SOURCE: Industrial Minerals Inc.

October 30, 2006 09:30 ET

Industrial Minerals, Inc. Establishes Advisory Board and Appoints First Member

TORONTO -- (MARKET WIRE) -- October 30, 2006 -- Industrial Minerals, Inc. (OTCBB: IDSM) (the "Company") advises it has established an Advisory Board and that Mr. Ron Simkus has been appointed as its first member, effective immediately. Mr. Simkus holds a Bachelor of Applied Science Degree (mining engineering/mineral processing option) from the University of Toronto in Ontario, Canada and has attended special training courses in Advanced Performance Management in Atlanta, Georgia in the United States and from the Banff School of Advanced Management in Alberta, Canada.

Cam Birge, President of Industrial Minerals, Inc. commented as follows: "Ron brings thirty-one years of experience in base metal ore processing technology and in the management of skilled operations, maintenance and engineering personnel. We are fortunate to have a person with Ron's experience, integrity and competence onboard."

Mr. Simkus is currently a Director of Eurozinc Mining Corporation and was Senior Vice-President - Mining for Corriente Resources Inc. until June 2006 where he guided the process of completing the feasibility study at the Mirador Copper-Gold Project in southeast Ecuador and facilitated the construction and operation of a 20,000 tonne per day plant at the site.

Previously he was President and CEO of Compania Minera Antamina based in Lima, Peru where he was responsible for transforming the Antamina Mine from a $2.3 billion project to a sustainable operation involving the areas of finance, logistics, marketing, occupational health and safety, corporate affairs and community relations/community development.

Mr.Simkus was also President and General Manager of the Highland Valley Copper Mine in British Columbia, Canada where he was accountable for a workforce of 1,048 people and an annual budget of $224 million including the areas of finance, sales and marketing.

The Company expects to make further announcements regarding appointments to its Advisory Board in the near future.

About Industrial Minerals, Inc.

Industrial Minerals Inc. through its wholly owned subsidiary Industrial Minerals Canada Inc., headquartered in Toronto, Ontario, Canada, owns 100% of the undivided interest in the Bissett Creek Graphite patented mineral lease, containing a resource of 640,000 tonnes of flake graphite on approximately 10% of the patented mineral lease that has been drilled to date. The property is comprised of 28 patented claims covering an area of approximately 504 hectares (1,245 acres). It has been the subject of substantial earlier exploration drilling, trenching and metallurgical test work by KHD Canada, Kilborn Engineering, Pincock Alan and Holt and Cominco Engineering Services. The property is located in Maria Township in the Province of Ontario, Canada. The property is one of the largest and purest natural flake graphite deposits in the world. The Company plans to become the leading producer of large flake crystalline graphite in North America and a prominent market participant internationally.

Safe Harbor Statement

All statements contained herein, as well as oral statements that may be made by the Company or by officers, directors or employees of the Company acting on the Company's behalf that are not statements of historical fact, constitute "forward-looking statements" and are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. Such risks and uncertainties are outlined in the Company's Annual Report on Form 10-K for 2005 as filed with the Securities and Exchange Commission. The Company is not obligated to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.

Contact Information