- New drill targets outlined by ground geophysical surveys and
EM modelling
- 5,000 metres planned at Lemarchant Zn-Pb-Cu-Ag-Au
Deposit
CZN-TSX
CZICF-OTCQB
VANCOUVER, Feb. 2, 2017 /CNW/ - Canadian Zinc
Corporation (TSX: CZN; OTCQB: CZICF) ("the Company" or
"Canadian Zinc") has started a diamond drilling exploration
program at the Company's wholly-owned South Tally Pond
zinc-lead-copper-silver-gold project in central Newfoundland where ground magnetic and
electromagnetic ("EM") geophysical surveys completed in late
2016 have outlined new drill targets in three priority areas
including Lemarchant North, Spencers Pond and Lost Pond. (A map
showing property, deposit and prospect locations mentioned in this
press release will be posted on the Company's website
www.canadianzinc.com shortly).
The South Tally Pond project is host to the Lemarchant massive
sulphide deposit, a significant precious metal-rich
copper-lead-zinc volcanogenic massive sulphide ("VMS")
resource with expansion potential as well as numerous other
drill-ready targets.
2017 Winter Drill Program
The 2017 winter drill program will consist of up to 5,000 m in
16 diamond drillholes and is designed to test for mineralized
extensions to the Lemarchant massive sulphide deposit immediately
along the strike and up-dip of the currently defined Lemarchant
resource. Included in the planned drill program is initial drill
testing of a newly defined EM target at the Spencers Pond prospect,
located along strike, approximately 2 km southwest of the
Lemarchant deposit.
2016 Ground Geophysical Program
The 2016 geophysical program at the South Tally Pond project
focused on the Lemarchant North, Spencers Pond and Lost Pond target
areas with the aim of defining new drill targets. Magnetometer
surveys were carried out in all three areas and merged with
historical magnetic survey data where available. Plate modeling of
the surface EM data outlined conductive trends in all three areas
and identified new drill targets that will be drill tested.
At Lemarchant North, the target area is immediately north of the
Lemarchant deposit where the surface EM survey outlined a north
trending, moderately east dipping conductor over a 600 m strike
length. The conductive trend is interpreted to be related to near
surface mudstone horizon based on several drillholes previously
completed along the first 200 m of the conductor, but which has not
been drill tested over the entire conductor length.
At Spencers Pond, two near surface, parallel conductive trends
that dip moderately to the northwest have been identified over a
600 m strike length. Two shallow, historic drillholes were
previously drilled in this area, one of which intersected pyritic,
graphitic mudstone with a similar hydrothermal geochemical
signature to that which overlies the Lemarchant deposit.
At Lost Pond, the surface EM survey outlined two conductive
trends over an approximately 800 m strike length that dip
moderately to the northwest. Three historic drillholes in the more
northern of the two conductive trends intersected graphitic
mudstones with similar hydrothermal geochemical signatures to that
which overlie the Lemarchant deposit.
South Tally Pond Project
The South Tally Pond project covers approximately 13,700
hectares and is located in a proven mining district in the same
productive volcanic belt as the past-producing Duck Pond Cu-Zn
Mine, owned by Teck Resources. The Lemarchant deposit is situated
20 km southwest of the Duck Pond Mine. An initial NI 43-101 mineral
resource estimate completed on the Lemarchant deposit in 2012
reported an Indicated Resource of 1.24 million tonnes with an
average grade of 5.45% Zn, 0.58% Cu, 1.19% Pb, 1.01 g/t Au and
59.17 g/t Ag; and an Inferred Resource of 1.34 million tonnes with
average grade of 3.70% Zn, 0.41% Cu, 0.86% Pb, 1.00 g/t Au and
50.41 g/t Ag.
Tulks South Project
In 2016, Canadian Zinc also completed a gravity geophysical
program at the Tulks South project, which covers approximately
17,000 hectares and hosts the Boomerang-Domino and Tulks East
deposits and other prospects. A ground gravity survey covering
roughly 7 km2 was completed over the Tulks West Cu
prospect and Dragon Pond Cu prospects where massive sulphide
boulders containing up to 10.3% Cu have been located in these
prospect areas.
At the Dragon Pond Cu prospect, a linear gravity high was
detected over an approximately 1000 m strike length. At Tulks West,
a broad gravity anomaly is associated with a short strike length
(400 m) airborne EM anomaly that has not been drill tested. Both
areas will be followed up with field work, which is expected to
begin in the spring and could include diamond drill testing.
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-stage 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. 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 base metal
mines at Buchans and Duck Pond, or
a number of smaller deposits that could be developed simultaneously
and processed in a central milling facility. Canadian Zinc is
participating in an RDC-funded research program to determine the
technical and economic viability of utilizing a central milling
facility.
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., VP Exploration NL for Canadian Zinc Corporation is a
Qualified Person as defined by NI 43-101 and has reviewed and
approved the contents of this press release.
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