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Judicial Review Petition Dismissed, Mount Polley to Continue Constructing TSF Raise

Corporate Updates

imperialmetals.com

News Release

Judicial Review Petition Dismissed, Mount Polley to Continue Constructing TSF Raise

Vancouver | August 6, 2025 | Imperial Metals Corporation (the “Company” or “Imperial”) (TSX:III) The Supreme

Court of British Columbia today dismissed the application of the Xatśūll First Nation (“Xatśūll“) for an injunction

and judicial review of two provincial approvals authorizing construction of a four-metre lift on the tailings storage

facility (“TSF”) at the Mount Polley Mine (“Mount Polley”).

The Court found the decisions of the two provincial authorities allowing Mount Polley to construct the TSF lift

were reasonable and were made fairly, and that the Government sufficiently consulted with the Xatśūll before

making those decisions. The Court’s decision cited the extensive consultation record and actions taken in support

of Xatśūll’s review of the approvals.

Imperial and Mount Polley are committed to transparent engagement with Indigenous communities and

environmental responsibility. Maintaining a meaningful relationship with Xat śūll and Williams Lake First Nation

is important to the Company, including supporting sustainable development through meaningful dialogue.

Mount Polley Mine employs over 390 employees, making it a significant economic driver in the region.

Although the mine can continue to construct the TSF raise and may now deposit tailings that rely on that raise,

without receipt of our pending Mines permit amendment which allows Mount Polley to continue to mine, the

mine may again be put in jeopardy of significantly revising operational plans or ceasing operation if the Mines

permit amendment process is not expedited.

“We support and hold up the Court’s decision to dismiss the petition,” said Willie Sellars, Chief of the Williams

Lake First Nation (WLFN). "Mount Polley is a vital part of our regional economy, offering stable jobs and

contributing to programs that benefi t both WLFN members and the wider community. This outcome brings

certainty for our region and local businesses, and we look forward to the province continuing to support the

mine’s operations through timely permit approvals."

“There are significant challenges facing project advancement in British Columbia today. W ell-considered

decisions made by expert regulatory authorities following extensive consultations are frequently contested, at

great expense, increasing risk to projects through permitting delays and causing uncertainty for operators and

their employees and con tractors. We hope that today’s decision helps to reduce this risk and uncertainty,

especially for our workforce and their families. In the meantime, we will continue to follow regulatory processes

and respectfully engage with Williams Lake First Nation and Xatśūll First Nation, as we have in the past.” said

Brian Kynoch, President of Imperial.

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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%), and the Red Chris mine (30%). Imperial also holds a portfolio of 23 greenfield

exploration properties in British Columbia.

Imperial Contacts

Brian Kynoch | President | 604.669.8959

Darb S. Dhillon | Chief Financial Officer | 604.669.8959

imperialmetals.com 2

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 Imperial management’s expectations or

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

expectations regarding the timing and impact of future pending permit amendments , including the possibility of having to

drastically revise operat ional plans or ceasing operations ; their relationships with Indigenous communities, including Xatśūll;

expectations regarding ongoing engagement with Xatśūll and other Indigenous communities during the permitting process; and

other risks outlined in statements made by Imperial from time to time in the filings made by Imperial with securities regulators.

Imperial disclaims any intention or obligation to update or revise any forward -looking statements, whether as a result of new

information, future events, or otherwise, except as required by applicable securities legislation.

In certain cases, forward-looking statements can be identified by the use of words such as “plans”, “expects” or “does not expect”,

“is expected”, “is targeted”, “targets”, “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 compara ble

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 Imperial to be materially different from any future result s,

performance or achievements expressed or implied by the forward-looking statements.

In making the forward-looking statements in this news release, Imperial has applied certain factors and assumptions that are based

on information currently available to Imperial as well as Imperial’s current beliefs and assumptions. These factors and assumptions

and beliefs and assumptions include, the risk factors detailed from time to time in Imperial’s interim and annual financial

statements and management’s discussion and analysis of those statements, and the Company’s current Annual Information Form,

all of which are filed and available for review on SEDAR+ at www.sedarplus.com. Although Imperial 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 Imperial’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. Accord ingly,

readers should not place undue reliance on forward looking statements and all forward -looking statements in this news rel ease

are qualified by these cautionary statements.