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News Release - Monday, August 27, 2007
Impact Announces Second Quarter Results
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IMPACT Silver Corp. (IPT: TSX.V) ("IMPACT" or "the Company") is pleased
to announce its results for the quarter ended June 30, 2007. The
Company's consolidated financial statements include the results of the
Royal Mines of Zacualpan Project ("Zacualpan") that was purchased on
January 16, 2006 and resumed production on January 18, 2006. For the
2007 second quarter, the Company's net revenues were $1,677,000 (2006
-- $1,977,000) and net loss of $48,000 (2006 -- $103,000). Year to
date net revenues were $3,536,000 compared to $3,124,000 for the same
period in 2006 with net earnings of $219,000 compared to $75,416 in the
first half of 2006. The Company's loss for the quarter included a
provision for foreign exchange losses of $172,000 compared to a gain in
the comparative period in 2006 of $158,000.

The comparative results for the second quarter of 2006 have been
restated in accordance with the recommendations contained in CICA
handbook 1506.42. While there has been no change to the net income for
the 2006 year, there was a significant timing difference and its impact
on net income for the comparative 2006 second quarter earnings as a
result of the restatement of the forward sales contract liability
incurred during the acquisition of the Zacualpan mine.

In the second quarter of 2007, the Company achieved higher levels of
throughput at the Zacualpan mine, averaging 279 tonnes-per-day ("tpd").
The amount of silver produced in the quarter was 13% lower, however
production in lead increased 95% and zinc by 74% over the comparable
quarter in 2006. The number of total tonnes processed also increased
by 75%.

Production
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Q2 2007 Year to Year to
Date 2007 Date 2006
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Total mill throughput (t) 25,451 48,296 29,859
Average daily mine production (t) 279 253 182
Silver Production (oz) 73,890 159,497 189,409
Lead (t) 157.35 293.03 164.62
Zinc (t) 243.69 487.28 340.33
Cdn. $ direct costs (t) 43.38 46.97 63.23
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Note: All measurements (other than silver) are in metric tonnes (t) and
are subject to smelter settlements

During the first half, mining of medium grade mineral at the Guadalupe
Mine continued principally on the 195m Level as well as exploiting the
Liptonia Vein on the 140m level. Success in exploration drilling in
2006 led to the commencement of mining in late 2006 from La Gallega
(Salvadora) Mine. Mining began on the high grade Salvadora stopes and
in the first quarter also commenced on the Lipton Vein and the
recently-discovered San David Vein.

With the current prices for base metals the Company plans to continue
to mine higher grade lead and zinc mineralization in older production
stopes before moving the infrastructure over to the higher silver grade
mineralization at San Ramon and El Chivo in the late fall.

The Company is continuing an aggressive exploration and development
program as part of the plan to ramp up production at Zacualpan to the
current capacity of the mill of 500tpd. A surface drill program of
approximately 10,000m is currently underway while underground drilling
(with the Company's own rig) continues on a two shift basis.

During the first six months the Company acquired through a Government
auction, a 100% interest in the mineral exploration rights to the
200km2 Mamatla mining district, which lies immediately adjacent to the
Zacualpan mining district. In Zacatecas the company now has interests
in seventeen mineral concessions. The acquisition of these exploration
rights adds significantly to the overall growth potential and future
prospects of the Company.

The Company holds all its cash and cash equivalents in bank secured
investments. It holds no commercial paper.

IMPACT Silver Corp. is a Tier 1 silver-focused mining and exploration
company with two producing silver mines at Zacualpan, Mexico;
exploration rights to two Mexican mining districts, an advanced-stage
silver project at Zacatecas, Mexico; and, other projects in the
Dominican Republic. Energold Drilling Corp. (EGD: TSX.V) owns 6.6
million shares of IMPACT.


On behalf of the Directors of IMPACT Silver Corp.


"Frederick W. Davidson"
President & CEO

For further information, please contact:
Darrell Rader - Corporate Development


The TSX Venture Exchange does not accept responsibility for the
adequacy or accuracy of this news release.

900 - 543 Granville St.
Vancouver, BC V6C 1X8

Telephone 604 681 9501
Facsimile 604 681 6813
www.IMPACTSilver.com
inquiries@IMPACTSilver.com

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Copyright (c) 2007 IMPACT SILVER CORP. (IPT) All rights reserved. For
more information visit our website at http://www.impactsilver.com/ or
send mailto:inquiries@impactsilver.com
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