�Completed the quarter with approximately $47.0 million in cash and equivalents, aggregate working capital of $45.1 million and total assets of $156.6 million.

�Reported total silver production (100% project basis) of 1.3 million ounces and gold production of 4,939 ounces from the 40%-owned Pallancata silver-gold mine, Peru.  Of this total production, the Company's share was 0.52 million ounces of silver and 1,976 ounces of gold.  The decrease in gold production from the prior quarter was due to the seasonal effect of fewer processing days in the quarter ended March 31 versus the quarter ended December 31, and also due to the temporary labor stoppage by local workers as described in the March 24 and 27, 2009 news releases. 

The Pallancata Mine produced 4.2 million ounces of silver and 15,941 ounces of gold for the fiscal year-to-date of which the Company's 40% share is 1.7 million ounces of silver and 6,376 ounces of gold.  The Company estimates that the mine will produce approximately 7 million ounces of silver and 25,000 ounces of gold (100% project basis) for calendar year 2009.

�Reported direct onsite costs at the Pallancata Mine for the current quarter of $4.16 per ounce silver (after gold by-product credit) and total cash costs (as defined by the Gold Institute) of $6.62 per ounce silver (after gold by-product credit).These costs per ounce of silver are an improvement from the prior quarter ended December 31, 2008 due to improved silver grades for ore mined and higher gold by-product prices realized during the fiscal third quarter.

�Realized Net Income of $2.0 million ($0.02 per share) for the current quarter and $10.56 million ($0.11 per share) for the nine-month period, including equity earnings from the Pallancata joint venture of $3.27 million for the quarter ended March 31, 2009, and $8.14 million for the nine-month period ended March 31, 2009.   Cash generated from Pallancata joint venture revenues during the remainder of calendar year 2009 is expected to continue to be applied toward planned mine capital expansion programs and, depending on metal prices and other factors, may not result in significant dividends to the joint venture partners during calendar year 2009. IMZ uses an equity accounting basis to record its interest in the Pallancata Mine.

�Announced on January 26, 2009, the results of an interim addendum study and updated mineral resource estimate at the Gaby Project in Ecuador. The study concluded that a stable gold price at or above $1,000/oz would be needed to merit initiation of a final feasibility study for the Gaby Project, assuming a positive outcome relating to certain key issues under the new mining law in Ecuador.

�Announced on February 19, 2009 an updated capital and operating cost estimate for the 100% owned Rio Blanco gold-silver project in Ecuador.The updated economic model concluded that at a gold price of $750 per ounce, the Rio Blanco project could yield a pre-tax and pre-government royalty cash flow of $113 million over a 7.5 year mine life at an estimated capital cost of $120 million and could recover approximately 532,000 ounces of gold and 3.0 million ounces of silver with average annual production of approximately 71,000 ounces of gold and 400,000 ounces of silver.

�Commenced on October 17, 2008, a share repurchase program to purchase (on the Toronto Stock Exchange) 5.0 million of its common shares ("Shares"), representing 5.2% of the Company's 96.0 million issued and outstanding Shares as at October 8, 2008.As of May 15, 2009, a cumulative total of 3,198,000 Shares have been repurchased at an average price of C$2.76 per Share for a total cost of C$7.6 million ($6.2 million).A total of 3,019,000 Shares repurchased through March 31, 2009, have been cancelled.

�On March 24, 2009, all mining activities at the Pallancata Mine were temporarily halted by a work stoppage of local workers claiming that they were owed greater profit sharing payments.On March 27, 2009, Hochschild, as mine operator, successfully concluded negotiations and reached agreement with local workers and full mining operations resumed at the Pallancata Mine and the nearby Selene processing facility.IMZ believes that there should be no significant impact to the Pallancata Mine production for calendar year 2009 as a result of the four-day production disruption.

Subsequent to the end of the quarter (on April 17, 2009), operations at the Rio Blanco project were temporarily suspended and the Company's work force removed after a group of protesters from the local communities occupied the Company's exploration camp. As of May 15, 2009 the protesters have vacated the camp but the Company's work force is unable to re-occupy the camp due to roadblocks preventing access. The protest relates to issues concerning layoffs of the community workers at the beginning of 2009 as a result of the suspension of all exploration activities in Ecuador by all companies due to the Mining Mandate issued in April 2008 by the Ecuadorian government. Even though a new mining law was passed in January 2009, the Rio Blanco Project has been essentially inactive pending an official notification from the government for the Company to re-start its activities.

Consolidated net income for the three-month period ended March 31, 2009was $2.0 million ($0.02 per share, lower than the equivalent period in 2008 of $4.1 million ($0.04 per share). This reduced income for the period was due principally to:a) a modest decrease in equity earnings from the Pallancata joint venture of $3.3 million (2008 � $3.7 million);b) decreased foreign exchange gain of $0.55 million due to a more stable US dollar this period when compared to the same periodlast year ($1.6 million) when the US dollar was stronger against the Canadian dollar; c) a large increase in stock based compensation expense to $0.5 million as a result of the issuance of new stock options during the current period compared to $0.1 million for the same period in 2008; and d) a drop in interest earned to $0.1 million (2008 -$0.6 million) resulting mainly from a decline in interest rates.