I-Minerals Corporate Update

VANCOUVER, BC--(Marketwired - December 12, 2017) - I-Minerals lnc. (TSX VENTURE: IMA) (OTCQB: IMAHF) (FRANKFURT: 61M) (the "Company") provides the following update with respect to mineral beneficiation, product development and marketing activities. The successful use of flash calcination to make a superior metakaolin completes a successful year of product development based upon pilot plant and bench scale studies. Accomplishments include:

• Increased the clay (halloysite and kaolin) yield to 30% from 22% using hydrocylones to make the initial separation of the sand (-spar and quartz) and clay fractions demonstrating potential to produce up to 33% more halloysite and metakaolin
• Improved understanding of the weathering profile of the primary clay has improved the quality of the K-spar product with +14% K20 and 0.03% Fe2O3 results being systematically generated as compared with 12.24% K20 and 0.05% Fe2O generated by the pilot plant work incorporated in the Feasibility Study.
• Improved the quality of the metakaolin product with flash calcination technologies that has materially reduced the water demand -- a key metric for all Supplementary Cementous Materials (pozzolan).
• Test results are awaited from high strength magnetic treatment of high purity quartz product by Eriez Magnetics Europe where discolored grains were reported to be removed from the TrueQ3 product. Assays awaited to see the level of improvement from 99.97% SiO2 starting point.

Based upon multiple pilot plant runs, product definition, aside from TrueQ3, is now complete for all minerals, subject to confirmation from CTL Thompson that the pilot plant level flash calcining achieved similar results to the bench scale testing. As set out in the product data sheets on the Company's website, product specifications are as set out below:

"As chemistry is a key component of the product definition, we are very proud of the products produced from our Helmer-Bovill property and we are even more proud of the way our products have performed in customer tests," stated Thomas Conway President and CEO of I-Minerals Inc. Our Fortispar has arguably the highest K₂O available, yielding an exceptional glaze. Our high SiO₂, low iron TrueQ is a better product than currently available for glass manufacture and our Hallopure products that are free of dioxins and cristobalite have some of the highest aspect ratio nanotubes ever measured. "

I-Minerals is making great strides in engaging with larger customers for its Fortispar, TrueQ and Bovill Metakaolin products while global interest in the halloysite products is gaining traction, most particularly in Germany. To reach smaller customers and those in offshore locations, the Company has entered into the first of what it expects to be several domestic and international distribution agreements with established distribution companies. The first such agreement is with a Japanese firm covering Japan and certain Asian markets. Fortispar and Hallopure as well as the high purity quartz product TrueQ 3 are the minerals targeted for overseas sales. The Company plans on using distributors to place product into smaller domestic markets such as the pottery industry in addition to providing greater reach into foreign markets.

I-Minerals has received almost 3000 pounds of the flash calcined metakaolin at its warehouse. Samples have been received at CTL with the associated concrete batches poured. Water demand results and initial strength results are expected before the Christmas break. Upon receipt of ASTM C-618 water demand and strength results the company will begin sending samples to select cement companies.

"We are anxious to get the preliminary results from CTL on our pilot plant production of metakaolin given the exceptional results generated at the bench scale," stated Thomas Conway President and CEO of I-Minerals Inc. "Overall we are very encouraged by the reception our products are receiving in global markets and expect to have some exciting news on halloysite applications in the new year."

A. Lamar Long, CPG, is a qualified person ("QP") for I-Minerals Inc. and has reviewed and approved the contents of this release

About I-Minerals Inc.
I-Minerals is developing multiple deposits of high purity, high value halloysite, quartz, potassium feldspar and kaolin at its strategically located Helmer-Bovill property in north central Idaho. A 2016 Feasibility Study on the Bovill Kaolin Deposit led by GBM Engineers LLC, who were responsible for overall project management and the process plant and infrastructure design, including OPEX and CAPEX calculated an After Tax NPV of US$249.8 million with a 25.8% After Tax IRR. Initial CAPEX was estimated at $108.3 million with a 3.7 year After Tax payback. Other engineering services were provided by HDR Engineering, Inc. (all environmental components; hydrology / hydrogeology; road design); Tetra Tech, Inc. (tailings storage facility design); Mine Development Associates (mine modelling; ore scheduling; mineral reserve estimation); and SRK Consulting (U.S.) Inc. (mineral resource estimation). The project has received mine and water permits from the State of Idaho.

I-Minerals Inc.
Per: "Thomas M. Conway"
Thomas M. Conway, President & CEO

This News Release includes certain "forward looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various risks. Actual results could differ materially from those projected as a result of the following factors, among others: changes in the world-wide price of mineral market conditions, risks inherent in mineral exploration, risk associated with development, construction and mining operations, the uncertainty of future profitability and uncertainty of access to additional capital.

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