III Imperial Metals Corporation

Imperial Metals Corporation (the “Company”) (TSX:III) reports on the exploration program focused on the discovery of additional zones of higher grade mineralization within the Red Chris porphyry corridor.

Eight drill holes totaling 12,652 metres have been completed since September. All drill holes intersected mineralization, except two that were dedicated geotechnical holes. A total of 99,018 metres of drilling from 77 drill holes has been completed since August 2019.

At the East Zone, drilling has confirmed the potential for additional high grade mineralization south of the South Boundary Fault. This is a significant discovery that has the potential to expand the known area of the Red Chris Porphyry system as the South Boundary Fault has historically been assumed to define the southern extent of mineralization. Results from RC646, which extended across the fault, returned 606 metres grading 0.37 g/t gold and 0.33% copper from 488 metres, including 70 metres grading 0.58 g/t gold and 0.51% copper from 710 metres. This interval also includes 22 metres grading 1.0 g/t gold and 0.62% copper from 858 metres which is located to the south of the fault. Drilling to define the extent and continuity of this mineralization on the southern side of the South Boundary Fault is underway.

Drilling continues to confirm the footprint of the western high grade pod in the East Zone, which was first intersected in RC616. A program of 100-metre spaced holes has been designed to confirm the lateral and vertical extent. Results for step-out hole RC645, located 100 metres below RC625, returned 442 metres grading 0.55 g/t gold and 0.45% copper from 714 metres, including 142 metres grading 0.94 g/t gold and 0.72% copper from 882 metres. Results from step-out hole RC658, located 100 metres above RC616, returned 538 metres grading 0.41 g/t gold and 0.31% copper from 558 metres, including 88 metres grading 0.85 g/t gold and 0.57% copper from 632 metres. Drilling to define the extent and continuity of this high grade pod is now complete and awaiting final results. These discrete pods sit within the East Zone.

A second campaign of drilling in the Gully zone was also completed. The results from the Gully Zone indicate that this zone could ultimately support additional mine development. Results from RC641, which tested the continuity in mineralization between historic shallow and more recent deeper drilling, returned 854 metres grading 0.43 g/t gold and 0.30% copper from 66 metres, including 120 metres grading 0.82 g/t gold and 0.87% copper from 612 metres. Results from RC650, located 100 metres above RC603, returned 112 metres grading 0.57 g/t gold and 0.45% copper from 530 metres, including 100 metres grading 0.62 g/t gold and 0.50% copper from 532 metres. Once all results have been received and reviewed, further follow up will be considered for this zone, which is located about 500 metres west of the Main Zone. Drilling is underway in this 500 metre gap between the Main Zone and the Gully Zone to test this largely unexplored area at depth.

Significant Red Chris intercepts include:

Hole ID	From (m)	To (m)	Width (m)	Gold (g/t)	Copper (%)
RC639	570	888	318	0.31	0.27
incl.	804	814	10	2.6	0.57
and	964	1284	320	0.21	0.18
RC640	488	784	296	0.19	0.19
RC641	66	920	854	0.43	0.30
incl.	546	566	20	1.7	0.52
incl.	612	732	120	0.82	0.87
incl.	648	658	10	1.0	1.1
incl.	716	728	12	1.0	1.1
and	990	1242	252	0.29	0.16
RC642	292	622	330	0.24	0.17
and	770	1052	282	0.30	0.16
RC645	512	524	12	1.7	0.18
and	714	1156	442	0.55	0.45
incl.	882	1024	142	0.94	0.72
incl.	960	1014	54	1.3	0.99
RC646	488	1094	606	0.37	0.33
incl.	710	780	70	0.58	0.51
incl.	854	884	30	0.97	0.58
incl.	858	880	22	1.0	0.62
RC647	206	406	200	0.17	0.22
and	440	550	110	0.32	0.36
and	800	1172	372	0.23	0.34
and	1184	1501.8	317.8	0.15	0.17
RC650	112	426	314	0.19	0.15
and	530	642	112	0.57	0.45
incl.	532	632	100	0.62	0.50
RC658	558	1096	538	0.41	0.31
incl.	632	720	88	0.85	0.57
incl.	682	716	34	1.3	0.84
and	1108	1263.7	155.7	0.23	0.26

Jim Miller-Tait, P.Geo., Imperial VP Exploration, is the designated Qualified Person as defined by National Instrument 43-101 for the Red Chris exploration program and has reviewed this news release. Red Chris samples for the 2020 drilling 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.

Cross sections and plan view map are available on imperialmetals.com.

Newcrest Red Chris Mining Limited (“NRC”) is operator of the Red Chris Joint Venture (Newcrest 70%; Imperial 30%).

“Newcrest Mining Limited has implemented and maintained measures to reduce and mitigate the risks of the COVID-19 pandemic to its project workforce and key stakeholders. Potential impacts of the COVID-19 pandemic on the drilling activity at all of Newcrest’s exploration projects are being actively managed. There have been no confirmed cases of COVID-19.”---        

About Imperial

Imperial is a Vancouver based exploration, mine development and operating company. The Company, through its subsidiaries, owns a 30% interest in the Red Chris mine, and a 100% interest in both the Mount Polley and Huckleberry copper mines in British Columbia. Imperial also holds a 45.3% interest in the Ruddock Creek lead/zinc property.

Company Contacts

Brian Kynoch | President | 604.669.8959Darb Dhillon | Chief Financial Officer | 604.488.2658Jim Miller-Tait | Vice President Exploration | 604.488.2676Sabine Goetz | Shareholder Communications | 604.488.2657 | investor@imperialmetals.com

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 and timing with respect to current and planned drilling programs at Red Chris, including plans to define the extent and continuity of the mineralization on the southern side of the South Boundary Fault.

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.