Industrial Minerals Inc. Stockholders Approve a 2-for-1 Stock Split

    TORONTO--May 29, 2003--Industrial Minerals Inc. (OTCBB:INDM), announces that a 2-for-1 stock split has been approved by a majority of its shareholders. Stockholders of record on June 12, 2003 are entitled to receive this 2-for-1 forward stock split. This will take effect at the opening of trading on June 13, 2003.
    Industrial Minerals Inc. owns 100% of the undivided interest in the Bissett Creek Graphite patented mineral lease, containing a graphite resource of 640,000 tons of flake graphite, located in Maria Township in the Province of Ontario, Canada. The property is comprised of 28 patented claims covering an area of approximately 1245 acres (504 hectares). It has been the subject of substantial earlier exploration drilling, trenching and metallurgical test work by Cominco Engineering Services, Kilborn Engineering, Pincock Alan and Holt and KHD Canada. The company also owns three unpatented mining claims comprising approximately 645 acres (250 hectares) which are contiguous to the Bissett Creek property.

    Disclaimer: Statements, which are not historical facts, are forward-looking statements. The Company, through its management, makes forward-looking public statements concerning its expected future operations, performance and other developments. Such forward-looking statements are necessarily estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements. It is impossible to identify all such factors. Factors which could cause actual results to differ materially from those estimated by the Company include, but are not limited to, government regulation, managing and maintaining growth, the effect of adverse publicity, litigation, competition and other factors which may be identified from time to time in the Company's public announcements.