Imperial Metals Corporation
TSX : III

Imperial Metals Corporation

January 30, 2007 17:05 ET

Imperial Raises Bid for bcMetals to C$1.50

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 30, 2007) - Imperial Metals Corporation (TSX:III) today announced that its wholly owned subsidiary, CAT-Gold Corporation, will increase its all-cash offer to acquire the outstanding common shares of bcMetals Corporation to $1.50 per share.

The expiry time for CAT-Gold's bid remains unchanged. The bid remains open for acceptance until 12:00 midnight (Pacific time) on Friday, February 9, 2007. The minimum tender condition of CAT-Gold's offer remains unchanged at 50% plus one of the outstanding common shares of bcMetals, on a fully diluted basis (but assuming cancellation of all out-of-the-money securities of bcMetals), inclusive of the common shares owned by CAT-Gold and its affiliates.

A notice of variation will be filed with applicable securities regulatory authorities and mailed to bcMetals' shareholders and holders of out-of-the-money securities today. The price of CAT-Gold's all-cash offer to purchase the outstanding out-of-the-money securities of bcMetals remains unchanged, at $0.02 per out-of-the-money security.

CAT-Gold's bid is financially superior to the unsolicited bid for the common shares and out-of-the-money warrants of bcMetals made by Taseko Mines Limited.

Imperial and its affiliates currently hold approximately 22% (9,299,894 shares) of the issued and outstanding common shares of bcMetals, on a fully diluted basis (but assuming cancellation of all out-of-the-money securities of bcMetals), compared to Taseko's approximately 5% holding (1,918,600 shares), on a similar fully diluted basis. Accordingly, less shares are required to be tendered into CAT-Gold's bid than are required to be tendered into Taseko's bid for the minimum tendering condition to be met.

In accordance with the terms of the Support Agreement between bcMetals, CAT-Gold and Imperial, CAT-Gold and Imperial have notified bcMetals of their offer to amend the Support Agreement and the terms of CAT-Gold's offer for the common shares and out-of-the-money securities of bcMetals on the terms set out in this press release, which more than "matches" the current Taseko offer.

Investors and security holders of bcMetals are urged to read the formal offer and takeover bid circular of CAT-Gold Corporation dated January 3, 2007, and any amendments thereto when they become available, as they contain important information. A copy of the formal offer and takeover bid circular will be available on Imperial's website www.imperialmetals.com, the SEDAR website www.sedar.com, or by direct request to Imperial.

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