VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 15, 2005) - Imperial Metals Corporation (TSX:III) reports higher metal prices have pushed net income for the six months ended June 30, 2005 to $6.3 million, mostly attributable to equity income from its 50% owned Huckleberry Mine. The 100% owned Mount Polley mine, now fully operational, will be contributing to earnings commencing in the third quarter with the first shipment of concentrates delivered to smelter on July 26, 2005. High grade mill feed from the Wight Pit was established ahead of plan, resulting in concentrate production increasing to approximately 7,000 tonnes in July from 4,130 tonnes in June and expected to reach 9,000 tonnes in August. A record for daily copper production at Mount Polley was set on July 25 with over 330,000 pounds of copper being produced on that day, together with 156 ounces of gold and 2,690 ounces of silver.
Imperial's comparative results for the six months ended June 30, 2005 and June 30, 2004 are summarized below, and discussed in detail in the Management's Discussion and Analysis. Net income for the six months ended June 30, 2005 was $6.3 million and includes $6.7 million in equity income from Huckleberry Mines Ltd. and an income tax recovery of $2.2 million related to the change in the future income tax valuation allowance. Concentrate sales revenue from Mount Polley was not recorded in the second quarter, as revenue is recognized only when the concentrate is loaded aboard ship for transport to smelter. Mount Polley's first shipment was made in July 2005.
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(unaudited)
in thousands Three Months Ended Six Months Ended
except per June 30, June 30, June 30, June 30,
share amounts 2005 2004 2005 2004
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(000's) (000's) (000's) (000's)
Revenues $ 134 $ 311 $ 180 $ 607
Operating
(Loss) Income $ (1,537) $ (1,218) $ (2,887) $ (2,143)
Net Income
(Loss) $ 2,347 $ (2,302) $ 6,294 $ (2,999)
Net Income
(Loss) Per
Share $ 0.08 $ (0.09) $ 0.22 $ (0.12)
Cash Flow (1) $ (1,092) $ (1,091) $ (2,237) $ (1,835)
Cash Flow Per
Share (1) $ (0.04) $ (0.04) $ (0.08) $ (0.07)
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(1) Cash flow and Cash Flow Per Share are measures used by the
Company to evaluate its performance, however, they are not terms
recognized under generally accepted accounting principles. Cash
Flow is defined as cash flow from operations before net change
in working capital balances and Cash Flow Per Share is the same
measure divided by the weighted average number of common shares
outstanding during the period.
Imperial is an operating mining company based in Vancouver, British Columbia. Its wholly owned Mount Polley copper-gold open pit mine is located 56 kilometres northeast of Williams Lake, British Columbia, and its 50% owned Huckleberry copper-molybdenum open pit mine is located 123 kilometres southwest of Houston, British Columbia.
The Company's Second Quarter Report for the period ended June 30, 2005, as well as information on operations and exploration activities, is available on the company website www.imperialmetals.com.
FOR FURTHER INFORMATION PLEASE CONTACT:
Imperial Metals Corporation
Brian Kynoch
President
(604) 669-8959
(604) 687-4030 (FAX)
Imperial Metals Corporation
Andre Deepwell
Chief Financial Officer
(604) 488-2666
Imperial Metals Corporation
Sabine Goetz
Investor Relations
(604) 488-2657
info@imperialmetals.com
www.imperialmetals.com
