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Imperial Drilling Intersects 502.5 Metres Grading 0.70 g/t Gold and 0.33% Copper at Mount Polley

Drill Results

News Release

Imperial Drilling Intersects 502.5 Metres Grading 0.70 g/t Gold and 0.33% Copper at Mount Polley

Vancouver | February 8, 2021 | Imperial Metals Corporation (the “Company”) (TSX:III) reports results from diamond

drilling at its Mount Polley mine.

Six drill holes totalling 3,792 metres in length were completed in the 2020 fourth quarter. The drilling campaign had

two objectives. The first objective was to improve drill hole data density of mineralization near historic mining areas

where the use of underground mining is being considered. Assays are pending for one hole drilled beneath the

Springer pit that targeted one of the potential underground mining areas. The second objective was to drill new

geophysical and geochemical anomalies outlined by recent surveys in the Trio Creek area located north and

northwest of the mine.

Significant intercepts:

Hole ID From (m) To (m) Width (m) Copper (%) Gold (g/t)

WX-20-78 40.0 542.5 502.5 0.33 0.70

including 42.5 60.0 17.5 0.85 1.30

including 180.0 360.0 180.0 0.42 1.05

C2-20-100 40.0 83.7 43.7 0.21 0.33

and 272.5 327.5 55.0 0.20 0.31

and 425.0 459.0 34.0 0.23 0.20

C2-20-101 40.0 105.0 65.0 0.28 0.35

and 281.3 292.5 11.2 0.66 0.74

and 397.5 437.5 40.0 0.27 0.37

WX Zone

The WX zone, the most recent major discovery (2009) at Mount Polley, is located south of the Springer pit, and is

noted for its high gold grades and high gold/copper ratio mineralization. Drill hole WX-20-78, which was the only

hole in this program to test the WX zone, intercepted 0.33% copper and 0.70 g/t gold over 502.5 metres from 40.0

to 542.5 metres. Two intervals with grades over 1 g/t gold were intercepted inside the longer interval, including

0.85% copper and 1.30 g/t gold over 17.5 metres from 42.5 to 60.0 metres, and 0.42% copper and 1.05 g/t gold over

180.0 metres from 180.0 to 360.0 metres. Collared on the western flank of the WX zone, drill hole WX-20-78 was

designed test the continuity of the mineralization in an area of proposed underground mining. Drilled down the

plunge, this hole served to confirm the continuity of this modelled higher grade target within the WX zone. The

approximate dimensions of the modelled higher grade zone are 470 metres down plunge, 260 metres wide and 65

metres thick with a dip of -62°.

C2 Zone

The C2 zone is located south of the Cariboo pit. Two holes were drilled to test a zone of higher gold grade along the

Polley fault at depth. Historic drilling in this zone yielded an intercept of 55 metres grading 2.14 g/t gold and 1.19%

copper in drill hole C2-11-97. Both holes were successful in extending this lower gold zone.

Drill hole C2-20-100 was collared on the ramp into the Cariboo pit, and was drilled 370 metres north of C2-11-97 to

target the possible northern extent of the gold zone beneath historic drilling. This drill hole intercepted 0.21% copper

and 0.33 g/t gold over 43.7 metres from 40.0 to 83.70 metres, along with 0.20% copper and 0.31 g/t gold over 55.0

metres from 272.5 to 327.5 metres, and 0.23% copper and 0.20 g/t gold over 34.0 metres from 425.0 to 459.0

metres.

Drill hole C2-20-101 was collared south of the Cariboo Pit, about 40 metres north of hole C2-11-97, to test the extent

of near surface mineralization and the lower gold zone seen in C2-11-97 that runs north-south along the Polley fault.

This drill hole was successful in hitting the upper target, an unexpected 25 metre zone of mineralized magnetite

breccia at 281.3 metres, which graded 0.66% copper, 0.74 g/t gold and 23.8% iron over 11.2 metres, as well as the

lower gold zone.

Trio Creek

New geophysical and geochemical anomalies outlined by recent surveys were drilled in the Trio Creek target area,

located north and northwest of the mine. This area is covered by glacial till with limited bedrock exposure, so the

goal was to gain an understanding of the geological system.

Drill holes TC-20-01 and TC-20-02 were designed to test new anomalies north and west of the mine. The targeted

areas feature favorable geophysics that match the geophysical fingerprint of the Mount Polley mineralized host rock.

Drill hole TC-20-01 targeted a large chargeability anomaly at depth with moderate geochemical signatures at surface.

The drill intersected intrusive rocks with weak breccia textures and strong potassic alteration which is similar to the

Mount Polley mine host rock. A strong correlation was also made between high chargeability and an increase in

disseminated sulphide (pyrite) to depths of 400 metres. This provides confidence in our geophysical models at depth.

Drill hole TC-20-02, located 633 metres east of TC-20-01, targeted a strong magnetic anomaly projected to surface

along the fringes of a strong chargeability anomaly. The drill was oriented to cut across the center of the magnetic

anomaly and intersected the high chargeability at depth. Drill hole TC-20-02 intersected a hydrothermally altered

and brecciated monzonite identical to the Mount Polley mine host rock containing magnetite and disseminated

pyrite.

Drill holes TC-20-01 and TC-20-02 have defined a clear extension to the north of similar geology and associated

hydrothermal alteration zones to that which hosts the mineralization at Mount Polley. Further exploration is planned

to further define these targets.

Jim Miller-Tait, P.Geo., Imperial’s VP Exploration, has reviewed this news release as the designated Qualified Person as

defined by National Instrument 43-101 for the Mount Polley exploration program. Samples reported were analysed at

Bureau Veritas Mineral Laboratories in Vancouver. A full QA/QC program using blanks, standards and duplicates was

completed for all diamond drilling samples submitted to the labs. Significant assay intervals reported represent

apparent widths. Insufficient geological information is available to confirm the geological model and true width of

significant assay intervals.

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About Imperial

Imperial is a Vancouver based exploration, mine development and operating company with holdings that include

the Mount Polley mine (100%), the Huckleberry mine (100%), the Red Chris mine (30%). Imperial also holds a

portfolio of 23 greenfield exploration properties in British Columbia. These properties have defined areas of

mineralization and clear exploration potential. Management continues to evaluate various opportunities to advance

many of these properties.

Company Contacts

Brian Kynoch | President | 604.669.8959

Jim Miller-Tait | VP Exploration | [email protected]

Sabine Goetz | Shareholder Communications | 604.488.2657 | [email protected]

Cautionary Note Regarding Forward-Looking Statements

Certain information contained in this news release are not statements of historical fact and are “forward-looking” statements.

Forward-looking statements relate to future events or future performance and reflect Company management’s

expectations or beliefs regarding future events and include, but are not limited to, statements regarding the Company’s

expectations with respect to current and planned exploration drilling programs at Mount Polley to expand known

mineralization, provide more data in areas where the use of underground mining methods are being considered and to

drill new geophysical and geochemical anomalies in a region called Trio Creek. In certain cases, forward-looking statements

can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "outlook", "budget",

"scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such

words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken",

"occur" or "be achieved" or the negative of these terms or comparable terminology. By their very nature forward-looking

statements involve known and unknown risks, uncertainties and other factors which may cause the actual results,

performance or achievements of the Company to be materially different from any future results, performance or

achievements expressed or implied by the forward-looking statements.

In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that

are based on information currently available to the Company as well as the Company’s current beliefs and assumptions.

These factors and assumptions and beliefs and assumptions include, the risk factors detailed from time to time in the

Company’s interim and annual financial statements and management’s discussion and analysis of those statements, all of

which are filed and available for review on SEDAR at www.sedar.com. Although the Company has attempted to identify

important factors that could cause actual actions, events or results to differ materially from those described in forward-

looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or

intended, many of which are beyond the Company’s ability to control or predict. There can be no assurance that forward-

looking statements will prove to be accurate, as actual results and future events could differ materially from those

anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and

all forward-looking statements in this news release are qualified by these cautionary statements.