IMPACT Silver Corp.

IMPACT Silver Corp.

October 18, 2006 12:12 ET

IMPACT Silver Options Three Projects to Yale Resources

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 18, 2006) - IMPACT Silver Corp. ("IMPACT") (TSX VENTURE:IPT) is pleased to announce that it has optioned 65% interest in its wholly owned San Sabino, Salvador and San Jose Projects to Yale Resources Ltd. (TSX VENTURE:YLL). The three properties, collectively called the Zacatecas Venture, are all located in the historic Zacatecas Mining District in Mexico.

This agreement allows Yale to acquire a 65% interest in the properties by reimbursing to IMPACT the property purchase costs and spending a minimum of US$100,000 on exploration including a 500-meter drill program on each property within 18 months. Yale will then have an option to increase its interest to 80% in each property by paying IMPACT US$125,000 in either cash or shares, at IMPACT's discretion. IMPACT will be the operator and retain a 20% carried interest in each project.

IMPACT is currently developing a base of operations surrounding the Veta Grande processing plant in Zacatecas. By partnering with others to take on work commitments, IMPACT is significantly accelerating its growth strategy in Zacatecas while still retaining significant interests in a continuously growing portfolio of projects. In the coming months IMPACT expects to announce additional acquisitions, some of which will remain entirely in the IMPACT portfolio while others will be offered for joint venture.

IMPACT Silver Corp. is a Tier 1 silver focused mining and exploration company with two producing silver mines at Zacualpan, Mexico; an advanced-stage silver project at Zacatecas, Mexico; and, other projects in the Dominican Republic. Energold Drilling Corp. (TSX VENTURE:EGD) owns 6.6 million shares of IMPACT.

On behalf of the Directors of IMPACT Silver Corp.

Frederick W. Davidson, President, CEO

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.

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