      | 200     |      |  |   |        |   |  |   | 200     |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|                                                          |  | $              |       |                |  | $    | 3,178   |      |  | $ |        |   |  | $ | 3,178   |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Financing activities, non-cash:                           |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Shares issued as consideration                            |  | $              |       |                |  | $    | 3,178   |      |  | $ |        |   |  | $ | 3,178   |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Included in the above are the following:                  |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Interest paid                                             |  | $              | 18     |                |  | $    | 8       |      |  | $ | 35      |   |  | $ | 16      |  
|Decrease (increase) in non-cash working capital items     |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|Accounts receivable                                       |  | $              | (378   | )              |  | $    | (9      | )    |  | $ | (107    | ) |  | $ | 1,595   |  
|Other current assets                                      |  |                | 141    |                |  |      | 1,073   |      |  |   | 147     |   |  |   | 51      |  
|Accounts and note payable                                 |  |                | (2,015 | )              |  |      | 2,391   |      |  |   | (2,416  | ) |  |   | 1,546   |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  
|                                                          |  | $              | (2,252 | )              |  | $    | 3,455   |      |  | $ | (2,376  | ) |  | $ | 3,192   |  
|                                                          |  |                |        |                |  |      |         |      |  |   |         |   |  |   |         |  

(see accompanying notes)

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Notes to the Consolidated Condensed Financial Statements June 30, 2002

(all tabular amounts are expressed in thousands of United States
dollars except per share data) (Unaudited)



|1. |  | The unaudited consolidated condensed financial statements have
been prepared on a basis consistent with the accounting principles and
policies reflected in the December 31, 2001 consolidated financial
statements, except for a change in the policy of accounting for stock
based compensation plan (see note 4), and should be read in
conjunction therewith. The December 31, 2001 balance sheet was
derived from the audited consolidated financial statements, but does
not include all disclosures required by accounting principles
generally accepted in Canada and in the U.S. All adjustments which
are, in the opinion of management, necessary for a fair presentation
of the Companys financial position as at June 30, 2002 and December
31, 2001 and the results of operations and cash flows for the three
month and six month periods ended June 30, 2002 and 2001 have been
included. The results of operations and cash flows are not
necessarily indicative of the results for a full year.
|-- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|  
|   |  | The preparation of financial statements requires management to make
estimates and assumptions that affect the reported amounts and other
disclosure in these condensed consolidated financial statements.
Actual results may differ from those estimates.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|  
|2. |  | The consolidated condensed financial statements have been
prepared in accordance with generally accepted accounting principles
(GAAP) in Canada which conform to U.S. GAAP except as below:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     

Consolidated Condensed Balance Sheets

|                                |                                                                     |                     |        |                         |   |             |         |               |   |   |        |         |   |   |        |         |  
|------------------------------- | ------------------------------------------------------------------- | ------------------- | ------ | ----------------------- | - | ----------- | ------- | ------------- | - | - | ------ | ------- | - | - | ------ | ------- | -
|                                |                                                                     | As at June 30, 2002 |        | As at December 31, 2001
|                                |                                                                     |                     |        |                        
|                                |                                                                     | Oil and Gas         |        | Shareholders'           |   | Oil and Gas |         | Shareholders'
|                                |                                                                     | Properties          |        | Equity                  |   | Properties  |         | Equity       
|                                |                                                                     |                     |        |                         |   |             |         |              
|As reported under Canadian GAAP |                                                                     | $                   | 99,523 |                         |   | $           | 104,739 |               |   | $ | 91,596 |         |   | $ | 96,897 |        
|                                | Adjustment to ascribed value of shares
issued for royalty interests |                     |        | 1,358                   |   |             |         | 1,358         |   |   |        | 1,358   |   |   |        | 1,358   |  
|                                | Impairment provision for China properties                           |                     |        | (10,000                 | ) |             |         | (10,000       | ) |   |        | (10,000 | ) |   |        | (10,000 | )
|                                | Depletion adjustment  China                                        |                     |        | 38                      |   |             |         | 38            |   |   |        |        |   |   |        |        |  
|                                | GTL development costs written off                                   |                     |        | (6,491                  | ) |             |         | (6,491        | ) |   |        | (5,142  | ) |   |        | (5,142  | )
|                                |                                                                     |                     |        |                         |   |             |         |               |   |   |        |         |   |   |        |         |  
|U.S. GAAP                       |                                                                     | $                   | 84,428 |                         |   | $           | 89,644  |               |   | $ | 77,812 |         |   | $ | 83,113 |        
|                                |                                                                     |                     |        |                         |   |             |         |               |   |   |        |         |   |   |        |         |  

Under U.S. GAAP, the transfer of deficit to share capital, which occurred
during the year ended December 31, 1999, would not be recognized and would
comprise the following Shareholders Equity:

|                                            |  |         |          |             |  |   |          |  
|------------------------------------------- |  | ------- | -------- | ----------- |  | - | -------- | -
|                                            |  | June 30 |          | December 31
|                                            |  | 2002    |          | 2001       
|                                            |  |         |          |            
|Share capital (including adjustments above) |  | $       | 206,675  |             |  | $ | 196,205  |  
|Deficit (Including adjustments above)       |  |         | (117,031 | )           |  |   | (113,092 | )
|                                            |  |         |          |             |  |   |          |  
|                                            |  | $       | 89,644   |             |  | $ | 83,113   |  
|                                            |  |         |          |             |  |   |          |  

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Consolidated Condensed Statements of Loss and Deficit

|                                  |  |                                 |       |           |  |      |      |           |  |   |       |  |  |   |      | 
|--------------------------------- |  | ------------------------------- | ----- | --------- |  | ---- | ---- | --------- |  | - | ----- |  |  | - | ---- | 
|                                  |  | Six Month Periods Ended June 30
|                                  |  |                                
|                                  |  | 2002                            |       | 2001     
|                                  |  |                                 |       |          
|                                  |  | Net                             |       | Net Loss  |  | Net  |      | Net Loss 
|                                  |  | Loss                            |       | Per Share |  | Loss |      | Per Share
|                                  |  |                                 |       |           |  |      |      |          
|As reported under Canadian GAAP   |  | $                               | 2,628 |           |  | $    | 0.02 |           |  | $ | 7,856 |  |  | $ | 0.06 | 
|Depletion adjustment  China      |  |                                 | (38   | )         |  |      |     |           |  |   |      |  |  |   |     | 
|GTL development costs written off |  |                                 | 1,349 |           |  |      | 0.01 |           |  |   | 1,960 |  |  |   | 0.02 | 
|                                  |  |                                 |       |           |  |      |      |           |  |   |      
|U.S. GAAP                         |  | $                               | 3,939 |           |  | $    | 0.03 |           |  | $ | 9,816 |  |  | $ | 0.08 | 
|                                  |  |                                 |       |           |  |      |      |           |  |   |      

|                                  |  |                                   |       |           |  |      |      |           |  |   |       |  |  |   |      | 
|--------------------------------- |  | --------------------------------- | ----- | --------- |  | ---- | ---- | --------- |  | - | ----- |  |  | - | ---- | 
|                                  |  | Three Month Periods Ended June 30
|                                  |  |                                  
|                                  |  | 2002                              |       | 2001     
|                                  |  |                                   |       |          
|                                  |  | Net                               |       | Net Loss  |  | Net  |      | Net Loss 
|                                  |  | Loss                              |       | Per Share |  | Loss |      | Per Share
|                                  |  |                                   |       |           |  |      |      |          
|As reported under Canadian GAAP   |  | $                                 | 1,107 |           |  | $    | 0.01 |           |  | $ | 6,963 |  |  | $ | 0.05 | 
|Depletion adjustment  China      |  |                                   | (18   | )         |  |      |     |           |  |   |      |  |  |   |     | 
|GTL development costs written off |  |                                   | 719   |           |  |      | 0.01 |           |  |   | 927   |  |  |   | 0.01 | 
|                                  |  |                                   |       |           |  |      |      |           |  |   |      
|U.S. GAAP                         |  | $                                 | 1,808 |           |  | $    | 0.02 |           |  | $ | 7,890 |  |  | $ | 0.06 | 
|                                  |  |                                   |       |           |  |      |      |           |  |   |      

3.     The following tables present the Companys interim segment information:

|                                                              |  |                                  |       |       |  |       |       |      |  |       |       |       |  |   |       |  |  |   |       |   |  |   |       | 
|------------------------------------------------------------- |  | -------------------------------- | ----- | ----- |  | ----- | ----- | ---- |  | ----- | ----- | ----- |  | - | ----- |  |  | - | ----- | - |  | - | ----- | 
|                                                              |  | Six Month Periods Ended June 30:
|                                                              |  |                                 
|                                                              |  | 2002                             |       | 2001 
|                                                              |  |                                  |       |      
|                                                              |  | U.S.                             |       | China |  | Total |       | U.S. |  | China |       | Total
|                                                              |  |                                  |       |       |  |       |       |      |  |       |       |      
|Oil and gas revenue                                           |  | $                                | 2,305 |       |  | $     | 1,339 |      |  | $     | 3,644 |       |  | $ | 2,517 |  |  | $ | 1,916 |   |  | $ | 4,433 | 
|Interest income                                               |  |                                  | 72    |       |  |       |      |      |  |       | 72    |       |  |   | 486   |  |  |   |      |   |  |   | 486   | 
|                                                              |  |                                  |       |       |  |       |       |      |  |       |       |       |  |   |       |  |  |  
|                                                              |  |                                  | 2,377 |       |  |       | 1,339 |      |  |       | 3,716 |       |  |   | 3,003 |  |  |   | 1,916 |   |  |   | 4,919 | 
|                                                              |  |                                  |       |       |  |       |       |      |  |       |       |       |  |   |       |  |  |  
|Operating costs                                               |  |                                  | 1,170 |       |  |       | 698   |      |  |       | 1,868 |       |  |   | 1,013 |  |  |   | 1,002 |   |  |   | 2,015 | 
|Depletion and depreciation                                    |  |                                  | 897   |       |  |       | 591   |      |  |       | 1,488 |       |  |   | 851   |  |  |   | 68    |   |  |   | 919   | 
|Provision for impairment                                      |  |                                  |       |       |  |       |       |      |  |       |       |       |  |   | 5,000 |  |  |   |       |   |  |   | 5,000 | 
|                                                              |  |                                  |       |       |  |       |       |      |  |       |       |       |  |   |       |  |  |  
|                                                              |  |                                  | 2,067 |       |  |       | 1,289 |      |  |       | 3,356 |       |  |   | 6,864 |  |  |   | 1,070 |   |  |   | 7,934 | 
|                                                              |  |                                  |       |       |  |       |       |      |  |       |       |       |  |   |       |  |  |  
|Segmented (income) loss before
the following                  |  | $                                | (310  | )     |  | $     | (50   | )    |  |       | (360  | )     |  | $ | 3,861 |  |  | $ | (846  | ) |  |   | 3,015 | 
|                                                              |  |                                  |       |       |  |       |       |      |  |       |       |       |  |   |       |  |  |  
|General and administrative (including Project Identification) |  |                                  |       |       |  |       |       |      |  |       | 2,988 |       |  |   |       |  |  |   |       |   |  |   | 4,841 | 
|                                                              |  |                                  |       |       |  |       |       |      |  |       |       |       |  |   |       |  |  |  
|Net loss                                                      |  |                                  |       |       |  |       |       |      |  | $     | 2,628 |       |  |   |       |  |  |   |       |   |  | $ | 7,856 | 
|                                                              |  |                                  |       |       |  |       |       |      |  |       |       |       |  |   |       |  |  |  

|                                                              |  |                                    |       |       |  |       |     |      |  |       |       |       |  |   |       |  |  |   |       |   |  |   |       | 
|------------------------------------------------------------- |  | ---------------------------------- | ----- | ----- |  | ----- | --- | ---- |  | ----- | ----- | ----- |  | - | ----- |  |  | - | ----- | - |  | - | ----- | 
|                                                              |  | Three Month Periods Ended June 30:
|                                                              |  |                                   
|                                                              |  | 2002                               |       | 2001 
|                                                              |  |                                    |       |      
|                                                              |  | U.S.                               |       | China |  | Total |     | U.S. |  | China |       | Total
|                                                              |  |                                    |       |       |  |       |     |      |  |       |       |      
|Oil and gas revenue                                           |  | $                                  | 1,273 |       |  | $     | 708 |      |  | $     | 1,981 |       |  | $ | 1,256 |  |  | $ | 1,022 |   |  | $ | 2,278 | 
|Interest income                                               |  |                                    | 43    |       |  |       |    |      |  |       | 43    |       |  |   | 138   |  |  |   |       |   |  |   | 138   | 
|                                                              |  |                                    |       |       |  |       |     |      |  |       |       |       |  |   |       |  |  |  
|                                                              |  |                                    | 1,316 |       |  |       | 708 |      |  |       | 2,024 |       |  |   | 1,394 |  |  |   | 1,022 |   |  |   | 2,416 | 
|                                                              |  |                                    |       |       |  |       |     |      |  |       |       |       |  |   |       |  |  |  
|Operating costs                                               |  |                                    | 640   |       |  |       | 372 |      |  |       | 1,012 |       |  |   | 524   |  |  |   | 549   |   |  |   | 1,073 | 
|Depletion and depreciation                                    |  |                                    | 439   |       |  |       | 279 |      |  |       | 718   |       |  |   | 409   |  |  |   | 27    |   |  |   | 436   | 
|Provision for impairment                                      |  |                                    |      |       |  |       |    |      |  |       |       |       |  |   | 5,000 |  |  |   |      |   |  |   | 5,000 | 
|                                                              |  |                                    |       |       |  |       |     |      |  |       |       |       |  |   |       |  |  |  
|                                                              |  |                                    | 1,079 |       |  |       | 651 |      |  |       | 1,730 |       |  |   | 5,933 |  |  |   | 576   |   |  |   | 6,509 | 
|                                                              |  |                                    |       |       |  |       |     |      |  |       |       |       |  |   |       |  |  |  
|Segmented (income) loss before
the following                  |  | $                                  | (237  | )     |  | $     | (57 | )    |  |       | (294  | )     |  | $ | 4,539 |  |  | $ | (446  | ) |  |   | 4,093 | 
|                                                              |  |                                    |       |       |  |       |     |      |  |       |       |       |  |   |       |  |  |  
|General and administrative (including Project Identification) |  |                                    |       |       |  |       |     |      |  |       | 1,401 |       |  |   |       |  |  |   |       |   |  |   | 2,870 | 
|                                                              |  |                                    |       |       |  |       |     |      |  |       |       |       |  |   |       |  |  |  
|Net loss                                                      |  |                                    |       |       |  |       |     |      |  | $     | 1,107 |       |  |   |       |  |  |   |       |   |  | $ | 6,963 | 
|                                                              |  |                                    |       |       |  |       |     |      |  |       |       |       |  |   |       |  |  |  

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|4. |  | Share Capital
|-- |  | -------------



| |  | Following is a summary of the changes in share capital and stock options
outstanding for the six month period ended June 30, 2002:
| |  | ----------------------------------------------------------------------------------------------------------------------------------

|                                     |  |               |         |               |  |             |         |        |  |                |        |   |  |          |      | 
|------------------------------------ |  | ------------- | ------- | ------------- |  | ----------- | ------- | ------ |  | -------------- | ------ | - |  | -------- | ---- | 
|                                     |  | Common Shares |         | Stock Options
|                                     |  |               |         |              
|                                     |  |               |         |               |  |             |         |        |  |                |        |   |  | Weighted
|                                     |  |               |         |               |  |             |         |        |  |                |        |   |  | Average 
|                                     |  | Number        |         |               |  |             |         | Number |  | Exercise Price
|                                     |  | (thousands)   |         | Amount        |  | (thousands) |         | Cdn.$ 
|                                     |  |               |         |               |  |             |         |       
|Balance December 31, 2001            |  |               | 139,267 |               |  | $           | 120,392 |        |  |                | 8,635  |   |  | $        | 2.66 | 
|Shares issued on private placement   |  |               | 5,000   |               |  |             | 9,964   |        |  |                |        |   |  |          |      | 
|Shares issued on exercise of options |  |               | 163     |               |  |             | 119     |        |  |                | (163   | ) |  |          | 1.57 | 
|Shares issued for service            |  |               | 201     |               |  |             | 387     |        |  |                |        |   |  |          |      | 
|Options granted                      |  |               |         |               |  |             |         |        |  |                | 1,735  |   |  |          | 3.12 | 
|Options cancelled/forfeited          |  |               |         |               |  |             |         |        |  |                | (162   | ) |  |          | 3.15 | 
|                                     |  |               |         |               |  |             |         |        |  |                |        |   |  |          |      | 
|Balance June 30, 2002                |  |               | 144,631 |               |  | $           | 130,862 |        |  |                | 10,045 |   |  | $        | 2.75 | 
|                                     |  |               |         |               |  |             |         |        |  |                |        |   |  |          |      | 



| |  | On June 20, 2002, the Company granted a service provider a six month
stock option for the purchase of 250,000 shares at US$4.00 per share.                                                                                                                                                                                                                                                                                                                                                                                                      
| |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|
| |  | The Company accounts for its stock-based compensation plans using the
intrinsic-value of the options. Under this method, compensation costs
are not recognized in the financial statements for share options granted
to employees and directors when issued at market value.                                                                                                                                                                                                                                                                    
|
| |  | Effective January 1, 2002, Canadian accounting standards require
disclosure on a pro forma basis of the impact on net income of using the
fair value method for stock options issued on or after January 1, 2002.
Had compensation expense been determined based on the fair value at the
stock option grant date, computed in accordance with the Black-Scholes
option pricing model, the Companys net loss and net loss per share for
the six month period ended June 30, 2002 would have been $2.8 million and
$.02 per share, respectively.




Item 2.     Managements Discussion and Analysis of Financial Condition and Results of Operations

The following should be read in conjunction with the Companys consolidated
financial statements contained herein and in the Form 10-K for the year ended
December 31, 2001, along with Managements Discussion and Analysis of Financial Condition
and Results of Operations contained in such Form 10-K. Any terms used but not
defined in the following discussion have the same meaning given to them in the
Form 10-K.

Operations

Oil and gas revenues for the three month and six month periods ended June 30,
2002 were $2.0 million and $3.6 million, respectively. This is a decrease in
revenues of $0.3 million and $0.8 million, respectively, for the comparable
periods in 2001 primarily as a result of a decline in oil and gas prices. For
the quarter ended June 30, 2002 the loss was $1.1 million ($.01 per share)
compared to a loss of $7.0 million ($.05 per share) for the second quarter of
2001. Our net loss for the six months ended June 30, 2002 was

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$2.6 million
($.02 per share) compared to a net loss of $7.9 million ($.06 per share) during
the same period of 2001. The loss for the three months and six month periods
ended June 30, 2001 include a $5.0 million provision for impairment resulting
from a comparison of depletable capitalized oil and gas costs, which include
exploration costs, with a standardized measure of future net cash flows for our
U.S. properties.

Production

During the first six months of 2002, net production in the U.S. increased
approximately 16% over the same period in 2001. This increase is primarily
attributed to a 50% increase in production at South Midway Sunset, as a result
of drilling additional wells and execution of our pilot steam program
undertaken late in 2001 offset by a natural decline at Spraberry in addition to
an increase in downtime for routine maintenance and the workover of wells. The
full-scale cycle steam facilities for South Midway Sunset were completed as
scheduled in the second quarter of 2002 and to date we have cycle steamed five
wells. The wells are in various stages of response and we expect to realize
significantly higher production rates in the third quarter. By the end of the
third quarter we plan to have at least 11 wells responding to cycle steam
injection.

The overall decrease in production in China, for the first six months of 2002
compared to the same period in 2001, is primarily as a result of the sale of
our interest in the Daqing project in January 2002. We also regained an
additional 20% interest in the Dagang field from Nippon Oil in mid-2001.
However, net production from Dagang decreased 2%, due to a shut in of wells for
routine maintenance and workovers during the second quarter.

Operating costs in the U.S. are down 4% per barrel for the first six months of
2002 compared to the same period in 2001. Operating costs per barrel in the
South Midway Sunset have decreased 54% as a result of having installed
permanent production and electrical facilities during 2001. This decrease is
mostly offset by an increase in routine maintenance and workover costs in
Spraberry. Depletion costs per barrel in the U.S. have decreased 8% primarily
due to the impairment write-offs recorded in 2001.

During 2002 operating costs per barrel in China have decreased 40% compared to
the first six months of 2001 as a result of having installed electrical
facilities on certain wells in the Dagang field in late 2001. In addition, we
have benefited by operating efficiencies as the wells mature. For each of the
quarters presented in 2001 future development costs for China were
inadvertently excluded from the depletion calculation. Depletion for the first
six months of 2002 of $8.38 has increased $1.59 per barrel, compared to 2001,
primarily as a result of anticipated increases in Dagang future development
costs.

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Production and operating information are detailed below:

|                      |  |                                  |         |       |  |       |        |      |  |       |         |       |  |  |        |  |  |  |        |  |  |  |         | 
|--------------------- |  | -------------------------------- | ------- | ----- |  | ----- | ------ | ---- |  | ----- | ------- | ----- |  |  | ------ |  |  |  | ------ |  |  |  | ------- | 
|                      |  | Six Month Periods Ended June 30,
|                      |  |                                 
|                      |  | 2002                             |         | 2001 
|                      |  |                                  |         |      
|                      |  | U.S.                             |         | China |  | Total |        | U.S. |  | China |         | Total
|                      |  |                                  |         |       |  |       |        |      |  |       |         |      
|Net Production:       |  |                                  |         |       |  |       |        |      |  |       |         |       |  |  |        |  |  |  |        |  |  |  |         | 
|BOE                   |  |                                  | 112,208 |       |  |       | 70,445 |      |  |       | 182,653 |       |  |  | 97,100 |  |  |  | 76,341 |  |  |  | 173,441 | 
|BOE/day during period |  |                                  | 620     |       |  |       | 389    |      |  |       | 1,009   |       |  |  | 536    |  |  |  | 422    |  |  |  | 958     | 

|                             |  |         |       |         |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       | 
|---------------------------- |  | ------- | ----- | ------- |  | - | ----- |  |  | - | ----- |  |  | - | ----- |  |  | - | ----- |  |  | - | ----- | 
|                             |  | Per BOE |       | Per BOE
|                             |  |         |       |        
|Oil and gas revenue          |  | $       | 20.54 |         |  | $ | 19.01 |  |  | $ | 19.95 |  |  | $ | 25.92 |  |  | $ | 25.09 |  |  | $ | 25.56 | 
|                             |  |         |       |         |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       | 
|Operating costs              |  |         | 6.61  |         |  |   | 5.74  |  |  |   | 6.27  |  |  |   | 6.85  |  |  |   | 9.62  |  |  |   | 8.06  | 
|Production taxes             |  |         | 1.23  |         |  |   |      |  |  |   | 0.76  |  |  |   | 1.39  |  |  |   |      |  |  |   | 0.78  | 
|Engineering support          |  |         | 2.59  |         |  |   | 4.17  |  |  |   | 3.20  |  |  |   | 2.19  |  |  |   | 3.51  |  |  |   | 2.77  | 
|                             |  |         |       |         |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       | 
|                             |  |         | 10.43 |         |  |   | 9.91  |  |  |   | 10.23 |  |  |   | 10.43 |  |  |   | 13.13 |  |  |   | 11.62 | 
|                             |  |         |       |         |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       | 
|Net Revenue before depletion |  |         | 10.11 |         |  |   | 9.10  |  |  |   | 9.72  |  |  |   | 15.49 |  |  |   | 11.97 |  |  |   | 13.94 | 
|Depletion                    |  |         | 7.57  |         |  |   | 8.38  |  |  |   | 7.88  |  |  |   | 8.26  |  |  |   | 0.89  |  |  |   | 5.02  | 
|                             |  |         |       |         |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       | 
|Net Revenue from operations  |  | $       | 2.54  |         |  | $ | 0.72  |  |  | $ | 1.84  |  |  | $ | 7.23  |  |  | $ | 11.08 |  |  | $ | 8.92  | 
|                             |  |         |       |         |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       |  |  |   |       | 

General and Administrative Costs

General and administrative costs include project identification costs, which
are costs associated with pursuing and investigating new international projects
and the cost of investment banking services. General and administrative costs
for the first six months of 2002 were $3.0 million, down $1.8 million from the
same period in 2001, as a result of a reduction in project identification
activities.

Exploration and Development Activities

Spending on exploration and development activities during the first six months
of 2002 was $10.5 million, a decrease of $13.3 million over the $23.8 million
spent during the same period in 2001. U.S. spending was down $11.3 million in
the first six months of 2002, primarily due to a reduction in the drilling
program in Spraberry and the completion of our significant acreage acquisition
program in the Bossier Trend at the end of 2001. This is partially offset by an
increase in spending in California with the drilling of our deep gas well,
Northwest Lost Hills #1-22. Spending in China was down $2.0 million for the
first six months of 2002 as a result of the pilot test in Dagang being
completed in February 2001 and the sale of Daqing in January 2002.

We drilled one well in the Lone Star prospect of the Bossier Trend in the
second quarter of 2002 to a total depth of 11,800 feet. To date we have drilled
three wells to the Bossier sands, which were tested with disappointing results.
We plan to refocus our attention in the future on the shallower Cotton Valley,
Travis Peak, Pettet and Rodessa zones some of which had encouraging shows of oil and gas while drilling. These zones are
known to be prolific producers in the East Texas area.

The Northwest Hills # 1-22 deep gas well has been drilled to a depth of 20,458
vertical feet through the Phacoides section of the objective Temblor formation.
It now appears that the entire formation has been drilled. The well reached
the top of the Temblor in mid-April 2002 at approximately 17,000 vertical feet.
While drilling through the Temblor, several drilling breaks and natural gas
shows have been encountered indicating that the

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well could potentially be
completed as a producer. We are now waiting on the recommendations of the
Operator as to specific completion and testing operations. Ivanhoe owns a 42%
working interest in this well and may plan to seek a partner to fund its share
of the costs for completion and testing.

It is anticipated the final analysis of the three wells drilled in Kentucky
during 2001 will be completed in the third quarter. A decision will be made at
that time whether to further test one or more of the wells, seek farm-out
opportunities or to relinquish our interests.

At Dagang, we anticipate final approval of our overall development program in
the third quarter. The development program, as submitted, involves drilling 115
new wells and reworking approximately 29 of the 82 existing wells.

We continue our assessment of the Zitong and Yudong blocks within the Sichuan
Basin of China, under the joint feasibility studies entered into in 2001 with
PetroChina. We anticipate that a petroleum sharing agreement for the Zitong
block will be concluded by the end of the third quarter and the Yudong block
subsequently. These blocks, located in Sichuan Province approximately 930 miles
southwest of Beijing, cover an area of approximately 2.2 million acres.

Gas-to-Liquids Activities

Spending on GTL projects during the first six months of 2002 was $1.3 million,
a decrease of $0.6 million over the $1.9 million spent during the comparable
period in 2001. This decrease is due to the completion of technical and
commercial feasibility studies for both the Qatar and Egypt projects.

Negotiations in Qatar for an agreement to build a 185,000 barrels per day GTL
plant and 118,000 barrel per day natural gas liquids (NGL) plant have been
ongoing throughout the second quarter and are currently at an advanced and
detailed stage. We cannot guarantee, however, that such an agreement will be
realized.

In Egypt, we are currently reviewing and analyzing our proposal to the Ministry
of Petroleum for a 90,000 barrels per day plant. In Oman, we have made
preliminary proposals to the Ministry of Oil and Gas for plant sizes ranging
from 45,000  90,000 barrels per day.

We continue to work with the Mitsui, Inpex and other companies on a
commercialization study to investigate the optimum commercial structure for
utilization of GTL and NGL products produced in our planned Qatar project. The
study includes an in-depth market analysis in the Asia/Pacific region and the
development of a project financing plan utilizing Japanese resources.
Additionally, the study will include identifying the role that the Japanese
companies can play as purchasers of products, and suppliers of equipment,
materials and services.

In June 2002 we amended our Master License Agreement with Syntroleum, which
would reschedule payment of a portion of upfront site license fees on specific
milestone dates and the balance over the future revenues generated from the
Qatar GTL project, when realized.

Also, in June 2002 we signed a letter of intent with Syntroleum to participate
in the Syntroleum  U.S. Department of Energy Fuels Project at a cost of $5
million. The goal of the project is to establish GTL diesel and naphtha
production from a demonstration plant in such volumes so as to supply adequate
quantities to various GTL fuel field trials.

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Our participation in the study
allows us sufficient supplies of GTL diesel and naphtha to provide samples to
potential buyers as part of our worldwide marketing plan. Additionally, we
will have access to the demonstration plant for the purpose of gaining
operational experience and training future operations personnel. The DOE
project cost is to be reduced by the amount of our $2 million investment in
Syntroleums Sweetwater project in Australia, in which we have decided not to
participate.

Liquidity and Capital Resources:

Our 2002 capital expenditure budget is currently $45.0 million, of which $25.0
million is allocated to our exploration and development activities and an
additional $20.0 million is allocated to furthering our GTL activities. Actual
exploration and development expenditures in California and Texas will be
contingent upon our drilling success at Northwest Lost Hills and Bossier as
well as the approval of our overall development program in Dagang and
finalizing a petroleum sharing contract in Sichuan. GTL expenditures will be
primarily contingent upon the successful outcome of our negotiations in Qatar.
We may also elect to sell or farm out part of the participation levels we
currently are funding in our E&P and GTL programs or sell assets when
opportunities arise.

During the six months ended 2002 we raised $10.0 million through the issuance
of common shares. Additional funding will be required to complete our planned
2002 capital program through a combination of equity, debt and joint venture
partner participation. We cannot assure you that we will be successful in
raising the additional funds necessary or securing joint venture partners to
complete our capital programs. If we are unsuccessful, we will have to
prioritize our capital programs, which may result in delaying and potentially
losing some valuable business opportunities.

Forward-Looking Statements

With the exception of historical information, certain matters discussed in this
Form 10-Q are forward looking statements that involve risks and uncertainties.
Although the company believes that its expectations are based on reasonable
assumptions, it can give no assurance that its goals will be achieved.
Important factors that could cause actual results to differ materially from
those in the forward-looking statements herein include, but are not limited to,
the timing and extent of changes in commodity prices for oil, gas and
electricity, competition, environmental risks, drilling and operating risks,
uncertainties about the estimates of reserves and the potential success of
gas-to-liquids technology, the prices of goods and services, the availability
of drilling rigs and other support services, legislative and/or California
Public Utilities Commission decisions and government regulations.



|Item 3. |  | Quantitative and Qualitative Disclosures About Market Risk
|------- |  | ----------------------------------------------------------

There have been no material changes in our market risk exposure during the six
months
ended June 30, 2002 that would require an update to the disclosure in our
Annual
Report on Form 10-K, as filed with the SEC in March 2002.

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Part II  Other Information




Item 1.     Legal
Proceedings: None




Item 2.     Changes in Securities and Use of Proceeds: None




Item 3.     Defaults Upon Senior Securities: None




Item 4.     Submission of Matters To a Vote of Securityholders

On May 16, 2002 the annual meeting of the shareholders of the Company was held
in Vancouver, British Columbia.

An election of directors was held with the following individuals being
re-elected to the Companys board of directors:

|                    |  |                                                  
|------------------- |  | -------------------------------------------------
|David R. Martin     |  | (100,850,492 votes for and 54,495 votes withheld)
|                   
|Robert M. Friedland |  | (100,850,492 votes for and 54,495 votes withheld)
|                   
|E. Leon Daniel      |  | (100,850,492 votes for and 54,495 votes withheld)
|                   
|John A. Carver      |  | (100,850,492 votes for and 54,495 votes withheld)
|                   
|R. Edward Flood     |  | (100,850,492 votes for and 54,495 votes withheld)
|                   
|Shun-ichi Shimizu   |  | (100,850,492 votes for and 54,495 votes withheld)
|                   
|Howard Balloch      |  | (100,850,492 votes for and 54,495 votes withheld)

The only other matter voted upon at the annual meeting was the re-appointment
of Deloitte & Touche LLP as the Companys independent auditors at remuneration
to be fixed by the Companys board of directors (100,854,193 votes for and
10,669 votes withheld).




Item 5.     Other Information: None




Item 6.     Exhibits and Reports on Form 8-K

(a)      Exhibits

|              |  |                                                                          |  | 
|------------- |  | ------------------------------------------------------------------------ |  | 
|EXHIBITNUMBER |  | DESCRIPTION                                                              |  | 
|              |  |                                                                         
|99.1          |  | Certification by the Chief Executive Officer and Chief Financial Officer
|              |  | Relating to a Periodic Report Containing Financial Statements           
|             
|(b)           |  | Reports on Form 8-K.                                                    
|             
|              |  | None                                                                    

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SIGNATURE  Pursuant to the requirements of the Securities Exchange Act of 1934, the
Company has duly caused this report to be signed on its behalf by the
undersigned thereto duly authorized.


|                                                                                                            | 
|----------------------------------------------------------------------------------------------------------- | 
|IVANHOE ENERGY INC                                                                                          | 
|                                                                                                           
|By: /s/ John OKeefeName: John OKeefe
Title: Executive Vice-President and
         Chief Financial Officer
|                                                                                                           
|Dated: August 12, 2002                                                                                     

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INDEX TO EXHIBITS

|              |  |                                                                          |  | 
|------------- |  | ------------------------------------------------------------------------ |  | 
|EXHIBITNUMBER |  | DESCRIPTION                                                              |  | 
|              |  |                                                                         
|99.1          |  | Certification by the Chief Executive Officer and Chief Financial Officer











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