IMPACT Minerals International Inc.

IMPACT Minerals International Inc.

February 28, 2005 18:01 ET

IMPACT Minerals International Inc.: Drilling has Started-Four Target Areas to be Tested


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: IMPACT MINERALS INTERNATIONAL INC.

TSX VENTURE SYMBOL: IPT

FEBRUARY 28, 2005 - 18:01 ET

IMPACT Minerals International Inc.: Drilling has
Started-Four Target Areas to be Tested

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 28, 2005) - IMPACT
Minerals International Inc. ("IMPACT") (TSX VENTURE:IPT) is pleased to
announce that drilling has started on the Royal Mines of Zacualpan
Silver Project in central Mexico. This 2000m Phase 1 core-drilling
program will test four priority target areas. Drilling of other targets
developed by field crews and follow up of Phase 1 drill intersections is
planned for a Phase 2 drill program later in 2005. The four priority
Phase 1 drill targets were selected to test both advanced stage areas
with potential for near term production as well as some early stage
areas with "blue sky" exploration potential.

COMPADRES DRILL TARGETS

The high-grade Compadres Mine is located in the southeastern sector of
the large 125km2 property. Mining has recently begun on two levels 20m
apart and is being developed on a third by the current owner. Sampling
by IMPACT of the mine development to date in Silver Shoot #1 returned
values averaging 680g/t silver, 0.3g/t gold, 1.47% zinc and 0.80% lead
over 0.9m on Level 1 and a sample from Level 2 returned 5,730g/t silver,
0.63g/t gold, 7.71% zinc and 5.58% lead over 1.3m. Assays from Level 3
are pending. The first series of drill holes will test the down dip
extensions of Silver Shoot #1 to depths of between 35-75m below and 30m
northwest of the present mining to confirm continuity in size and
mineralization at depth and along strike. Another drill target located
200m to the southeast of Silver Shoot #1 will be tested for repetitions
of this shoot at a geologically similar structural setting in the
Compadres Vein.

CHAPARITA DRILL TARGET

The Chaparita drill target is located 90m east of the ongoing mine
development at Compadres allowing for easy mine access to any new
discoveries. Sampling of a small old inclined shaft as reported by
IMPACT in 2004 returned 447g/t silver and 0.31g/t gold across 2.2m.
Phase 1 drill holes will test the Chaparita Vein near surface and at
greater depth will test the geologically favourable projected
intersection of the Chaparita and Compadres Vein systems.

SANTIAGO DRILL TARGET

The Santiago drill target is located in the southeastern sector of the
property about 1 km north of the Compadres Mine. As reported in 2004
IMPACT crews collected seven chip samples along a 40m long portion of
the vein in old underground workings that averaged 235g/t silver and
0.31g/t gold across 0.9m (TW) ranging up to a high of 1,320g/t silver
and 0.99g/t gold across 0.3m (TW). A grab sample from a local small mine
dump returned 345g/t silver, 0.27g/t gold, 3.18% zinc and 0.67% lead.
Phase 1 drilling will test the extensions of this mineralization.

PROVIDENCIA DRILL TARGET

The Providencia drill target is located in the west-central sector of
the property near the base of Tunnel Hill named for its numerous old
mine workings. The historic Providencia mine stope was found by IMPACT
geologists late in 2004 in the course of underground mapping and
sampling. The stope occurs at the geologically favourable intersection
of three veins. Sampling of the vein inside the large 50x2x20m+ high
stope was not possible due to falling debris from old mine backfill
waste rock above. However the average of five samples collected from
other parts of the vein and its splays away from the stope averaged
281g/t silver and 0.9g/t gold across 0.85m (true width) and ranging up
to 760g/t silver and 1.7g/t gold across 0.9m (true width). A sample of
the old mine backfill waste material assayed 206g/t silver and 9.67g/t
gold. Drilling at Providencia will target the extension of the mine
stope below the water table, which does not appear to have been
disturbed by historic mining.

ENGINEERING STUDIES AND FIELD WORK

IMPACT has contracted consulting engineers to evaluate the mining and
metallurgical operations at Zacualpan. These engineering studies have
begun with initial visits to the operating sites for preliminary
assessments. Mapping, rock sampling and soil sampling are also
continuing on both advanced and early stage silver exploration targets
concurrent with the drilling and engineering studies. Significant
results from the engineering studies, fieldwork and drilling will be
reported as they are received and compiled.

PRODUCTION AND DEVELOPMENT

Under terms of IMPACT's option agreements, the Mexican companies may
continue mining and processing material from the properties until IMPACT
exercises its purchase options for the operations, contracts and
properties. Mining is presently continuing at the Cuchara Mine, has
begun at the high-grade Compadres Mine and has resumed on a modest
tonnage in the lower levels of the Guadalupe Mine. Material is trucked
from the mines to the central processing plant. Mining and processing is
often interrupted at Zacualpan due to lack of capital to maintain
continuous operations. IMPACT geologists periodically visit and sample
the active areas in the mines to keep directly informed of developments.
Significant results from IMPACT's work at the mines are reported as they
are received and compiled.

FUTURE PLANS

IMPACT is currently carrying out an extensive due diligence program of
legal and corporate investigations, engineering studies and exploration
work which will form the basis for making a purchase decision for the
Royal Mines of Zacualpan claims, operating mines and 500 tonne per day
processing plant lease. This work will likely continue through 2005. If
IMPACT decides to purchase the Zacualpan assets it would immediately
become a significant producer of silver as well as byproduct zinc, lead
and gold.

George Gorzynski, P.Eng., a Qualified Person under the meaning of
Canadian National Instrument 43-101, is responsible for the technical
content of this news release. Chip and channel samples were collected
from cleaned rock faces in old mine workings and from bedrock outcrops
over a continuous representative interval using a moil and hammer. A
total of 5% assay standards and blanks were inserted into every sample
shipment as a quality control measure. All samples were shipped to the
ALS Chemex preparation laboratory in Guadalajara (Mexico) where they
were fine crushed (70% passing a 2mm screen), pulverized (85% passing a
75 micron screen) and pulp split separated for assay by a riffle
splitter. These pulps were shipped to the ALS Chemex laboratory in North
Vancouver Canada where a 30 gram split of each was assayed for gold and
silver by standard fire assay and a 10 gram split was analyzed for an
additional 30 elements by ICP spectrometry.

IMPACT Minerals International Inc. is a silver focused exploration and
development company with projects in Mexico and the Dominican Republic.
IMPACT is 33% owned by Energold Mining Ltd. (TSX VENTURE:EGD).

On behalf of the Directors of IMPACT Minerals International Inc.

Frederick W. Davidson, President

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    IMPACT Minerals International Inc.
    Greg Werbowski
    Investor Relations
    (604) 516-9204
    inquiries@IMPACTminerals.com
    www.IMPACTminerals.com
    The TSX Venture Exchange has neither approved nor disapproved this news
    release.