International Minerals Corporation
FRANKFURT : MIW
TSX : IMZ
Swiss : IMZ

International Minerals Corporation

August 14, 2006 08:30 ET

International Minerals Intersects 48 Meters at 4.9 g/t Gold at Gaby Project, Ecuador

Heap Leach Processing Option Being Evaluated

SCOTTSDALE, ARIZONA--(CCNMatthews - Aug. 14, 2006) - International Minerals Corporation ("IMC") (TSX:IMZ)(SWX:IMZ)(FWB:MIW) has received assay results from an initial 17 core drill holes (totaling 3,916m) at its Gaby gold porphyry project in southern Ecuador. To date, 4,685m have been drilled in 22 core drill-holes. These drill-holes are part of an estimated 25,000m drill program required for the completion of an independent feasibility study currently underway on the project. This feasibility study is expected to be completed in the third quarter of 2007.

Significant intercepts (all uncut values) from the 17 drill-holes are shown in the attached Table 1 and their locations are shown on the attached map. The Gaby project comprises two main mineralized areas: the Main Gaby Deposit and the Papa Grande Deposit. At Papa Grande, drill hole PPG-21 contains an intercept of 48m with an average grade of 4.9 g/t gold, including a 16.0m intercept averaging 13.5 g/t gold with a single 2.0m intercept containing 92.2 g/t gold. In addition, drill-hole PPG-13 reported an intercept of 49.3m at 1.20 g/t gold and drill-hole PPG-19 reports 108.6 m of 0.69 g/t gold. In the Main Gaby Deposit, where the current drill-holes are located outside of the currently known mineralized zone (see attached map), drill intercepts include GBY-15 with 90m at 0.4 g/t gold and GBY-20 with 152 m at 0.4 g/t gold. Copper values (generated mainly by chalcopyrite) are typically in the 0.05% to 0.15% range and silver values are in the 1g/t to 5 g/t range. Due to the disseminated nature of the gold mineralization at Gaby, drill intercept widths can generally be equated to true widths.

The Gaby project has a combined historical resource estimate (on a 100% project basis), based on 1997 independent pre-feasibility studies, of approximately 212 million tonnes at 0.8 g/t gold containing approximately 5.5 million gold ounces in all mineral resource categories. These resource estimates, however, have not been reviewed or verified by an independent qualified person, nor has a NI 43-101 Technical Report been prepared yet by IMC (a report is expected to be ready by year end). IMC has not completed the work necessary to verify the historical classification of the mineral resource estimate and is not treating them as a current resource estimate as defined by NI 43-101. This historical mineral resource at Gaby has no demonstrated economic viability and in no way reflects the quantities of gold expected to be economically extractable from the Gaby property.

Update on Feasibility Study and Heap Leach Scenario

The 1997 independent pre-feasibility studies envisaged an agitation leach and carbon-in-pulp gold recovery process. Because industry-wide capital and operating costs have risen significantly since 1997, IMC believes that a heap leach and carbon-in-columns processing option is potentially now a more attractive alternative for Gaby in terms of project viability and expediting start of production. IMC is therefore now evaluating the project as a potential heap leach operation. A final decision by IMC will depend upon the results of metallurgical test work currently underway.

IMC has selected four principal consultants for the feasibility study at Gaby: Water Management Consultants Ltd of Santiago, Chile (in coordination with Call and Nicholas from Tucson Arizona) for mine water management and geotechnical issues; RSG Global of Perth, Australia for mineral resource and reserve estimations; Mine and Quarry Engineering Service ("MQes") of San Mateo, California for plant and infrastructure design and costing; and Tony Brown, an independent US-based consultant, for all metallurgical aspects. IMC management is confident that the technical ability and proven track record of the feasibility study team will ensure a high quality study that will greatly assist IMC in making a production decision, and subsequently arranging required production financing, for the Gaby project.

General

Drilling at the Gaby Project was carried out by Paragon Drilling Ecuador S.A. Sample preparation was carried out by ALS Chemex in Quito, Ecuador using standard industry practices. Analytical work was carried out by ALS Chemex in Vancouver, Canada, using conventional fire assay methods for gold. For quality control purposes, analytical standards with known metal values were included with IMC's samples and in general show good reproducibility. Duplicate analyses of selected drill-hole intervals have been sent to a second independent assay facility (CCI of Kellogg, Idaho) and results are pending. The overall drilling program was supervised by IMC's Qualified Person, Technical Manager, Nick Appleyard.

ON BEHALF OF THE BOARD

Stephen J. Kay, President and CEO



Table 1

GABY/PAPA GRANDE INTERSECTIONS & AVERAGE GRADES (All Uncut)

(International Minerals Corporation - August 14, 2006 press release)

--------------------------------------------------------------------
--------------------------------------------------------------------
Drill Hole Interval Length Gold
---------- -------- ------ ----
(Depth-m) From (m) To (m) (m) (g/t)
--------------------------------------------------------------------
--------------------------------------------------------------------
MAIN GABY DEPOSIT
-------------------------------
-------------------------------
GBY-15 (284.3m) 0.0 - 90.0 90.0 0.42
130.0 - 132.0 2.0 8.85
--------------------------------------------------------------------
GBY-16 (264.8m) 0.0 - 16.0 16.0 0.54
--------------------------------------------------------------------
GBY-17 (267.9m) 16.0 - 30.0 14.0 1.60
92.0 - 110.0 18.0 0.51
124.0 - 168.0 44.0 0.46
--------------------------------------------------------------------
GBY-18 (291.7m) 0.0 - 14.0 14.0 0.60
58.0 - 88.0 30.0 0.37
110.0 - 152.0 44.0 0.48
--------------------------------------------------------------------
GBY-19 (251.1m) 0.0 - 24.0 24.0 0.34
168.0 - 178.0 10.0 0.56
--------------------------------------------------------------------
GBY-20 (283.2m) 8.0 - 28.0 20.0 0.48
66.0 - 218.0 152.0 0.40
--------------------------------------------------------------------
GBY-21 (283.4m) 0.0 - 32.3 32.3 0.65
76.0 - 132.0 56.0 0.40
228.0 - 248.0 20.0 0.45
-------------------------------
-------------------------------
PAPA GRANDE DEPOSIT
--------------------------------------------------------------------
--------------------------------------------------------------------
PPG-13 (383.4m) 0.0 - 58.0 58.0 0.68
Includes: 6.0 - 28.0 22.0 1.06
228.7 - 278.0 49.3 1.20
Includes: 253.6 - 274.0 20.4 2.39
--------------------------------------------------------------------
PPG-14 (193.9m) 8.0 - 18.0 10.0 3.31
Includes: 10.0 - 14.0 4.0 7.67
60.0 - 84.0 24.0 0.50
--------------------------------------------------------------------
PPG-15 (149.8m) 30.0 - 62.0 32.0 0.38
--------------------------------------------------------------------
PPG-16 (202.0m) 0.0 - 14.0 14.0 0.57
32.0 - 40.0 8.0 1.20
62.0 - 100.0 38.0 0.78
Includes: 74.0 - 94.0 20.0 1.12
146.0 - 148.0 2.0 5.57
--------------------------------------------------------------------
PPG-17 (150.0m) 64.0 - 74.0 10.0 0.42
134.0 - 140.0 6.0 1.46
--------------------------------------------------------------------
PPG-18 (170.0m) 22.0 - 36.0 14.0 0.60
100.0 - 114.0 14.0 0.36
120.0 - 150.0 30.0 0.89
Includes: 140.0 - 146.0 6.0 1.74
--------------------------------------------------------------------
PPG-19 (188.55m) 6.0 - 44.0 38.0 0.60
Includes: 12.0 - 24.5 12.5 1.30
80.0 - 188.6 108.6 0.69
Includes: 150.0 - 182.0 32.0 1.02
--------------------------------------------------------------------
PPG-20 (163.8m) 0.0 - 40.0 40.0 0.60
68.0 - 122.0 54.0 0.85
Includes: 102.0 - 120.0 18.0 1.34
--------------------------------------------------------------------
PPG-21 (237.4m) 10.0 - 84.0 74.0 0.89
Includes: 10.0 - 38.0 28.0 1.38
142.0 - 190.0 48.0 4.86
Includes: 158.0 - 174.0 16.0 13.49
which includes: 168.0 174.0 6.0 33.98
which includes: 170.0 - 172.0 2.0 92.20
210.0 - 226.0 16.0 0.53
--------------------------------------------------------------------
PPG-22 (150.6m) 0.0 - 124.0 124.0 0.46
Includes: 36.0 - 48.0 12.0 0.98
--------------------------------------------------------------------
--------------------------------------------------------------------


To view attached map, please click on the following link: http://www.ccnmatthews.com/docs/imz0814.pdf


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