CZN-TSX
CZICF-OTCQB
- Preliminary Test Results Confirm Production of Selective Zinc,
Lead and Copper Concentrates at Marketable Grades Using Common
Flotation Flowsheet
- Ground Geophysical Surveys Underway on Priority Exploration
Target Areas
VANCOUVER, Nov. 3, 2016 /CNW/ - Canadian Zinc
Corporation (TSX: CZN; OTCQB: CZICF) ("the Company" or
"Canadian Zinc") provides an update from the ongoing process
development research program on a centralized milling facility for
its Newfoundland Zn-Pb-Cu-Ag-Au deposits and on its 2016
exploration programs in Newfoundland.
Central Milling Facility – Research Project
Canadian Zinc and Buchans Minerals Corporation ("Buchans"), a
wholly owned subsidiary of Minco Plc (AIM: MIO), are jointly
undertaking a metallurgical test program aimed at investigating the
technical viability of processing their respective central
Newfoundland Zn-Pb-Cu-Ag-Au deposits through a centralized
processing facility.
The metallurgical test program completed by Thibault &
Associates Inc. of Fredericton, New
Brunswick was based on an assessment of pre-concentrating
the ore prior to flotation using Dense Media Separation ("DMS")
technology and the development of a process relative to the
metallurgical characteristics of five deposits under
development.
The results of the bench scale test program have indicated an
improved grade and recovery relationship for the production of
Cu-Pb-Zn concentrates using a sequential flotation flowsheet. The
preliminary test results confirm that selective zinc, lead and
copper concentrates at marketable grades can be produced using a
common flotation flowsheet. The positive results from the
metallurgical test program strongly support the development of the
sequential flotation technology for processing of the deposits
using a centralized processing facility.
The research project was focused on four key NI43-101 compliant
Zn-Pb-Cu-Ag-Au volcanogenic massive sulphide ("VMS") deposits
located on the south side of Red Indian Lake in the Victoria Lake
district of central Newfoundland
(see attached map). Two of the deposits are held by Canadian Zinc
(Lemarchant, Boomerang-Domino) and two of the deposits are held by
BMC (Bobbys Pond, Daniels Pond). In June
2016, the research program was extended to include the
Lundberg Cu-Pb-Zn-Ag deposit (100% held by Buchans).
The Lundberg deposit is a large, near-surface and potentially
open-pitable resource located on the north side of Red Indian Lake
near the town of Buchans, NL. The
key rational to include the Lundberg deposit was to fully assess
all the known deposits in the district and to determine if it could
enhance the economics of a central milling facility and the future
development of this region's mineral resources. The additional
tonnage contribution from the Lundberg deposit to a central milling
facility could add considerably to the life of mine in central
Newfoundland.
Highlights of the Metallurgical Test Program
- Dense Media Separation - The bench scale DMS test program was
completed to assess the amenability of mineralized samples from the
deposits to physical upgrading (pre-concentration) at each site.
Use of DMS processing technology would provide a potential means of
reducing transportation costs from mine site to the milling
facility and to maximize head grade and reduce downstream
processing costs.
Results from pre-concentration of the samples by DMS (prior to
flotation) was determined to be technically viable for semi-massive
and stringer sulphide samples from the Lemarchant FW, Bobbys Pond
samples and Lundberg deposit. An economic assessment of processing
ores with DMS technology is in progress to determine if there is a
net benefit in reducing the mass of ore to be processed compared to
the loss of payable metals to the waste product. Results of the DMS
testing are provided below.
Dense Media Separation Results
|
|
Sample
|
Overall Metal
Recovery to Sinks + Fines at 70% Mass Recovery
|
Cu
(%)
|
Pb
(%)
|
Zn
(%)
|
Au
(%)
|
Ag
(%)
|
Lemarchant
FW
|
94.6
|
97.7
|
95.4
|
97.4
|
96.4
|
Bobbys Pond SMS
Comp
|
98.3
|
98.6
|
99.1
|
95.6
|
95.6
|
Lundberg
Y1-3
|
98.3
|
96.6
|
96.5
|
89.6
|
95.3
|
Lundberg
Y4-8
|
94.7
|
94.2
|
93.9
|
84.8
|
90.1
|
Sample
|
Overall Upgrade
Ratio (Sinks + Fines Relative to Feed)
|
Cu
|
Pb
|
Zn
|
Au
|
Ag
|
Lemarchant
FW
|
1.35
|
1.4
|
1.36
|
1.39
|
1.38
|
Bobbys Pond SMS
Comp
|
1.40
|
1.41
|
1.42
|
1.37
|
1.37
|
Lundberg
Y1-3
|
1.40
|
1.38
|
1.38
|
1.28
|
1.36
|
Lundberg
Y4-8
|
1.35
|
1.35
|
1.34
|
1.21
|
1.29
|
|
|
|
|
|
|
|
- Common Flotation Flowsheet - Initial bench scale batch
flotation tests were designed to compare two flowsheet options: 1)
a bulk Cu/Pb-Zn flotation flowsheet and 2) a sequential Cu-Pb-Zn
flotation flowsheet using various reagent schemes and alternative
grind specifications.
Results from the initial bench scale testing indicate the
sequential Cu-Pb-Zn flowsheet provided the best overall performance
for the four deposits tested. Subsequent testing of the Lundberg
Deposit samples indicates it is also amenable to the sequential
Cu-Pb-Zn flotation flowsheet with improved grade and recoveries
over previous Lundberg metallurgical testing.
- Bench Scale Batch Flotation Testing - the bench scale
metallurgical test work was aimed at assessing the amenability of
the mineralized samples from the five deposits to a common
flotation flowsheet. The test work serves as a first stage
evaluation of developing a common process flowsheet.
The preliminary results from the bench scale batch flotation tests
confirmed the production of selective zinc, lead and copper
concentrates at marketable grades.
The grade and recovery of concentrates for each deposit have been
defined in the following table. These are based on bench scale
batch flotation tests (as an open circuit without recycle) and
process simulation of the sequential flowsheet mass balance
relative to the test program, and are not representative of lock
cycle or pilot testing of the proposed flowsheet.
Flotation Test Results
|
|
|
|
Deposit
|
Cu
Concentrate
|
Pb
Concentrate
|
Zn
Concentrate
|
|
(Grade/Recovery)
|
(Grade
/Recovery)
|
(Grade
/Recovery)
|
Boomerang
|
25.7% /
63.4%
|
55.4% /
71.2%
|
49.8% /
91.7%
|
Lemarchant
MS
|
33.7% /
78.1%
|
69.4% /
82.4%
|
60.8% /
90.7%
|
Lemarchant
FW
|
31.0% /
90.1%
|
No
concentrate
|
59.8% /
96.9%
|
Bobbys
Pond
|
30.9% /
83.8%
|
76.5% / 69.3%
1
|
64.8% /
93.1%
|
Daniels
Pond
|
18.1% /
54.6%
|
74.0% / 76.8%
1
|
61.0% /
90.1%
|
Lundberg
Y1-3
|
30.1% /
86.2%
|
72.1% /
83.1%
|
61.1% /
78.7%
|
1
|
Lead grade defined by
the test program with added cleaning of the lead concentrate to
reduce zinc and iron.
|
Economic Assessment
The metallurgical test programs are being followed-up with a
Process Simulation and Cost Assessment model (AACE Class V – order
of magnitude / conceptual assessment) to evaluate and identify the
key factors impacting the operating economics of a centralized
processing concept for the production of the base metal
concentrates from the various base metal deposits in central
Newfoundland.
Results from the conceptual economic assessment will be used to
help optimize future exploration and development plans, by focusing
on key factors that are critical to assessing the economic
potential and viability of developing the central Newfoundland deposits through a centralized
milling facility.
The overall research programs are partially funded by the
Research & Development Corporation of Newfoundland and Labrador ("RDC") through the GeoEXPLORE
Industry-led program and are scheduled to be completed in December,
2016.
Central Newfoundland Exploration Work
As part of its 2016 exploration program, Canadian Zinc is
undertaking ground geophysical surveys including magnetics,
gravity, electromagnetics ("EM") and borehole EM on a number of
high priority Cu-Pb-Zn-Ag-Au target areas on its South Tally Pond
and Tulks South properties.
At the South Tally Pond property, five priority targets in the
Lemarchant Deposit area are being evaluated by ground and borehole
EM and two priority targets are being evaluated at the Lost Lake
prospect located 6 kilometres northeast of the Lemarchant
Deposit.
At the Tulks South property, a ground gravity survey is focused
on the Tulks West and Dragon Pond copper prospects, where surface
massive sulphide boulders containing up to 10.3% copper have been
located.
The ground geophysical surveys are aimed at defining priority
drill targets in each of the areas and are expected to be completed
by the end of November. Based on successful results, a winter drill
program will be undertaken to further explore selected priority
targets. The central Newfoundland
exploration work is being funded by flow through funding raised in
the financing completed in July
2016.
About Canadian Zinc
Canadian Zinc is a TSX-listed exploration and development
company trading under the symbol "CZN".
Canadian Zinc owns an extensive land package in central
Newfoundland that it is exploring
for copper-lead-zinc-silver-gold deposits. These include the
South Tally Pond project (Lemarchant deposit);
Tulks South project (Boomerang-Domino and Tulks East
deposits) and Long Lake
project (Long Lake deposit). The
Company's exploration strategy in central Newfoundland is to continue to build on its
existing polymetallic resource base with the aim of developing
either a stand-alone mine, similar to the past-producing mines at
Buchans and Duck Pond, or a number
of smaller deposits that could be developed simultaneously and
processed in a central milling facility.
The Company's key project is the 100%-owned Prairie Creek
Project, a fully permitted, advanced-stage zinc-lead-silver
property, located in the Northwest
Territories.
Cautionary Statement – Forward-Looking
Information
This press release contains certain
forward-looking information, including, among other things, the
expected completion of acquisitions and the advancement of mineral
properties. This forward looking information includes, or may be
based upon, estimates, forecasts, and statements as to management's
expectations with respect to, among other things, the completion of
transactions, the issue of permits, the size and quality of mineral
resources, future trends for the company, progress in development
of mineral properties, future production and sales volumes, capital
costs, mine production costs, demand and market outlook for metals,
future metal prices and treatment and refining charges, the outcome
of legal proceedings, the timing of exploration, development and
mining activities, acquisition of shares in other companies and the
financial results of the company. There can be no assurances that
such statements will prove to be accurate and actual results and
future events could differ materially from those anticipated in
such statements. Mineral resources that are not mineral reserves do
not have demonstrated economic viability. Inferred mineral
resources are considered too speculative geologically to have
economic considerations applied to them that would enable them to
be categorized as mineral reserves. There is no certainty that
mineral resources will be converted into mineral reserves.
Michael J. Vande Guchte,
P.Geo., Vice President of Canadian Zinc Corporation is a Qualified
Person as defined by NI 43-101 and has reviewed and approved the
contents of this press release.
J. Dean Thibault, P.Eng.,
Senior Process Chemical Engineer of Thibault & Associates Inc.
is a qualified person for this release and has reviewed the
contents for accuracy and approved this release. Thibault &
Associates Inc. are a process chemical engineering firm
specializing in process flowsheet development, plant design and
process intensification assessments.
Cautionary Note to United States Investors
The
United States Securities and Exchange Commission ("SEC") permits
U.S. mining companies, in their filings with the SEC, to disclose
only those mineral deposits that a company can economically and
legally extract or produce. We use certain terms in this press
release, such as "measured," "indicated," and "inferred"
"resources," which the SEC guidelines prohibit U.S. registered
companies from including in their filings with the SEC.
SOURCE Canadian Zinc Corporation