/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISTRIBUTION IN THE UNITED
STATES/
CZN-TSX
CZICF-OTCQB
VANCOUVER, Dec. 14, 2016 /CNW/ - Canadian Zinc
Corporation (TSX: CZN; OTCQB: CZICF) ("the Company" or
"Canadian Zinc") is pleased to announce that it has closed the
previous announced non-brokered private placement of flow-through
shares.
The Company issued 6,666,664 common shares, which qualify as
flow-through shares (the "FT Shares") of the Company for
purposes of the Income Tax Act (Canada) at a price of C$0.30 per FT Share, raising aggregate gross
proceeds of C$2,000,000 (the
"Placement").
The net proceeds of the Placement will be used to incur eligible
Canadian Exploration Expenses and flow-through mining expenditures,
as defined under the Income Tax Act (Canada), that will be renounced in favour of
the purchasers with an effective date of no later than December 31, 2016.
The funds are intended to be used to explore the Company's
properties, which include the Prairie Creek project in the
Northwest Territories as well as
the Long Lake, Tulks South and South Tally Pond projects in central
Newfoundland.
The Company has agreed to pay a finder's fee equal to 6% of the
gross proceeds raised in the Placement from purchasers of the FT
Shares introduced to the Company by Secutor Capital Management
Corp., Canaccord Genuity Corp., and Paradigm Capital Inc.
The FT Shares will be subject to resale restrictions for a
period of four months and one day from the closing date of the
Placement under applicable securities legislation. Following
completion of the Placement, Canadian Zinc has 266,111,543 common
shares issued and outstanding.
About Canadian Zinc
Canadian Zinc is a TSX-listed exploration and development
company trading under the symbol "CZN". The Company's key project
is the 100%-owned Prairie Creek Project, a fully permitted,
advanced-staged zinc-lead-silver property, located in the
Northwest Territories. Canadian
Zinc also owns an extensive land package in central Newfoundland that it is exploring for
copper-lead-zinc-silver-gold deposits.
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.
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