| Previous Close | 4.4500 |
| Open | 4.5000 |
| Bid | 4.4700 x 0 |
| Ask | 4.5000 x 0 |
| Day's Range | 4.4500 - 4.6500 |
| 52 Week Range | 1.3800 - 6.2500 |
| Volume | 29,079 |
| Avg. Volume | 59,167 |
| Market Cap | 578.205M |
| Beta (5Y Monthly) | 1.57 |
| PE Ratio (TTM) | N/A |
| EPS (TTM) | -0.0400 |
| Earnings Date | May 10, 2021 - May 14, 2021 |
| Forward Dividend & Yield | N/A (N/A) |
| Ex-Dividend Date | Aug. 30, 2000 |
| 1y Target Est | 5.50 |
- GlobeNewswire
Red Chris Mineral Resource Estimate Announced by Newcrest
VANCOUVER, British Columbia, March 30, 2021 (GLOBE NEWSWIRE) -- Imperial Metals Corporation (the “Company”) (TSX:III) reports that Newcrest Mining Limited (ASX, TSX, PNGX: NCM) has released a Mineral Resource estimate for the Red Chris mine. Red Chris is operated by Newcrest under a Joint Venture Agreement with Imperial. Since becoming operator in August 2019, Newcrest has embarked on an extensive work program to define the potential of block cave mining beneath the existing open pit operation. Activities have included: additional exploration and resource definition drilling;resource optimization for both open pit and underground mining scenarios;commencing a Pre-Feasibility Study (PFS) to support the potential development of an underground block cave;commencing construction of the box cut (portal) for the exploration decline. This Mineral Resource estimate is a key input into the Red Chris PFS which Newcrest expects to release by the end of September 2021. The initial Newcrest Ore Reserve estimate for Red Chris is also expected to be released within the same time frame. MINERAL RESOURCE ESTIMATE This Mineral Resource estimate for Red Chris assumes bulk open pit mining and bulk block cave underground mining. For further disclosure, refer to Newcrest’s news release dated March 31, 2021 at newcrest.com. The initial Mineral Resource estimate for Red Chris published by Newcrest is reported as a Measured and Indicated Mineral Resource and an Inferred Mineral Resource in accordance with the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves 2012 (JORC Code). Refer to Appendix 1 as provided on imperialmetals.com for information relating to data collection and resource estimation. There are no material differences between the definitions of Mineral Resources under the 2014 CIM Definition Standards for Mineral Resources and Mineral Reserves and the equivalent definitions in the JORC Code. JORC and CIM Comparison Mineral Resources and Ore Reserves are classified using the JORC Code. The confidence categories assigned under the JORC Code were reconciled to the confidence categories in the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Definition Standards – for Mineral Resources and Mineral Reserves May 2014 (the CIM Definition Standards). As the confidence category definitions are the same, no modifications to the confidence categories were required. There are differences in terminology from JORC compared to the CIM Definition Standards. Terminology differences are the term “Ore Reserves” in the JORC Code is equivalent to “Mineral Reserves” using the CIM Definition Standards, and the term “Proved Ore Reserves” in the JORC Code is equivalent to “Proven Mineral Reserves” using the CIM Definition Standards. There are no other material differences between JORC and the CIM Definition Standards. Note that NI 43-101 reporting requirements do not allow for Inferred Mineral Resources to be added to other Mineral Resource categories. Therefore, Measured and Indicated Mineral Resources have been reported separately from Inferred Mineral Resources. Mineral Resources that are not Ore Reserves do not have demonstrated economic viability. Due to lower certainty, the inclusion of Mineral Resources should not be regarded as a representation that such amounts can necessarily be totally economically exploited, and investors are cautioned not to place undue reliance upon such figures. Measured and Indicated Mineral Resources 980Mt @ 0.41 g/t gold and 0.38% copper for 13Moz contained gold and 3.7Mt contained copper, including: Open Pit – 310Mt @ 0.28 g/t gold and 0.34% copper for 2.7Moz contained gold and 1.0Mt contained copperUnderground – 670Mt @ 0.46 g/t gold and 0.40% copper for 10Moz contained gold and 2.7Mt contained copper Newcrest’s Measured and Indicated Mineral Resource estimate reflects its strategy of defining high value Mineral Resources that will support the development of a high margin underground block cave at Red Chris. Inferred Mineral Resources 190Mt @ 0.31 g/t gold and 0.30% copper for 1.9Moz contained gold and 0.57Mt contained copper, including: Open Pit – 11Mt @ 0.23 g/t gold and 0.27% copper for 0.084Moz contained gold and 0.031Mt contained copperUnderground – 180Mt @ 0.32 g/t gold and 0.30% copper for 1.8Moz contained gold and 0.54Mt contained copper Newcrest’s Inferred Mineral Resource estimate reflects its focus of operating a higher value, smaller open pit and developing a larger underground mine. Growth drilling to further define Inferred Mineral Resources for bulk extractable underground mining options is currently underway. Newcrest expects to publish the results from these activities within its upcoming exploration reports. Table 1 – 31 December 2020 Gold Measured and Indicated Mineral Resource Red Chris Gold (100%)Measured ResourceIndicated ResourceMeasured and Indicated Mineral ResourceGold Measured and Indicated Mineral ResourcesDry Tonnes (million)Gold Grade(g/t Au)Insitu Gold (million ounces)Dry Tonnes (million)Gold Grade (g/t Au)Insitu Gold (million ounces)Dry Tonnes (million)Gold Grade (g/t Au)Insitu Gold (million ounces)Red Chris Open Pit (incl.stockpiles)9.80.150.0483000.282.73100.282.7Red Chris Underground---6700.46106700.4610Total Red Chris Province9.80.150.0489700.41139800.4113 Table 2 – 31 December 2020 Gold Inferred Mineral Resource Red Chris Gold (100%)Inferred Mineral Resource Gold Inferred Mineral ResourcesDry Tonnes (million)Gold Grade(g/t Au)Insitu Gold (million ounces) Red Chris Open Pit (incl.stockpiles)110.230.084 Red Chris Underground1800.321.8 Total Red Chris Province1900.311.9 NOTE: Data is reported to two significant figures to reflect appropriate precision in the estimate and this may cause some apparent discrepancies in totals. Data represents 100% of the Mineral Resource for Red Chris. Imperial’s joint venture interest in the Mineral Resource is 30%. Table 3 – 31 December 2020 Copper Measured and Indicated Mineral Resource Red Chris Copper (100%)Measured ResourceIndicated ResourceMeasured and Indicated Mineral ResourceCopper Measured and IndicatedMineral ResourcesDry Tonnes (million)Copper Grade(% Cu)Insitu Copper(million ounces)Dry Tonnes (million)Copper Grade (% Cu)Insitu Copper (million ounces)Dry Tonnes (million)Copper Grade (% Cu)Insitu Copper (million ounces)Red Chris Open Pit (incl.stockpiles)9.80.230.0233000.341.03100.341.0Red Chris Underground---6700.402.76700.402.7Total Red Chris Province9.80.230.0239700.383.79800.383.7 Table 4 – 31 December 2020 Copper Inferred Mineral Resource Red Chris Copper (100%)Inferred Mineral Resource Copper Inferred Mineral ResourcesDry Tonnes (million)Copper Grade(% Cu)Insitu Copper(million ounces) Red Chris Open Pit (incl.stockpiles)110.270.031 Red Chris Underground1800.300.54 Total Red Chris Province1900.300.57 NOTE: Data is reported to two significant figures to reflect appropriate precision in the estimate and this may cause some apparent discrepancies in totals. Data represents 100% of the Mineral Resource for Red Chris. Imperial’s joint venture interest in the Mineral Resource is 30%. Exploration Potential Newcrest’s resource definition drilling to date has focused on the East Zone which has enhanced its understanding of high grade continuity while allowing critical metallurgical and geotechnical data to be collected to support the PFS and the initial Newcrest Ore Reserve estimate. The Brownfields Exploration program is focused on the discovery of additional zones of higher grade mineralization within the Red Chris porphyry corridor, including targets outside of the Mineral Resource. A total of 109,177 metres of drilling from 92 drill holes have been drilled since Newcrest acquired its interest in the joint venture. Drilling continues to return significant intercepts across the entire porphyry corridor. Brownfields exploration drilling activities are currently focused on the following three areas: In the East Zone, drilling continues to confirm the potential for additional high grade mineralization south of the South Boundary Fault. The South Boundary Fault currently defines the southern extent of mineralization across the East Zone, Main Zone and Gully Zone. In the Main Zone, drilling has confirmed the potential for further higher grade mineralization which could support additional mineral resources, beneath and to the south west of the open pit. The mineralization is located immediately adjacent to the South Boundary Fault and is open at depth and along strike. Drilling to define the extent and continuity of this potential high grade mineralization is underway. At East Ridge, located adjacent to the East Zone, Newcrest’s first hole discovered a new zone of higher grade mineralization. The style of mineralization and grade tenor is similar to that seen in the high grade pods from the East Zone. The intercept, a 300 metre step out east of the East Zone, is located south of the South Boundary Fault and is open in all directions and extends the eastern side of the porphyry corridor. Drilling to define the extent and continuity of this high grade mineralization is underway. Plan view and cross section maps are available on imperialmetals.com. Qualified Person Greg Gillstrom, P.Eng., Imperial Senior Geological Engineer, is the designated Qualified Person for the purpose of National Instrument 43-101. Mr. Gillstrom has reviewed and verified the scientific and technical information in this news release. --- 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 | 604.669.8959Jim Miller-Tait | Vice President Exploration | 604.488.2676 Sabine 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 with respect to mineral resource estimates at the Red Chris mine; expectations and timing regarding a pre-feasibility study initiated by Newcrest and the release of ore reserve estimates and current and planned drilling programs at Red Chris. 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 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.
- GlobeNewswire
Imperial Reports 2020 Financial Results
VANCOUVER, British Columbia, March 17, 2021 (GLOBE NEWSWIRE) -- Imperial Metals Corporation (the “Company”) (TSX:III) reports financial results for its fiscal year ended December 31, 2020. Select Annual Financial InformationYears Ended December 31 expressed in thousands, except share and per share amounts 2020 2019(3) 2018 Continuing Operations: Total revenues$148,097 $71,823 $104,437 Net loss$(4,892)$(41,224)$(109,464)Net loss per share$(0.04)$(0.32)$(0.92)Diluted loss per share$(0.04)$(0.32)$(0.92)Adjusted net loss (1)$(5,421)$(50,310)$(68,622)Adjusted net loss per share (1)$(0.04)$(0.40)$(0.58)Adjusted EBITDA(1)$36,034 $(4,261)$(3,334)Cash flow (1)(2)$37,261 $(3,611)$106,468 Cash flow per share (1)(2)$0.29 $(0.03)$0.90 Discontinued Operations: Total revenues$- $166,067 $255,736 Net income (loss)$- $360,671 $(16,131)Net income (loss) per share$- $2.83 $(0.14)Diluted income (loss) per share$- $2.83 $(0.14)Adjusted net income (loss) (1)$- $39,143 $(16,141)Adjusted net income (loss) per share (1)$- $0.31 $(0.13)Adjusted EBITDA(1)$- $140,574 $36,602 Cash flow (1)(2)$- $21,503 $36,981 Cash flow per share (1)(2)$- $0.17 $0.31 Working capital (deficiency) deficiency$9,292 $53,661 $(789,470)Total assets$1,091,321 $1,103,488 $1,573,903 Total debt (including current portion)$2,422 $3,816 $871,268 (1) Refer to table in section Non-IFRS Financial Measures of the December 31, 2020 Management’s Discussion & Analysis for further details.(2) Cash flow is defined as the cash flow from operations before the net change in non-cash working capital balances, income and mining taxes, and interest paid. Cash flow per share is defined as cash flow divided by the weighted average number of common shares outstanding during the year.(3) Year ended 2019 has been restated to incorporate the finalization of fair values relating to the sale of Red Chris in August 2019. Select Items Affecting Net Loss (presented on an after-tax basis)Years Ended December 31 expressed in thousands 2020 2019(1) Net loss before undernoted items from continuing operations$(3,559)$(15,325)Interest expense (1,358) (46,273)BC Mineral tax recovery - 11,288 Foreign exchange gain on debt 25 10,375 Loss on early repayment of debt - (1,289)Net Loss from Continuing Operations$(4,892)$(41,224) (1) Year ended 2019 has been restated to incorporate the finalization of fair values relating to the sale of Red Chris in August 2019. Revenue from continuing operations increased to $148.1 million in 2020 compared to $71.8 million in 2019, an increase of $76.3 million or 106%. Revenue from the Red Chris mine in 2020 was $146.3 million compared to $35.9 million in 2019. The revenue from the period January 1, 2019 to August 14, 2019 from Red Chris was classified as discontinued operations. There were 18.3 concentrate shipments in 2020 from the Red Chris mine (2019-13.2 concentrate shipments). Revenue from the Mount Polley mine in 2020 was $0.4 million compared to $35.2 million in 2019. The decrease was attributable to the mine being on care and maintenance from May 2019 onwards. Variations in revenue are impacted by the timing and quantity of concentrate shipments, metal prices and exchange rates, and period end revaluations of revenue attributed to concentrate shipments where metal prices will settle at a future date. The London Metals Exchange cash settlement copper price per pound averaged US$2.80 in 2020 compared to US$2.72 in 2019. The London Metals Exchange cash settlement gold price per troy ounce averaged US$1,770 in 2020 compared to US$1,392 in 2019. The average US$/CDN$ exchange rate in the 2020 was 1.341 compared to an average of 1.327 in 2019. The average US$ strengthened by 1.1% compared to the CDN$ in 2020 over 2019. In 2020 the average copper price was CDN$3.76 per pound and the average gold price was CDN$2,374 per ounce compared to 2019 when the average copper price was CDN$3.61 per pound and the average gold price was CDN$1,847 per ounce. Revenue in 2020 increased by a $7.3 million revenue revaluation compared to a negative revenue revaluation of $3.3 million in 2019. Revenue revaluations are the result of the metal prices on the settlement date and/or the current period balance sheet date being higher or lower than when the revenue was initially recorded or the metal prices at the last balance sheet date and finalization of contained metals as a result of final assays. Net loss from continuing operations in 2020 was $4.9 million ($0.04 per share) compared to net loss of $41.2 million ($0.32 per share) in 2019. The majority decrease in net loss of $36.3 million was primarily due to the following factors: Loss from mine operations decreased from a loss of $7.7 million in 2019 to an income of $20.6 million in 2020, a decrease in net loss of $28.3 million.Interest expense decreased from $46.3 million in 2019 to $1.4 million in 2020, a decrease in net loss of $44.9 million.Foreign exchange gains/losses went from a gain of $10.1 million in 2019 to a loss of $0.6 million in 2020, an increase in net loss of $10.7 million.An income and mining tax recovery of $4.0 million in 2020 compared to a recovery of $28.4 million in 2019, an increase in net loss of $24.4 million. Cash flow from continuing operations was $37.3 million in 2020 compared to negative cash flow $3.6 million in 2019. Cash flow is a measure used by the Company to evaluate its performance however, it is not a term recognized under IFRS. The Company believes cash flow is useful to investors and is one of the measures used by management to assess the financial performance of the Company. Capital expenditures attributed to continuing operations were $73.6 million in 2020, up from $20.0 million in 2019. Red Chris expenditures before August 15, 2019 were classified as discontinued operations. The increase in 2020 was due to the inclusion of Imperial’s 30% share in Red Chris since August 15, 2019. At December 31, 2020, the Company had $34.0 million in cash compared to $90.0 million at December 31, 2019. NON-IFRS FINANCIAL MEASURES The Company reports four non-IFRS financial measures: adjusted net income, adjusted EBITDA, cash flow and cash cost per pound of copper produced which are described in detail below. The Company believes these measures are useful to investors because they are included in the measures that are used by management in assessing the financial performance of the Company. Adjusted net income, adjusted EBITDA, and cash flow are not generally accepted earnings measures and should not be considered as an alternative to net income (loss) and cash flows as determined in accordance with IFRS. As there is no standardized method of calculating these measures, these measures may not be directly comparable to similarly titled measures used by other companies. Adjusted Net Loss and Adjusted Net Loss Per Share Adjusted net loss from continuing operations in 2020 was $5.4 million ($0.04 per share) compared to an adjusted net loss of $50.3 million ($0.40 per share) in 2019. Adjusted net income or loss shows the financial results excluding the effect of items not settling in the current period and non-recurring items. Adjusted net income or loss is calculated by removing the gains or loss, resulting from acquisition and disposal of property, mark to market revaluation of derivative instruments not related to the current period, net of tax, unrealized foreign exchange gains or losses on non-current debt, net of tax. Adjusted EBITDA Adjusted EBITDA from continuing operations in 2020 was $36.0 million compared to a negative $4.3 million in 2019. We define Adjusted EBITDA as net income (loss) before interest expense, taxes, depletion, and depreciation, and as adjusted for certain other items. Cash Flow and Cash Flow Per Share Cash flow from continuing operations in 2020 was $37.3 million compared to a negative $3.6 million in 2019. Cash flow per share was $0.29 in 2020 compared to $(0.03) in 2019. Cash flow and cash flow per share are measures used by the Company to evaluate its performance however they are not terms recognized under IFRS. Cash flow is defined as cash flow from operations before the net change in non-cash working capital balances, income and mining taxes, and interest paid and cash flow per share is the same measure divided by the weighted average number of common shares outstanding during the year. Cash Cost Per Pound of Copper Produced The Company is primarily a copper producer and therefore calculates this non-IFRS financial measure individually for its three copper mines, Red Chris (30% share), Mount Polley and Huckleberry, and on a composite basis for these mines. Variations from period to period in the cash cost per pound of copper produced are the result of many factors including: grade, metal recoveries, amount of stripping charged to operations, mine and mill operating conditions, labour and other cost inputs, transportation and warehousing costs, treatment and refining costs, the amount of by-product and other revenues, the US$ to CDN$ exchange rate and the amount of copper produced. Idle mine costs during the periods when the Huckleberry and Mount Polley mines were not in operation have been excluded from the cash cost per pound of copper produced. Calculation of Cash Cost Per Pound of Copper Producedexpressed in thousands, except cash cost per pound of copper producedYear Ended December 31, 2020 Red Chris** Mount PolleyFinancial StatementsCash cost of copper produced in US$$37,770$-$37,770Copper produced – pounds 26,502 - 26,502Cash cost per lb copper produced in US$$1.43$-$1.43 Year Ended December 31, 2019(1) *Red Chris** Mount PolleyFinancial StatementsCash cost of copper produced in US$$125,286$12,907$138,193Copper produced – pounds 50,334 3,825 54,159Cash cost per lb copper produced in US$$2.49$3.37$2.55 * The Red Chris mine was classified as a discontinued operation effective January 1, 2019 to August 14, 2019. Effective August 15, 2019, the results from Red Chris are presented in continuing operations on a proportional basis relative to Imperial’s 30% beneficial interest in the Red Chris Joint Venture. ** The Mount Polley mine was placed on care and maintenance on May 26, 2019. (1) Year ended 2019 has been restated to incorporate the finalization of fair values relating to the sale of Red Chris in August 2019. DEVELOPMENTS DURING 2020 OPERATIONS The Company’s plans for 2021 and beyond could be adversely impacted by the effects of the COVID-19 pandemic. The continuing impact of COVID-19 to travel and other operating restrictions established to curb the spread of COVID-19, could materially and adversely impact the Company’s current plans by causing a temporary closure of the Red Chris mine, suspending planned exploration work, causing an economic slowdown resulting in a decrease in the demand for copper and gold, negatively impacting copper and gold prices, impacting the Company’s ability to transport or market concentrate or causing disruptions to supply chains. Red Chris Mine Red Chris mine 2020 metals production was 88.3 million pounds copper, 73,787 ounces gold, and 176,376 ounces silver. All metal production in 2020 increased over 2019 totals. Gold production increased over 100% as a result of higher grades. Imperial’s 30% portion of the production 26.5 million pounds copper, 22,136 ounces gold, and 52,913 ounces silver. Annual Production for the Year Ended December 3120202019Ore milled - tonnes 9,381,88110,430,762Ore milled per calendar day - tonnes25,63428,577Grade % - copper0.5290.412Grade g/t - gold0.4510.244Recovery % - copper80.776.0Recovery % - gold54.244.5Copper – 000’s pounds88,34371,880Gold – ounces73,78736,471Silver – ounces176,376133,879 * 100% Red Chris mine production A pre-feasibility study has been initiated by Newcrest on the development of an underground block cave mining operation at Red Chris. The study is expected to be delivered to the Joint Venture this summer. Newcrest is also planning to complete a feasibility study following completion of the pre-feasibility study with completion anticipated for mid-2022. As an initial step, an exploration decline will be constructed to provide access for underground drilling to provide more detailed geological and geotechnical information on the initial block cave. With the exploration results to date outlining higher grade pods within the deep east zone mineralization, and the exploration decline passing near the high grade pods, the potential for underground mining by a method other than block caving (early mining) is being considered as part of the pre-feasibility study. This early mining of a high grade pod is a key opportunity which could accelerate the timeline for the first underground ore to the mill, and bring cashflow from the underground mine forward. Early mining plans will require more definition of the high grade pod being considered for early mining. Additional drilling will be completed at approximate 50 metre spacing from the center of the drill hole pierce points into the mineralization. In the plant, additional cleaner flotation capacity is being installed to further increase metal recoveries. Imperial’s 30% share of exploration, development, and capital expenditures were $73.2 million in 2020 compared to $42.5 million in 2019 (from August 15, 2019 to December 31, 2019). Mount Polley Mine Mount Polley operations ceased in May 2019, and the mine remains on care and maintenance status. However, the mine restart plan prepared in 2019 is being updated to include revised pit designs, results of recent drilling, and current metal prices. The COVID-19 pandemic has had an impact on mine restart scenarios however, the vaccine distribution is anticipated to mitigate this risk. When the revised restart plan has been updated and the Province wide vaccine distribution is complete, the Company will seek to secure financing to fund restart of the mine. Site personnel continue to maintain access, fire watch, manage collection, treatment and discharge of site contact water, and actively monitor the tailings storage facility. During 2020, the Mount Polley mine incurred idle mine costs comprised of $12.3 million in operating costs and $4.3 million in depreciation expense. Exploration, development, and capital expenditures were $0.9 million in 2020 compared to $5.4 million in 2019. Huckleberry Mine Huckleberry operations ceased in August 2016, and the mine remains on care and maintenance status. Activities at the mine site during its closure have focused on maintaining access, water management (treatment and release of mine contact water into Tahtsa Reach), snow removal, maintenance of site infrastructure and equipment, mine permit compliance, updating the life of mine plan, environmental compliance monitoring, and monitoring tailings management facilities. A mine restart plan is under development for Huckleberry, which will reflect recent drilling and current metal prices. The COVID-19 pandemic has impacted the mine restart timeline however, the vaccine distribution is anticipated to mitigate this risk. As with Mount Polley, the Company will seek to secure financing to fund restart of the mine following completion of the Province wide vaccine distribution. The Company anticipates the restart of Huckleberry will follow the start of operations at Mount Polley. During 2020, Huckleberry incurred idle mine costs comprised of $5.0 million in operating costs and $0.7 million in depreciation expense. Exploration, development, and capital expenditures were $0.9 million in 2020 compared to $nil million in 2019. EXPLORATION Mount Polley The 2020 exploration program at Mount Polley focused on improving drill hole data density of mineralization near historic mining areas where the use of underground mining is being considered and drilling of new geophysical and geochemical anomalies outlined by recent surveys in the Trio Creek area located north and northwest of the mine. Six drill holes totalling 3,792 metres were completed. The WX zone is the most recent major discovery (2009) at Mount Polley. Located south of the Springer pit, it is noted for its high gold grades and high gold/copper ratio mineralization. Drill hole WX-20-78 was designed test and confirm 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 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 SD-20-162 was designed to fill a gap in drilling on the eastern side of the target area beneath the Springer pit. The Springer zone contains most of the reserves in the current open pit mine plan. Historic drilling beneath the currently planned Springer pit confirmed the mineralization continues for at least 250 metres below the pit bottom. Studies are underway to evaluate the potential for bulk underground mining beneath the planned pit. The Trio Creek target area is located north and northwest of the mine. This area is covered by glacial till with limited bedrock exposure. Using new geophysical and geochemical anomalies outlined by recent surveys, 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. Additional exploration is planned for 2021 to further define these targets. Huckleberry In 2020, a drill program to test the East zone at depth was designed to evaluate the deposit where the majority of historic drill holes were stopped at a depth of 300 m while still in copper mineralization. Mining at the East zone only went to a depth of about 200 metres. Between 1997 and 2007, the East zone pit provided high grade mill feed of approximately 50 million tonnes ore grading 0.55% copper. Mining to 2016 was from two zones of mineralization, the East and Main zones, with the East zone containing the higher-grade copper mineralization. Three drill holes totaling 2,491 m were completed. Drill results confirmed that copper mineralization continues to significant depths below the East zone pit and historic drilling. Additional drilling will be necessary to further define and expand the limits of the East zone copper deposit. In addition, a Volterra 3-Dimensional Induced Polarization survey was conducted over the East zone to produce a geophysical signature over zones of known mineralization and enhance the geological model and ore controls. The data will be interpreted and used to locate new drill targets. Greenfield Projects Exploration was conducted at the Giant Copper and LJ greenfield properties during 2020. At the Giant Copper property, a portable diamond drill was used for a series of six holes, covering an area approximately 10 square metres. All the drill holes were terminated by caving or the depth limitations of the portable diamond drill and ended in the mineralization. Follow up drilling is planned for 2021 pending authorization of a Notice of Work. At the L J property, diamond blade saw channel sampling was conducted over a width of 90 metres, over new extensions of the massive sulfide occurrence recently exposed by glacial melt back. Additional work is planned for 2021. FOURTH QUARTER RESULTS FROM CONTINUING OPERATIONS Revenue in the fourth quarter of 2020 was $36.9 million compared to $29.4 million in 2019. Sales revenue is recorded when title for concentrate is transferred on ship loading. Variations in revenue are impacted by the timing and quantity of concentrate shipments, metal prices and exchange rates, and period end revaluations of revenue attributed to concentrate shipments where copper and gold prices will settle at a future date along with finalization of contained metals as a result of final assays. The Company recorded a net loss of $4.9 million ($0.04 per share) in the fourth quarter of 2020 compared to net loss of $11.3 million ($0.09 per share) in the prior year quarter. Expenditures for exploration and ongoing capital projects at Mount Polley, Red Chris and Huckleberry totalled $17.5 million during the three months ended December 31, 2020, compared to the expenditures for exploration and ongoing capital projects at Mount Polley and Huckleberry which totalled $10.5 million in the 2019 comparative quarter. Red Chris expenditures from August 15, 2019 onwards represented Imperial’s 30% proportionate share compared to the prior year quarter where these expenditures were classified as discontinued operations. OUTLOOK Corporate and Operations At December 31, 2020, the Company had not hedged any copper, gold, or US$/CDN$ exchange. Quarterly revenues will fluctuate depending on copper and gold prices, the US$/CDN$ exchange rate, and the timing of concentrate sales, which is dependent on concentrate production and the availability and scheduling of transportation. Newcrest provided metals production guidance (100%) for Red Chris mine, for the period July 1, 2020 to June 30, 2021 (period conforms to Newcrest June 30 annual year end), in the range of 55.1 to 66.1 million pounds copper and 45 to 55 thousand ounces gold. The restart of Mount Polley and Huckleberry operations are being planned. The timeline of a restart will depend on securing financing, and the completion of the Province wide vaccine distribution. Exploration Imperial maintains a large portfolio of greenfield exploration properties in British Columbia. These properties have defined areas of mineralization and exploration potential. Management continues to evaluate various opportunities to advance many of these properties. Exploration plans for 2021 will be focused at Red Chris. For additional information, refer to Imperial’s 2020 Annual Report available on imperialmetals.com and sedar.com About Imperial Imperial is a Vancouver 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%). Company Contacts Brian Kynoch | President | 604.669.8959Darb Dhillon | Chief Financial Officer | 604.488.2658Sabine 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 with respect to the impact of COVID-19 on the Company’s business and operations; metal pricing; the preparation of, and timing for, a pre-feasibility and feasibility study in respect of a underground block cave mining operation at Red Chris; potential development plans and mining methods at Red Chris; the potential acceleration of the timeline to production and cash flows from any underground expansion; the impact of vaccine distribution on mine restart plans at Mount Polley and Huckleberry; financing to fund restart Mount Polley and Huckleberry; the ordering of any restart at Mount Polley and Huckleberry; metal production guidance and estimates; and expectations and timing regarding current and future exploration and drilling programs. 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.
- GlobeNewswire
Imperial Acquires 30% Interest in the GJ Property
VANCOUVER, British Columbia, March 15, 2021 (GLOBE NEWSWIRE) -- Imperial Metals Corporation (the “Company”) (TSX:III) announces acquisition of a 30% interest in the GJ Property for $3.04 million from its Joint Venture partner Newcrest Red Chris Mining Limited (70% interest). The GJ Property will be included as part of the Red Chris Joint Venture. The GJ Property includes known copper-gold porphyry mineralization and is located approximately 30 kilometres southwest of the Red Chris mine. The property covers the south west extent of the Red Chris GJ-Donnelly porphyry trend in the Golden Triangle and is comprised of 87 mineral tenures covering 39,432 hectares. Brian Kynoch, Imperial Metals President, said “We are excited to announce this acquisition and look forward to working with our Joint Venture partner to explore this property given its proximity to the Red Chris mine infrastructure and its geological similarity to Red Chris.” The main deposit on the GJ Property is the GJ-Donnelly copper-gold porphyry which is classified as a ‘high-K calc-alkalic to silica-saturated alkalic deposit’. Similarities to the Red Chris deposit include: The Donnelly host rock, the Groat stock, is similar in age and composition to the Red Stock which hosts the Red Chris deposit.The Groat stock has a general east-northeast by west-southwest trend and structures like the Red stock and may be on the same crustal lineament.The alteration and mineralization are similar consisting of disseminated and fracture-controlled pyrite-chalcopyrite, quartz vein hosted chalcopyrite-pyrite, minor molybdenite and bornite. In deeper diamond drilling at the GJ-Donnelly zone, previous explorers have identified intensely altered intrusives, with up to 55% quartz veining, as sheeted veins. In these zones the sulphides appear as finer grained and occur equally in the intrusive and quartz veins, and yield significantly higher copper, gold and silver grades. Exploring for higher grade mineralization, similar to that encountered in the deep East zone at Red Chris, will be one of the key targets at GJ. The deposit is ‘open’ at depth. Outside of the GJ-Donnelly zone, the GJ Property has numerous other mineralized copper-gold porphyry and gold-silver veins which could be evaluated in future exploration programs. Low to moderate copper-gold grades have been drilled at the Wolf and Seester porphyry prospects in the Groat stock, six and eight kilometres respectively, east-northeast along the structural trend from GJ-Donnelly. The Trevor Peak showing consists of veins with high gold values in volcanics adjacent to the Groat stock located 4.5 kilometres east of GJ-Donnelly. Silver-rich base-metal sulphide veins occur at the Horn, a showing seven kilometres north-northwest of GJ-Donnelly. Past drilling at the Horn also suggests gold potential. The QC-Gordon vein in the extreme north of the property contains very high gold-silver grades in polymetallic veins and porphyry copper-gold in dikes and volcanic rocks. Potential targets for future exploration programs at Red Chris and the neighbouring GJ Property, now part of the Red Chris Joint Venture, have been identified based on geological compilation and the results from an Airborne Electro-Magnetic and Gravity survey completed in 2020. 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 25 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 | 604.669.8959Jim Miller-Tait | VP Exploration | jim.miller-tait@imperialmetals.comSabine 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 of the GJ Property, including exploration potential and similarities to the Red Chris deposit. 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.
