Imperial Metals Corporation
TSX : III

Imperial Metals Corporation

August 21, 2012 19:32 ET

Imperial Metals Corporation: Mount Polley Exploration Expands Springer Zone

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 21, 2012) - Imperial Metals Corporation (TSX:III) reports the latest results from 2012 Mount Polley exploration which confirm that copper/gold mineralization extends to depth below the bottom of the Phase 5 Springer pit. The drill program was focused below the north and central areas of the Springer pit. Some holes intersected long intervals of continuous mineralization. Hole SD12-132, a vertical hole from the bottom of the Springer pit, intercepted 432.5 metres grading 0.29% copper and 0.25 g/t gold starting at 22.5 metres below the current pit elevation. Springer zone exploration diamond drilling in 2012 has totalled 16,381 metres to the end of hole SD12-142.

This current drilling confirms the copper/gold mineralization identified by historic drilling below the south end of the Springer Phase 5 pit extends to the north. The drill program revealed long intercepts of copper/gold mineralization which expand the known mineralization to depths in excess of 500 metres below the Springer Phase 5 pit design in the north end. All drill holes reported in this area intersected one or more significant intervals of Springer style copper/gold mineralization. The deep mineralization is strongly dominated by sulphide minerals with an average ratio of 12.68% oxide copper to total copper in the reported intervals.

Most drilling was from the bottom of the Springer pit, however four drill holes (SD12-129, SD12-135, SD12-138 and SD12-140) were drilled from west of the pit and were designed to cut across beneath the planned Phase 5 Springer pit. Hole SD12-117 (ref: NR May 29/12) drilled at this orientation intersected 312.2 metres grading 0.30% copper and 0.31 g/t gold, including 70 metres grading 0.78% copper and 0.81 g/t gold. Current hole SD12-129 was collared 200 metres to the north at the same azimuth (90°) and dip (-50°) and encountered a similar zone of 400 metres grading 0.29% copper and 0.27 g/t gold, including a higher grade 87.5 metre zone of 0.40% copper and 0.45 g/t gold.

Intercepts from the Springer zone(1):

Springer
Drill Hole #
Total
Length
(m)
Interval
from
(m)
Interval
to
(m)
Interval
Length
(m)

Copper
%

Gold
g/t
SD12-129 831.2 302.5 702.5 400.0 0.29 0.27
including 420.0 507.5 87.5 0.40 0.45
SD12-130 762.6 137.8 215.0 77.2 0.22 0.34
SD12-131 741.3 35.0 217.5 182.5 0.39 0.40
and 387.9 635.0 247.1 0.29 0.31
SD12-132 587.4 22.5 455.0 432.5 0.29 0.25
SD12-133 599.2 6.1 57.5 51.4 0.42 0.60
and 95.0 129.9 34.9 0.40 0.56
SD12-134 372.5 100.0 110.0 10.0 0.38 0.32
SD12-135 544.4 85.0 175.0 90.0 0.26 0.19
and 290.0 535.0 245.0 0.21 0.17
SD12-136 406.0 15.0 97.5 82.5 0.33 0.28
and 262.3 302.5 40.2 0.26 0.43
SD12-137 500.5 42.5 292.5 250.0 0.23 0.22
including 42.5 190.0 147.5 0.26 0.28
SD12-138 655.9 335.0 510.0 175.0 0.26 0.25
SD12-139 592.8 6.1 312.5 306.4 0.25 0.27
and 367.5 460.0 92.5 0.21 0.29
SD12-140 592.8 422.5 445.0 22.5 0.27 0.26
and 522.5 540.0 17.5 0.27 0.24
and 572.5 592.8 20.3 0.32 0.23
SD12-141 783.9 6.1 87.5 81.4 0.23 0.23
and 105.0 322.5 217.5 0.28 0.34
and 437.5 705.0 267.5 0.27 0.27
SD12-142 355.0 492.3 137.3 0.25 0.24

The successful drilling below the Springer pit indicates high potential to extend known mineralization at depth below the adjacent Cariboo pit. The recently announced mine plan (ref: NR May 29/12), which will extend the mine life to 2023, includes mining laterally and at depth below the existing Cariboo pit in order to access deeper parts of Springer zone. Diamond drills are currently testing underexplored areas adjacent to the planned Cariboo pit.

The T zone, a new zone of mineralization was discovered approximately 500 metres to the north of the Springer pit. Drilling was undertaken in the area based on a geologic model that predicted a similar geologic environment to the area hosting mineralization at the now mined out Bell pit, as well as north Springer. Three holes were drilled in the T zone and all intersected short zones of copper/gold mineralization with similar grades to those seen in the Springer drilling. More work is needed to fully understand the T zone mineralization genesis, but hitting these intercepts in the first three holes is seen by the exploration group as an encouraging sign. A limited amount of trenching and pitting has also been completed, and a mapping crew has examined the zone and is compiling data for further analysis.

Intercepts from the T zone(1):

T zone
Drill Hole #
Total
Length
(m)
Interval
from
(m)
Interval
to
(m)
Interval
Length
(m)

Copper
%

Gold
g/t
TZ12-01 786.1 220.0 235.0 15.0 0.25 0.05
and 260.0 280.0 20.0 0.25 0.09
and 587.5 605.0 17.5 0.16 0.19
and 677.5 747.5 70.0 0.23 0.29
TZ12-02 483.7 157.5 180.0 22.5 0.17 0.23
TZ12-03 555.4 362.5 380.0 17.5 0.14 0.15
and 470.0 555.4 85.4 0.16 0.18
including 510.0 520.0 10.0 0.33 0.34

Steve Robertson, P.Geo., the designated Qualified Person as defined by National Instrument 43-101 for the exploration programs, has reviewed this news release. Mount Polley samples for the diamond drilling reported were analyzed at the Mount Polley mine laboratory and at Acme Analytical Laboratories in Vancouver. A full QA/QC program using blanks, standards and duplicates was maintained for all diamond drilling samples submitted to the labs. The porphyry and breccia related mineralized areas at Mount Polley are irregular in shape and true thicknesses have not been estimated.

Imperial is an exploration, mine development and operating company based in Vancouver, British Columbia. The Company operates the Mount Polley open pit copper/gold mine and has 50% interest in the Huckleberry open pit copper/molybdenum mine. Imperial is developing its wholly owned Red Chris copper/gold property and the Ruddock Creek lead/zinc property (65% joint venture) and is operator of its wholly owned Sterling gold heap leach property. All the Company's properties are located in British Columbia with the exception of Sterling which is in Nevada, USA.

Documents available on www.imperialmetals.com: (1) Springer pit drill plan; (2) Springer pit vertical section

CAUTIONARY NOTE REGARDING "FORWARD-LOOKING INFORMATION":

THIS NEWS RELEASE CONTAINS "FORWARD-LOOKING STATEMENTS" WITHIN THE MEANING OF CANADIAN AND UNITED STATES SECURITIES LAWS. EXCEPT FOR STATEMENTS OF FACT RELATING TO THE COMPANY, CERTAIN INFORMATION CONTAINED HEREIN CONSTITUTES FORWARD-LOOKING STATEMENTS.

WHEN WE DISCUSS CURRENT AND FUTURE EXPLORATION PROGRAMS, EXPLORATION RESULTS, AND EXPECTATIONS OR ASSUMPTIONS BASED ON THOSE RESULTS, WE ARE MAKING STATEMENTS CONSIDERED TO BE FORWARD-LOOKING INFORMATION OR FORWARD-LOOKING STATEMENTS UNDER CANADIAN AND UNITED STATES SECURITIES LAWS. WE REFER TO THEM IN THIS NEWS RELEASE AS FORWARD-LOOKING INFORMATION. THE FORWARD-LOOKING INFORMATION IN THIS NEWS RELEASE TYPICALLY INCLUDES WORDS AND PHRASES ABOUT THE FUTURE, SUCH AS: PLAN, EXPECT, FORECAST, INTEND, ANTICIPATE, ESTIMATE, BUDGET, SCHEDULED, BELIEVE, MAY, COULD, WOULD, MIGHT AND WILL.

WE CAN GIVE NO ASSURANCE THAT THE FORWARD-LOOKING INFORMATION WILL PROVE TO BE ACCURATE. IT IS BASED ON A NUMBER OF ASSUMPTIONS MANAGEMENT BELIEVES TO BE REASONABLE, INCLUDING BUT NOT LIMITED TO: THE CONTINUED OPERATION OF THE COMPANY'S MINING OPERATIONS, THAT THE MINING OPERATIONS WILL OPERATE AND THE MINING PROJECTS WILL BE COMPLETED IN ACCORDANCE WITH THEIR ESTIMATES AND ACHIEVE STATED PRODUCTION OUTCOMES, AND SUCH OTHER ASSUMPTIONS AND FACTORS AS SET OUT HEREIN. IT IS ALSO SUBJECT TO RISKS ASSOCIATED WITH OUR BUSINESS, INCLUDING BUT NOT LIMITED TO: RISKS INHERENT IN THE MINING AND METALS BUSINESS; COMMODITY PRICE FLUCTUATIONS AND HEDGING; COMPETITION FOR MINING PROPERTIES; SALE OF PRODUCTS AND FUTURE MARKET ACCESS; MINERAL RESERVES AND RECOVERY ESTIMATES; CURRENCY FLUCTUATIONS; INTEREST RATE RISK; FINANCING RISKS; ENVIRONMENTAL RISKS; FOREIGN ACTIVITIES; LEGAL PROCEEDINGS; AND OTHER RISKS THAT ARE SET OUT IN OUR ANNUAL INFORMATION FORM AND MANAGEMENT'S DISCUSSION & ANALYSIS. IF OUR ASSUMPTIONS PROVE TO BE INCORRECT OR RISKS MATERIALIZE, OUR ACTUAL RESULTS AND EVENTS MAY VARY MATERIALLY FROM WHAT WE CURRENTLY EXPECT AS SET OUT IN THIS NEWS RELEASE.

WE RECOMMEND YOU REVIEW OUR ANNUAL INFORMATION FORM AND ANNUAL MANAGEMENT'S DISCUSSION AND ANALYSIS, WHICH INCLUDE A DISCUSSION OF MATERIAL RISKS THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY FROM OUR CURRENT EXPECTATIONS. FORWARD-LOOKING INFORMATION IS DESIGNED TO HELP YOU UNDERSTAND MANAGEMENT'S CURRENT VIEWS OF OUR NEAR AND LONGER TIME PROSPECTS, AND IT MAY NOT BE APPROPRIATE FOR OTHER PURPOSES. WE WILL NOT NECESSARILY UPDATE THIS INFORMATION UNLESS WE ARE REQUIRED TO BY SECURITIES LAWS.

Contact Information

  • Imperial Metals Corporation
    Brian Kynoch
    President
    604.669.8959
    604.687.4030 (FAX)

    Imperial Metals Corporation
    Gordon Keevil
    Vice President Corporate Development
    604.488.2677

    Imperial Metals Corporation
    Sabine Goetz
    Investor Relations
    604.488.2657
    info@imperialmetals.com
    www.imperialmetals.com