Imperial Metals Corporation

Imperial Metals Corporation

November 27, 2006 10:04 ET

CORRECTION FROM SOURCE: Imperial Reports on Giant Copper Exploration

A correction from source is issued with respect to the release sent out this morning at 8:45 ET. A paragraph concerning the qualified person was added. The corrected version follows.

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 27, 2006) - Imperial Metals Corporation (TSX:III) reports the results from the first of two diamond drill holes completed at the wholly owned Giant Copper property located east of Hope, BC.

The Giant Copper property hosts a mineralized breccia pipe, called the AM Zone, that has surface dimensions of approximately 200 by 300 metres and has been traced to a depth of approximately 550 metres.

The current phase of drilling was designed to test the depth extent of previously known high grade mineralization in the northern rim (north nose) of the breccia pipe. Earlier drilling and underground development defined this copper-gold-silver mineralization to a depth of at least 550 metres below surface with no indication of a decrease in strength or extent at that depth. Historic exploration work in the southern and central portions of the breccia pipe were less extensive, and indicated that grades were lower in those areas.

Hole GCS06-01 was collared just south of the known breccia and was intended to drill through the lower grade southern and central portions of the AM Zone breccia, targeting the depth extension of higher grade north nose of the breccia. The hole was terminated at 344.2 metres, still in the southern portion of the breccia and short of the target, due to difficult drilling conditions. Assays received for this hole are as follows:

Inter- Inter- Inter-
Total val val val
Drill Length from to Length Cu Au Ag Mo
Hole # Az Dip (m) (m) (m) (m) % g/t g/t %
GCS06-01 293 -73 344.2 47.5 - 344.2 296.7 0.53 0.20 13.44 0.027
degrees degrees
including 47.5 - 257.9 210.3 0.71 0.27 17.33 0.037
and 53.6 - 99.4 45.7 1.08 0.43 18.73 0.036
and 105.5 - 163.1 57.6 0.73 0.34 20.55 0.093
and 206.0 - 257.9 51.8 0.95 0.28 24.88 0.003
GCS06-02 265 -74 868.4 assays pending
degrees degrees

A drill plan is available on the Company's website

From the point at which hole GCS06-01 entered the mineralized breccia zone at 47.5 metres to the bottom of the hole at 344.2 metres, it intersected a 296.7 metre interval grading 0.53% copper, 0.201 g/t gold, 13.44 g/t silver and 0.027% molybdenum. A 45.7 metre long higher grade interval grading 1.08% copper, 0.43 g/t gold, 18.73 g/t silver and 0.036% molybdenum was encountered starting at 53.6 metres down hole, and may be part of a high grade rim of mineralization around the southern edge of the breccia. The results are of this hole are higher grade than expected in the southern portion of the breccia pipe, and further exploration of the area will be contemplated for 2007.

A second hole GCS06-02, collared 150 metres east the breccia pipe was designed to enter the zone approximately 475 metres down hole, and then cross the north end of the breccia body below the known mineralization, again intending to test the depth extent of mineralization, and was completed to a depth of 868.4 metres. Mineralized breccia was intercepted in this hole at a downhole depth of 200 metres, 275 metres earlier than expected. Assays for this hole will be released upon receipt.

Both drill holes were drilled at steep dips, and cross the near vertical breccia pipe so the true width of the intercepts are approximately 25% of the drill hole interval.

Steve Robertson, P.Geo. is the Qualified Person as defined by 43-101, and responsible for the preparation of the technical information in this release. Samples were analyzed by Acme Analytical Labs Ltd. in Vancouver, BC.

The 2,880 hectare Giant Copper property, located 220 kilometres east of Vancouver, hosts a copper-gold-silver-molybdenum hydrothermal system with associated breccia pipe and base metal veins. The property has a long history of exploration that includes more than 22,000 metres of drilling and 6 kilometres of underground workings. The property was the subject of a positive feasibility study in 1989 that was based on a reserve calculated at that time of 3.7 million tons grading 1.08% copper, 0.47 g/t gold, 19.18 g/t silver and 0.010% molybdenum, including 15% mining dilution. That reserve calculation is not NI43-101 compliant as it was estimated before these regulations were enacted, and were almost exclusively contained in the north nose of the AM Zone breccia pipe. The majority of the pre-1989 drilling was not assayed for molybdenum, so distribution of molybdenum in the AM Zone is not well defined, but is significant in some areas based on the results from hole GSC06-01 which intercepted 296.7 metres of 0.027% molybdenum along with copper, gold and silver mineralization. Imperial intends to continue exploration of the AM Zone in 2007 to increase reserves and reassess the feasibility of the project under updated market conditions.

Imperial is a mine development and operating company based in Vancouver, British Columbia. The Company's key properties are the Mount Polley open pit copper/gold producing mine (100% interest) in central British Columbia, the Huckleberry open pit copper/molybdenum producing mine (50% interest) in northern British Columbia, and the development stage Sterling gold mine (100% interest) in southwest Nevada.

Contact Information

  • Imperial Metals Corporation
    Brian Kynoch
    (604) 669-8959
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    Imperial Metals Corporation
    Patrick McAndless
    VP Exploration
    (604) 488-2665
    Imperial Metals Corporation
    Sabine Goetz
    Investor Relations
    (604) 488-2657