FORM 7 MONTHLY PROGRESS REPORT IMC International Mining ...

FORM 7 – MONTHLY PROGRESS REPORT January 2015

FORM 7

MONTHLY PROGRESS REPORT

Name of Listed Issuer: IMC International Mining Corp. (the “Issuer”) Trading Symbol: IMCX Number of Outstanding Listed Securities: 49,155,796 Date: July 7, 2020 This Monthly Progress Report must be posted before the opening of trading on the fifth trading day of each month. This report is not intended to replace the Issuer’s obligation to separately report material information forthwith upon the information becoming known to management or to post the forms required by Exchange Policies. If material information became known and was reported during the preceding month to which this report relates, this report should refer to the material information, the news release date and the posting date on the Exchange website. This report is intended to keep investors and the market informed of the Issuer’s ongoing business and management activities that occurred during the preceding month. Do not discuss goals or future plans unless they have crystallized to the point that they are "material information" as defined in the Policies. The discussion in this report must be factual, balanced and non-promotional. General Instructions (a) Prepare this Monthly Progress Report using the format set out below. The sequence of questions must not

be altered nor should questions be omitted or left unanswered. The answers to the items must be in narrative form. State when the answer to any item is negative or not applicable to the Issuer. The title to each item must precede the answer.

(b) The term “Issuer” includes the Issuer and any of its subsidiaries.

(c) Terms used and not defined in this form are defined or interpreted in Policy 1 – Interpretation and General Provisions.

Report on Business 1. Provide a general overview and discussion of the development of the Issuer’s business and

operations over the previous month. Where the Issuer was inactive disclose this fact. The Issuer is a junior mineral exploration and development company focused on creating shareholder value through advancements of its current assets, including the Thane Property in north-central British Columbia and the Bullard Pass Property in Arizona. Utilizing its experienced management team, the Issuer continues to source and evaluate assets to further generate shareholder value. During the month of June 2020, the Issuer actively continued general and corporate operations.

2. Provide a general overview and discussion of the activities of management. During the month of June 2020, management continued to support and control the Issuer’s business activities, advance the assets of the Issuer and develop the Issuer’s business.


On June 4, 2020, the Issuer announced by way of news release results from its ongoing compilation of work from its Thane Property (the "Property") located in north-central British Columbia. The Issuer began an extensive compilation and synthesis of available data from the Property, which includes 359 rock samples collected by CME Consultants Inc. ("CME"), 1,098 rock samples collected by Thane Minerals Inc. ("TMI"), and soil sampling and Induced Polarization ("IP") surveys completed by TMI.

Work on the Property has identified six areas of significant gold ± copper ± silver mineralization. The results from the Issuer’s compilation work presented in this news release are for the CJL, Mat, and Lake Areas. The Issuer previously released Cathedral Area results, and Gail/Cirque Area results.

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CJL Area

Commander Resources Ltd. first discovered the CJL Showing in 2005 during a one-day reconnaissance traverse. TMI undertook a short prospecting program in 2016 to verify Commander Resources results, which resulted in the collection of 56 rock samples. Copper mineralization at the CJL Showing is hosted by highly altered, foliated syenite and magnetite/specular hematite breccia. Due to the steepness of the terrain, in-situ mineralization was not visited by TMI, however visible copper oxide mineralization (malachite) was observed on the cliff face for a length of over 125 meters. From the 56 rock samples collected by TMI, 31 samples returned greater than 0.1% Cu, and 10 samples returned greater than 1.0% Cu. The highest copper values were found to occur in areas of intense brecciation. Although gold grades appear to be lower in tenure from the Gail and Cathedral Showings, located approximately 5 km and 11 km to the south, respectively, sample 3020 returned 0.632 ppm Au, which demonstrates gold mineralization of significant tenure does exist at the CJL Showing. Significant samples are presented in Table 1 and a compilation of results is presented below.


Table 1: Selected rock sample results, CJL Area

Sample Sample Type Cu (%) Au (g/t) Ag (g/t)

3018 Float 1.715 0.014 3.25

3020 Float 1.060 0.632 2.74

3027 Float 5.180 0.049 9.44

3028 Float 0.653 0.003 1.32

3049 Float 1.030 0.006 1.32

3051 Float 3.100 0.040 28.90

3052 Float 2.250 0.014 3.31

3054 Float 0.896 0.008 2.29

3056 Float 0.620 0.009 1.43

3057 Float 0.723 0.006 1.59

3059 Float 1.060 0.015 5.66

3061 Float 8.820 0.529 16.60

3062 Float 0.868 0.007 1.61

3065 Float 1.035 0.012 3.18

3066 Float 0.527 0.005 0.72

3069 Float 0.837 0.080 7.76

3071 Float 9.510 0.138 16.70


Mat Area In 1971, Fortune Island Mines Ltd. discovered a pyrite-chalcopyrite bearing quartz vein, from which a 1.07 meter chip sample returned 2.18% Cu. In 1983, Canasil Resources Inc. ("Canasil") blasted open the vein from which they collected a total of 41 chip samples, each 0.31 meters in length, over 230 meters of exposed vein material. The average silver value of all the samples collected was 746 g/t Ag. In 1985, Canasil tested the vein with 9 diamond drill holes totaling of 942 meters from 4 set-ups. Silver mineralization over similar widths observed on surface was intersected in 2 of the holes. Results ranged from 165 g/t Ag to 468 g/t Ag. In 1991, Canasil undertook channel sampling in 10 areas over a previously unsampled section of the main vein, which yielded an average grade of 1,140 g/t Ag, 0.51% copper, 1.79% lead, and 2.59% zinc. In 1998, Canasil conducted rock sampling over the main vein, which returned an average grade of 822 g/t Ag over an average width of 0.34 meters. These results are historical and are presented for reference only. In 2015, TMI undertook an airborne geophysical survey over the Thane property, which included coverage of the Mat Area. Additionally, confirmation sampling of the main vein was undertaken prior to the start of the survey. A grab sample from the main vein returned up to 4,950 g/t Ag, 1.5 % Cu, 3.3% Pb and 1.2 % Zinc. The airborne survey, identified a 1-kilometer x 0.5-kilometer magnetic feature, proximal to the silver-bearing quartz vein, which has not yet been explored. This magnetic feature was confirmed in 2017 when Geoscience BC undertook an airborne geophysical survey as part of their Quest program. The total magnetic intensity is presented with selected historical rock samples locations below for reference.


Lake Area The Lake Area was discovered by TMI in 2012. From the 141 rock samples collected by TMI, 77 samples returned greater than 0.1% Cu, 39 samples were greater than 0.5% Cu, and 15 samples were greater than 1% Cu. Gold mineralization was found to occur at the Lake Area, as a total of 39 samples returned greater than 0.1 g/t Au, with 8 samples being greater than 1.0 g/t Au. Anomalous gold values are invariably associated with anomalous copper values, but the converse does not hold. Rocks within the Lake Area were mapped as quartz monzonite to dioritic in composition, with significant copper grades associated with potassic alteration zones. The style of mineralization has not yet been defined, but the footprint of anomalous copper and gold mineralization covers an area 3 km long by 1.5 km wide. Along the base of the southern cliffs, significant copper and gold mineralization was found to occur for a length of 2.3 km. Sample highlights along this zone of mineralization include 3.37% Cu, 1.39 g/t Au from gossanous float with abundant (5-7%) pyrite and moderate to strong chlorite and potassic alteration at the western end of the zone, and 3.02% Cu, 0.88 g/t Au collected from gossanous quartz monzonite with malachite and chalcopyrite near the eastern end. Quartz monzonite with chalcopyrite and malachite staining sampled at higher elevations near the ridge crest, returned up to of 3.82% Cu and 3.07 g/t Au. At the western edge of the area, grab samples from outcrop returned up to 1.52% Cu and 0.04 g/t Au. Significant samples are presented in Table 2 and a compilation of results is presented below.


Table 2: Selected rock sample results, Lake Area

Sample Sample Type Cu (%) Au (g/t) Ag (g/t)

1761 Float 1.22 0.37 4.3

1770 Float 0.58 0.07 4.5

1777 Float 0.27 0.92 3.6

1778 Float 1.85 1.20 12.4

1779 Float 3.37 1.39 13.4

1786 Outcrop 0.92 0.07 3.7

1793 Float 1.01 1.33 10.8

1796 Outcrop 0.62 0.12 2.8

1797 Float 0.88 0.02 1.3

1799 Float 0.51 0.05 0.3

1800 Outcrop 0.50 0.20 1.5

1802 Float 0.73 1.28 9.1

1806 Float 0.47 0.73 3.4

1807 Float 0.43 0.78 2.8

1816 Float 2.54 0.99 32.1

1821 Float 0.95 0.10 11.6

1823 Float 1.99 0.61 17.1

1826 Float 0.52 0.74 3.3

1829 Outcrop 1.52 0.02 4.1

1830 Outcrop 1.13 0.04 2.5

1831 Outcrop 0.63 0.07 1.7

1838 Subcrop 0.29 0.95 3.3

1840 Float 0.76 0.04 6.7

1843 Float 0.66 0.09 7.8

1844 Float 0.77 0.35 8.0

1848 Float 0.64 0.18 2.7

1849 Float 0.35 2.77 8.4

1850 Subcrop 2.55 3.07 15.7

1851 Float 1.48 0.17 8.8

1856 Outcrop 3.82 0.08 8.0

1864 Outcrop 0.84 0.11 2.4

1865 Float 0.70 0.03 2.2

1866 Float 0.86 0.20 7.3

1867 Float 0.58 0.02 1.0

1868 Float 0.67 0.06 3.0

1876 Float 4.56 3.81 29.6

1889 Float 0.96 0.13 3.0

1896 Float 0.91 0.40 4.8

1897 Float 0.77 1.20 5.9

1898 Float 3.02 0.88 15.1

1901 Float 0.89 0.04 1.4

1902 Float 2.88 0.17 16.6

1903 Float 2.31 0.21 3.3

1904 Float 0.89 0.07 1.1


The scientific and technical information disclosed in the news release was reviewed, verified and approved by Christopher O. Naas, P. Geo., of CME who is a "Qualified Person" as defined in NI 43-101. Mr. Naas is a shareholder of the Issuer and owner of CME. On June 15, 2020, the Issuer announced by way of news release it has received an amendment to its previously filed Mineral Exploration Permit for its Thane Property (the "Property") located in north-central British Columbia. The amendment allows the Issuer to drill up to 40 holes within the Cathedral Area of the Property. Work on the Property has identified six areas of significant gold ± copper ± silver mineralization. The Cathedral Area is the most advanced of these areas and exploration results to date have revealed copper and gold mineralization in a variety of styles over a 2 km long by 1.5 km wide zone, all consistent with alkali porphyry systems. On June 23, 2020, the Issuer announced by way of news release the voting results from its Annual and Special Meeting of Shareholders held on June 18, 2020, in Vancouver, British Columbia (the "Meeting"). Shareholders were asked to vote on several items of business as described in the Issuer's Management Information Circular dated April 30, 2020 (the "Circular"), and all proposals put forward to the Issuer's shareholders were approved. A total of 16,524,311 Common shares representing approximately 39.05% of the Issuer's issued and outstanding shares were voted in person or by proxy in connection with the Meeting. The detailed voting results for the election of directors are as follows:

Director Nominee Votes For % For Votes Withheld % Withheld

Brian E. Thurston 13,776,569 99.971% 3,984 0.029%

Thomas E. Gregory Hawkins 11,898,073 86.349% 1,880,906 13.651%

Faizaan Lalani 13,771,772 99.943% 7,835 0.057%

Andreas (Andy) Graetz 12,816,571 93.012% 962,856 6.988%

All four management director nominees in the Circular received the required majority of votes to be elected as directors of the Issuer for the ensuing year. In addition, at the Meeting, a motion from the floor was tabled to set the number of directors of the Issuer at five (as opposed to four as stated in the Circular), and Samir Patel was elected as the fifth director of the Issuer after receiving the required majority of votes in this regard. Following the Meeting, Thomas E. Gregory Hawkins (Chairman), Brian G. Thurston, Faizaan Lalani, Andreas (Andy) Graetz and Samir Patel will serve as members of IMC's board of directors (the "Board") until the Issuer’s next annual general meeting of shareholders. The Issuer is pleased to have strengthened the Board with the additions of Mr. Graetz and Mr. Patel. Their biographies are set out below: Andy Graetz Mr. Graetz is a certified mining engineer with over 35 years' international mining experience having worked in Canada, the United States, the Philippines, Kazakhstan and South Africa in senior mine operational, corporate development, and CFO/finance administrative roles. He has held senior management positions with Altynalmas Gold, an affiliate of Ivanhoe Mines, Thistle Mining Inc., the Placer Dome Group of Companies, Lonrho South Africa Ltd, and the Gencor Group of Companies. For these, amongst others, he has led numerous corporate development opportunities and coordinated and managed a number of feasibility studies. Andy has served


as Chief Financial Officer for public and private companies for 10 years and has been a board member of CGA Mining Ltd. and Yellowhead Mining Inc. His board responsibilities for Yellowhead Mining Inc. included the roles of Chair of the Audit and Compensation Committees. Mr Graetz holds a Bachelor of Science in the Branch of Mining Engineering from the University of the Witwatersrand, a Masters in Business Administration from Brunel University in the United Kingdom and a South African Mine Managers Certificate for Metalliferous Mines. Samir Patel Mr. Patel is a securities lawyer with over 11 years of experience in securities and corporate law, particularly in relation to M&A transactions, continuous disclosure requirements, corporate governance and equity financings. He is currently General Counsel & Corporate Secretary at First Mining Gold Corp., a gold exploration and development mining company listed on the Toronto Stock Exchange, and has been with First Mining Gold since June 2016. Prior to that, Mr. Patel spent three and a half years as Corporate Counsel and Corporate Secretary of Wellgreen Platinum Ltd. (now Nickel Creek Platinum Corp.), a Canadian PGM-Ni mining exploration company listed on the Toronto Stock Exchange. Before joining Wellgreen, Mr. Patel spent four years at Borden Ladner Gervais LLP, a leading national law firm, practising as a securities lawyer in the firm's Securities & Capital Markets Group in Vancouver. Whilst at Borden Ladner Gervais LLP, Mr. Patel's practice involved advising clients in a variety of sectors with respect to securities, corporate and commercial law matters, with a focus on clients in the mining sector. Mr Patel has a Bachelor of Laws (Honours) degree from the University Nottingham in the United Kingdom. Subsequent to the Meeting, the Board re-appointed Brian Thurston as Chief Executive Officer of the Issuer, and further strengthened the Issuer's management team by appointing Jamie Lewin as the Issuer's Chief Financial Officer and Janet Francis as the Issuer's Corporate Secretary. Jamie Lewin is a Chartered Professional Accountant, who also holds an MBA with a specialization in financial management and a Certification in Public Companies. In addition, he completed an LLB at Laval University and a BA in Economics from Western University. He has more than 20 years' experience in accounting and finance for private and public companies in the brokerage and investment, manufacturing, distribution, resources and service sectors. He has served as Chief Financial Officer of several junior mining companies and is principal of Best Fit Consulting. Janet Francis has 15 years' experience in the field of regulatory compliance and corporate governance. She has served as a director or officer of a number of public companies listed on the Toronto Stock Exchange, TSX Venture Exchange, and Canadian Securities Exchange in the technology, education, and mining sectors. She is principal of a corporate secretarial firm providing services to a range of publicly listed and other reporting issuers. Mr. Thurston, in his role as Chief Executive Officer, will continue to focus on advancing IMC's property portfolio. The additions to the Issuer's Board and senior leadership appointments reflect part of the effort to position IMC for the execution of its growth and development strategy. On June 26, 2020, the Issuer announced by way of news release it intends to complete a non-brokered private placement offering (the "Offering") of up to 3,333,333 flow-through units of the Issuer (the "FT Units", and each an "FT Unit") at a price of $0.30 CDN per FT Unit for gross proceeds of up to $1,000,000 CDN. Each FT Unit will be comprised of one common share of the


Issuer that qualifies as a "flow-through share" for the purposes of the Income Tax Act (Canada) (an "FT Unit Share") and one-half of one common share purchase warrant (each whole common share purchase warrant, a "Warrant"). Each Warrant will entitle the holder to purchase one additional common share of the Issuer at a price of $0.40 CDN at any time prior to the date that is twenty-four (24) months following the closing date of the Offering. The gross proceeds raised from the sale of the FT Units under the Offering will be used by the Issuer to fund exploration programs on its Thane Property in north-central British Columbia that qualify as "Canadian Exploration Expenses" ("CEE") and "flow-through mining expenditures", as those terms are defined in the Income Tax Act (Canada). Closing of the Offering is anticipated to occur on or before July 3, 2020 and is subject to regulatory acceptance. Finder's fees may be payable in appropriate circumstances in connection with the Offering. The FT Unit Shares and the Warrants issued pursuant to the Offering will be subject to a hold period under applicable Canadian securities laws of four months and one day from the closing date of the Offering. The above news releases can be viewed under the Issuer’s profile on SEDAR (www.sedar.com) and on the Issuer’s Disclosure Page on the Canadian Securities Exchange’s website. In addition, during the month of June 2020, management of the Issuer filed its condensed consolidated interim financial statements and management’s discussion and analysis for the three months ended March 31, 2020 (together, the “Interim Financial Filings”). The Interim Financial Filings can be viewed under the Issuer’s profile on SEDAR (www.sedar.com) and on the Issuer’s Disclosure Page in its Form 5, Quarterly Listing Statement, dated June 1, 2020, on the Canadian Securities Exchange’s website.

3. Describe and provide details of any new products or services developed or offered. For resource companies, provide details of new drilling, exploration or production programs and acquisitions of any new properties and attach any mineral or oil and gas or other reports required under Ontario securities law. Please see Item 2 for further details and results from the Issuer’s ongoing compilation of work from its Thane Property (the "Property") located in north-central British Columbia.

4. Describe and provide details of any products or services that were discontinued. For resource companies, provide details of any drilling, exploration or production programs that have been amended or abandoned. None to report during the month of June 2020.

5. Describe any new business relationships entered into between the Issuer, the Issuer’s affiliates or

third parties including contracts to supply products or services, joint venture agreements and licensing agreements, etc. State whether the relationship is with a Related Person of the Issuer and provide details of the relationship. None to report during the month of June 2020.


6. Describe the expiry or termination of any contracts or agreements between the Issuer, the Issuer’s affiliates or third parties or cancellation of any financing arrangements that have been previously announced. None to report during the month of June 2020.

7. Describe any acquisitions by the Issuer or dispositions of the Issuer’s assets that occurred during the preceding month. Provide details of the nature of the assets acquired or disposed of and provide details of the consideration paid or payable together with a schedule of payments if applicable, and of any valuation. State how the consideration was determined and whether the acquisition was from or the disposition was to a Related Person of the Issuer and provide details of the relationship. None to report during the month of June 2020.

8. Describe the acquisition of new customers or loss of customers. None to report during the month of June 2020.

9. Describe any new developments or effects on intangible products such as brand names, circulation lists, copyrights, franchises, licenses, patents, software, subscription lists and trademarks. None to report during the month of June 2020.

10. Report on any employee hirings, terminations or lay-offs with details of anticipated length of lay-offs. None to report during the month of June 2020.

11. Report on any labour disputes and resolutions of those disputes if applicable. None to report during the month of June 2020.

12. Describe and provide details of legal proceedings to which the Issuer became a party, including

the name of the court or agency, the date instituted, the principal parties to the proceedings, the nature of the claim, the amount claimed, if any, if the proceedings are being contested, and the present status of the proceedings. None to report during the month of June 2020.

13. Provide details of any indebtedness incurred or repaid by the Issuer together with the terms of

such indebtedness. None to report during the month of June 2020.

14. Provide details of any securities issued and options or warrants granted.


Security Number Issued

Details of Issuance Use of Proceeds(1)

Common Shares

400,000 Common shares issued June 8, 2020, pursuant to the exercise of warrants

$20,000.00; drilling program and general

working capital

Common Shares

50,000 Common shares issued June 8, 2020,

pursuant to the exercise of stock options

$8,000.00; drilling program and general

working capital

(1) State aggregate proceeds and intended allocation of proceeds

15. Provide details of any loans to or by Related Persons. None to report during the month of June 2020.

16. Provide details of any changes in directors, officers or committee members. At the Annual and Special Meeting of Shareholders of the Issuer held on June 18, 2020 (the “Meeting”), Brian E. Thurston (incumbent), Thomas E. Gregory (Greg) Hawkins (incumbent), Faizaan Lalani (incumbent), Andreas (Andy) Graetz (new), and Samir Patel (new) were elected as directors of the Issuer. Subsequent to the Meeting, Greg Hawkins was appointed Chairman of the Board of Directors of the Issuer (the “Board”) and the Board formed three committees as noted and composed as follows: Audit Committee: Andy Graetz (Chairman), Samir Patel, and Faizaan Lalani Corporate Governance Committee: Samir Patel (Chairman), Andy Graetz, and Greg Hawkins Compensation and Nominating Committee: Samir Patel (Chairman), Andy Graetz, and Greg Hawkins

In addition, Brian Thurston was re-appointed Chief Executive Officer, Jamie Lewin (new) was appointed Chief Financial Officer, and Janet Francis (new) was appointed Corporate Secretary.

17. Discuss any trends which are likely to impact the Issuer including trends in the Issuer’s market(s) or political/regulatory trends. The trends and risks which are likely to impact the Issuer are detailed in the Issuer’s Form 2A - Listing Statement dated September 19, 2019 (the “Listing Statement”), under the heading “Item 17. Risk Factors” and the Issuer’s Management Discussion and Analysis dated June 1, 2020 (the “MD&A”), under the heading “Risk Factors”. The Listing Statement and MD&A can be viewed under the Issuer’s profile on SEDAR (www.sedar.com) and on the Issuer’s Disclosure Page on the Canadian Securities Exchange’s website.

http://www.sedar.com/


Certificate of Compliance The undersigned hereby certifies that: 1. The undersigned is a director and/or senior officer of the Issuer and has been duly authorized by

a resolution of the board of directors of the Issuer to sign this Certificate of Compliance.

2. As of the date hereof there is no material information concerning the Issuer which has not been publicly disclosed.

3. The undersigned hereby certifies to the Exchange that the Issuer is in compliance with the

requirements of applicable securities legislation (as such term is defined in National Instrument 14-101) and all Exchange Requirements (as defined in CNSX Policy 1).

4. All of the information in this Form 7 Monthly Progress Report is true.

Dated July 7, 2020 Brian Thurston

Name of Director or Senior Officer /s/ Brian Thurston

Signature

Chief Executive Officer Official Capacity

Issuer Details Name of Issuer IMC International Mining Corp.

For Month End June 2020

Date of Report YYYY/MM/DD 2020/07/07

Issuer Address Suite 2200, 885 West Georgia Street Vancouver, British Columbia, V6C 3E8

Issuer Fax No. N/A

Issuer Telephone No. 778-938-6565

Contact Name Brian Thurston

Contact Position Chief Executive Officer

Contact Telephone No. 778-928-6565

Contact Email Address [email protected]

Web Site Address https://imcxmining.com/

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