Imperial Reports Letter of Intent to Sell the Sterling Property
imperialmetals.com
News Release
Imperial Reports Letter of Intent to Sell the Sterling Property
Vancouver – February 15, 2017 | Imperial Metals Corporation (the “Company”) (TSX:III) reports that Sterling Gold
Mining Corporation (“SGMC”), a wholly-owned subsidiary, has entered into a Letter of Intent (“LOI”) with Northern Empire
Resources Corp. (“NM”) to sell its interest in the Sterling gold mine property located in Nevada, United States.
The purchase price for the assets includes US$10 million cash (including a US$250,000 non-refundable deposit due within 5
days of the execution of the LOI) and 5 million shares of NM. SGMC will retain a two percent (2.0%) Net Smelter Returns
royalty (“NSR”) on the portions of the Sterling gold mine property not currently burdened by a pre-existing NSR.
The closing is planned for the second quarter of 2017 and is subject to completion of a formal Property Purchase Agreement,
board and regulatory approvals as necessary, completion of due diligence and conventional conditions for such a transaction.
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About Imperial
Imperial is a Vancouver based exploration, mine development and operating company. The Company, through its subsidiaries, owns the Red
Chris and Mount Polley copper|gold mines in British Columbia, and the Sterling gold mine in Nevada. Imperial also holds a 50% interest in
Huckleberry Mines Ltd. and in the Ruddock Creek lead|zinc property, both in British Columbia.
Company Contacts
Brian Kynoch | President | 604.669.8959
Andre Deepwell | Chief Financial Officer | 604.488.2666
Steve Robertson | Vice President Corporate Affairs | 604.488.2669
Gordon Keevil | Vice President Corporate Development | 604.488.2677
Sabine Goetz | Shareholder Communications | 604.488.2657 | [email protected]
Forward-Looking Information and Risks Notice
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, specific statements regard ing the anticipated completion of the sale of all, or substanti ally all, of the assets of Sterling
Gold Mining Corporation, including the Sterling mine, in the second quarter of 2017 (the “Sterling Sale”).
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", "an ticipates" or "does not anticipate", or "believes", or variatio ns 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. In this document certain forward-loo king statements are identified by words including "guidance", " expectations", "targeted",
"plan", "planned", "estimated", "calls for" and "expected". By their very nature forward-looking statements involve known and unknown risks, uncertainties
and other factors which may cause the actual results, performan ce or achievements of the Company to be materially different fr om any future results,
performance or achievements expr essed or implied by the forward -looking statements. These risks, uncertainties and other facto rs include, among others,
the following: required approvals not being obtained and the closing of the Sterling Sale not occurring or being delayed; political and economic environment,
gold price volatility; discrepancies between actual and estimated production, mineral reserves and resources and metallurgical recoveries; mining operational
and development risk; litigation risks; regulatory environment and restrictions, including envi ronmental regulatory restrictio ns and liability; currency
fluctuations; speculative nature of gold exploration; share price volatility; competition; loss of key employees; additional funding requirements; and defective
title to mineral claims or property; and other risks of the min ing industry as well as those fa ctors detailed from time to tim e in the Company's interim and
annual financial statements and management's discussion and ana lysis of those statements, all of which are filed and available f o r r e v i e w a t
imperialmetals.com and 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. There can be no assurance that forward-l ooking 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.