International Minerals Reports Updated Costs at
Rio Blanco Gold-Silver Project, Ecuador

 Scottsdale, Arizona, February 19, 2009 � International Minerals Corporation (TSX and SWX: �IMZ�) reports an updated capital and operating cost estimate for the 100%-owned Rio Blanco gold-silver project in Ecuador.

Table 1 below shows a comparison of the updated costs with the January 2006 feasibility study case on a pre-income tax, pre-government royalty and pre-windfall revenue tax basis.

Table 1. Base Case Highlights � Rio Blanco Gold-Silver Project (US Dollars)

 ^{(If tables below do not appear clearly, please refer to the full news release on our website: http://www.intlminerals.com/newsreleases.php)}

Notes   1.  Initial capital does not include working capital, which is projected at $13.2 million in the February 2009 estimate and $4.0 million in the 2006 estimate.

            2.  G&A includes refining, transportation, insurance, environmental and social costs.

            3.  Total Cash Costs per ounce of gold is shown net of silver credit. Total Cash Costs, using the Gold Institute�s definition, comprise: mine operating costs, processing costs, mine general and administrative costs, transportation and refining costs, local and payroll taxes but excludes the Ecuadorian government royalty, windfall and income taxes.

            4. The February 2009 estimate includes Ecuadorian value added tax (IVA), which is not recoverable. This was assumed to be recoverable in the 2006 estimate.
5. The January 2006 feasibility study did not include reserve ounces from the San Luis Vein.
6.  Total Production Costs, using the Gold Institute�s definition, comprise: Total Cash Costs plus depreciation, depletion and amortization, and reclamation closure costs.

The estimates in Table 1 are projections only and there can be no assurance that these projections can be attained in an actual mining operation.

Table 2 shows key projected financial performance indicators based on gold price sensitivity cases on a pre-income tax, pre-government royalty and pre-windfall revenue tax basis. The overall project is relatively insensitive to variations in the silver price.

Table 2. Project Sensitivity to Variations in Gold Price (February 2009 Estimate)

Note     1. Cash flow shown includes initial capital, expansion capital of $2.7 million to enlarge the tailings facility, salvage and reclamation costs.

This new cost study updates those costs reported by IMZ in a feasibility study dated January 30^th, 2006 for an 800 tpd underground mining operation for a period of approximately seven years using conventional mining and processing methods. The January 2006 mineral reserve estimates were updated by IMZ in a news release dated October 12, 2006 to include additional reserves in the San Luis vein. Current costs are now based on estimated proven and probable reserves of 2.15 million tonnes (�Mt�) at an average grade of 8.8 grams per tonne (�g/t�) gold and 62 g/t silver containing 605,000 ounces of gold and 4.3 million ounces of silver (with 142,560 tonnes at 10.8 g/t gold and 90 g/t silver in the proven category and 2.0 Mt at 8.6 g/t gold and 61 g/t of silver in the probable category of reserves).

Although prices for mine and process equipment and labor costs and materials are beginning to decline due to the general worldwide economic downturn, the final cost estimate for Rio Blanco will require a further update once permitting and taxation aspects are clearer following implementation of the new mining law approved in Ecuador in January 2009 (see more details below).

The consulting work undertaken by AraWorleyParsons/Mas Errazuriz, Metalica Consultores, and IMZ was supervised by IMZ�s Qualified Person, Operations Manager Gordon Grams, P.Eng.

Mining Method

The Alejandra North veins will be mined by a longhole open stoping technique with a combination of paste and waste rock backfill using mobile diesel-operated rubber-tired equipment.  The mine will be accessed via an adit and a ramp system connected to surface at the portal on the 3780 meter (�m�) elevation.  The mining method employed will utilize ramp access to the mining levels (20m between each level) and each stope will be backfilled after mining is completed. The San Luis veins will be mined by a conventional cut-and-fill mining method.

Processing

The selected 800 tonnes per day (�tpd�) conventional processing method consists of two-stage crushing and screening, fine ore storage, single stage grinding and classification, whole ore cyanide leaching, and thickening and filtration of leach discharge slurries. Leach tailings will be treated to destroy residual cyanide. Approximately 30% of the tailings will be processed in a paste-fill plant and used as mine backfill. Tailings not returned underground will be transferred to a lined impoundment. Pregnant (metal bearing) leach solution will be clarified and de-aerated prior to the injection of zinc dust and lead nitrate to precipitate gold and silver (Merrill-Crowe process). Precipitates will be collected in a filter press, dried and smelted to produce dor� bars containing approximately 95% gold and silver for shipment to a refiner.

New Mining Law - Ecuador

On January 29, 2009, Ecuador approved a new mining law, with key aspects described below:

�         The regulations determining how the law will be interpreted will require up to an additional four months to be issued.

�         Thereafter, up to another four months will be required for implementation of the mining regulations. 

�         The mining law does not define the actual production royalty to be levied (although a minimum 5% of �sales� is specified in the law) nor does it establish the base price for the 70% windfall revenue tax. These critical issues must be specified at a later date in the regulations or in an �exploitation contract� to be negotiated by each company with the government.

Until the legislative framework is completed, it is not possible to accurately determine either the �bottom-line� effect of the royalty and windfall revenue tax on the economics of the Rio Blanco project or the precise time line for progressing the project into production. IMZ management, however, currently estimates a production date in the first half of 2012, subject to permitting being completed by the end of 2009 and also to additional financing for construction of the mine.

For additional information, contact Wendy Yang at (1) 303-357-4863

Internet Site: http://www.intlminerals.com      

Cautionary Statement:

The Gold Institute calculation of Direct Site Costs and Total Cash Costs are non-Canadian GAAP financial measures, which IMZ management believes are useful in measuring operational performance but do not replace GAAP financial measures, which should be referred to. Some of the statements contained in this release are �forward-looking statements� within the meaning of Canadian securities law requirements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements in this release include statements regarding permitting, construction and production estimates; financial performance indicators and sensitivity of those indicators to various gold price levels; timing and scale of production ramp up and processing increases, estimated capital costs, inventory estimate and precious metal prices. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties such as: risks relating to estimates of project sensitivity valuation or economics; construction or production startup; production and processing rates; risks of cost overruns and completion delays; risks of capital and operating cost increases; and other risks and uncertainties detailed in the Company�s Renewal Annual Information Form for the year ended June 30, 2008, which is available at www.sedar.com under the Company�s name. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.