Imperial Metals Delivers Robust Q2 Results, Poised for Continued Growth

Imperial Metals Corporation, a leading mining company, has reported its financial and operational results for the second quarter of 2024, showcasing a strong performance driven by increased production, higher metal prices, and efficient operations. The company's diversified portfolio of assets, including the Mount Polley and Red Chris mines, has enabled it to navigate the industry's challenges and deliver impressive results for its shareholders.

Unlocking Value Through Strategic Execution

Operational Excellence Drives Robust Performance

Imperial Metals' second-quarter results demonstrate the company's ability to optimize its operations and capitalize on favorable market conditions. The company's consolidated production of 27,854,171 pounds of copper and 26,629 ounces of gold during the first half of the year positions it well to achieve its 2024 guidance. The strong operational performance, coupled with higher metal prices, has translated into impressive financial results, including adjusted EBITDA of .1 million and cash earnings of .2 million.The Mount Polley mine, a key asset in Imperial Metals' portfolio, reported a 26% increase in copper production compared to the first quarter of 2024, driven by higher copper grades and improved mill throughput. The Red Chris mine, in which Imperial Metals holds a 30% stake, also delivered a strong performance, with a 24% increase in copper production and a 32% increase in gold production compared to the previous quarter. These operational achievements, coupled with the company's focus on cost management, have contributed to the robust financial results.

Advancing the Red Chris Block Cave Project

One of the key strategic priorities for Imperial Metals is the development of the Red Chris Block Cave project, a transformative initiative that will unlock the full potential of the Red Chris asset. The company's joint venture permitting group continues to work closely with the Tahltan Nation and the British Columbia government to advance the required approvals for the planned block cave mine.The feasibility study work for the Red Chris Block Cave project is progressing, with a focus on refining the capital cost estimates, the project schedule, and ensuring the accuracy and execution of the plan. The underground development activities at the Red Chris mine are aligned with the permitting schedule, with the Nagha decline expected to be completed to the extraction level elevation by the end of 2024.

Maintaining a Disciplined Approach to Capital Allocation

Imperial Metals has demonstrated a disciplined approach to capital allocation, directing its resources towards strategic initiatives that will drive long-term value creation. During the second quarter, the company's capital expenditures, including leases, amounted to .9 million, with a significant portion allocated to exploration and development, tailings dam construction, and other critical infrastructure improvements.The company's commitment to responsible mining practices is evident in its investments in projects that enhance safety, site efficiency, and environmental stewardship. For instance, the installation of a coarse ore stockpile cover and a tailings thickener at the Red Chris mine will improve water recycling and overall site operations.

Leveraging a Diversified Asset Portfolio

Imperial Metals' diversified asset portfolio, which includes the Mount Polley and Huckleberry mines, in addition to its stake in the Red Chris mine, provides the company with a well-balanced and resilient business model. While the Huckleberry mine remains on care and maintenance, the company continues to focus on maintaining site access, water management, and environmental compliance monitoring to ensure the responsible stewardship of the asset.The company's exploration efforts, which include a recently completed diamond drilling program at the Mount Polley mine, demonstrate its commitment to unlocking the full potential of its existing assets and identifying new growth opportunities. The information gathered from these exploration activities will be used to update the mine plans for the Springer Pit, further enhancing the long-term viability of the Mount Polley operation.

Navigating Market Volatility with Agility

Imperial Metals' strong financial position and operational flexibility have enabled the company to navigate the industry's challenges with agility. During the second quarter, the company did not hedge any of its copper, gold, or US/Canadian dollar exchange exposures, allowing it to fully capitalize on the favorable market conditions.The company's focus on cost management, coupled with its ability to adapt to changing market dynamics, has been instrumental in driving its financial performance. The robust cash earnings and adjusted EBITDA generated during the quarter underscore the company's resilience and its capacity to generate sustainable value for its shareholders.

Commitment to Responsible Mining Practices

Imperial Metals' commitment to responsible mining practices is a cornerstone of its business strategy. The company's focus on environmental stewardship, community engagement, and worker safety is evident in its ongoing investments and initiatives across its operations.The care and maintenance activities at the Huckleberry mine, which include water treatment, environmental monitoring, and infrastructure maintenance, demonstrate the company's dedication to responsible asset management, even during periods of reduced production.Furthermore, the company's collaboration with the Tahltan Nation and the British Columbia government in the permitting process for the Red Chris Block Cave project underscores its commitment to inclusive and transparent stakeholder engagement. This approach ensures that the development of the project aligns with the interests of the local community and the broader region.

Positioned for Continued Growth and Value Creation

Imperial Metals' strong second-quarter performance, coupled with its strategic initiatives and disciplined approach to capital allocation, positions the company for continued growth and value creation. The company's diversified asset portfolio, operational excellence, and commitment to responsible mining practices provide a solid foundation for long-term success.As the company navigates the evolving industry landscape, it remains focused on optimizing its existing operations, advancing the Red Chris Block Cave project, and exploring new opportunities to expand its resource base and drive sustainable growth. With a talented team, a robust balance sheet, and a clear strategic vision, Imperial Metals is poised to deliver enhanced value for its shareholders in the years to come.