NEWS RELEASE

  INTERNATIONAL MINERALS CORPORATION

May 31, 2004     

    Toronto and Swiss Exchanges – Symbol “IMZ”, Frankfurt – Symbol “MIW”                                             

           INTERNATIONAL MINERALS REPORTS THIRD QUARTER FINANCIAL RESULTS

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International Minerals Corporation (the “Company”) has filed its unaudited, management-prepared March 31, 2004 interim financial statements on SEDAR.  Highlights of these financials for the third quarter of the Company’s 2004 fiscal year are shown below (all numbers are reported in US Dollars):

·    The consolidated net loss for the current three-month period ended March 31, 2004 (the “current period”) was $96,880 or $Nil per share.  This compares to a loss of $122,885 or $Nil per share for the same quarter in 2003.   

The consolidated loss for the cumulative nine-month period ended March 31, 2004 was $395,078 or $Nil per share.  This compares to a loss of $544,885 or $0.01 per share for the same nine-month period in 2003.   

·    Capitalized resource property expenditures for the current quarter increased to $1,308,353 compared to expenditures of $202,290 for the same quarter last year, due primarily to the increased drilling and other feasibility study costs incurred at the Company’s Rio Blanco gold property in Ecuador during the current quarter. 

Capitalized resource property expenditures for the cumulative nine-month period ended March 31, 2004 were $3,127,175, compared to expenditures of $1,947,450 for the same period last year, again due to feasibility study activity at Rio Blanco. 

·    Cash and cash-equivalents increased significantly by $14,668,390 from $2,946,645 at June 30, 2003 to $17,615,035 as of March 31, 2004 due principally to the net proceeds realized from the January 2004 private placement (approximately $15.6 million) and from the exercise of share purchase warrants (approximately $2.17 million).   

·    Working capital increased by $14,813,496 from $3,126,895 at year-end June 30, 2003 to $17,940,391 as of March 31, 2004 primarily for the same reasons stated above.


 

ON BEHALF OF THE BOARD

 “Stephen J. Kay”

 Stephen J. Kay, President and CEO

 The Toronto, Swiss and Frankfurt Stock Exchanges neither approve nor disapprove the information contained in this News Release.

 

       For additional information, contact Terri Kasten at Tel: (480) 483-9932 or Fax: (480) 483-9926

                         Internet Site: http://www.intlminerals.com       E-mail:emc@primenet.com