Canada Zinc Metals Corp. V.CZX

NEWS OUT!

[Chattyc]

2016

Canada Zinc Metals Corp. Announces Closing Of $2.8 Million Financing

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December 15, 2016

PRESS RELEASE THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRESERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Vancouver, British Columbia – December 15, 2016 – Canada Zinc Metals Corp. (TSXV: CZX) (“Canada Zinc Metals” or the “Company”) is pleased to announce that it has completed its previously announced brokered private placement (the “Offering”). Pursuant to the Offering, led by Cormark Securities Inc. on behalf of a syndicate of agents including Echelon Wealth Partners Inc. (the “Agents”), the Company issued 3,676,000 units (“Units”) of the Company at a price of $0.40 per Unit for gross proceeds of $1,470,400. Each Unit consisted of one common share of the Company (“Common Share”) and one-half of one Common Share purchase warrant (each whole warrant a “Warrant”). Each Warrant is exercisable into one Common Share at a price of $0.55 for 24 months following the closing of the Offering. The Agents received a cash commission equal to 6.0% of the proceeds of the Offering.

In addition, the Company is pleased to announced that it has concurrently completed its previously announced non-brokered private placement (the “Non-Brokered Offering”). Pursuant to the Non-Brokered Offering, the Company issued 1,787,500 Units a price of $0.40 per Unit and 1,173,608 flow-through Common Shares (“FT Shares”) at a price of $0.52 per FT Share for aggregate gross proceeds of $1,325,276. Certain finders received cash fees equal to 6.0% of the proceeds of the Non-Brokered Offering raised by them.

The net proceeds from the sale of the Units will be used to fund the exploration and development of the Company’s mineral properties in British Columbia, Canada and for general corporate and working capital purposes. The gross proceeds received by the Company from the sale of the FT Shares will be used to incur Canadian Exploration Expenses that are “flow-through mining expenditures” (as such terms are defined in the Income Tax Act (Canada)) on the Company’s properties in British Columbia which will be renounced to the subscribers with an effective date no later than December 31, 2016, in the aggregate amount of not less than the total amount of the gross proceeds raised from the issue of FT Shares. All securities issued under the Offering and Non-Brokered Offering will be subject to a four-month hold period in accordance with applicable securities laws. The Offering and Non-Brokered Offering remain subject to final approval of the TSX Venture Exchange.

This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not be offered or sold within the United States or to or for the account or benefit of a U.S. person (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

The Akie Project and Kechika Regional Project

The Company owns 100% of eleven, large, contiguous property blocks that comprise the Akie and Kechika Regional projects. The Company’s flagship Akie Project is host to the Cardiac Creek deposit and remains the primary corporate focus.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

ON BEHALF OF THE BOARD OF DIRECTORS
CANADA ZINC METALS CORP.

“PEEYUSH VARSHNEY”

PEEYUSH VARSHNEY, LL.B
CEO & CHAIRMAN

Suite 2050-1055 West Georgia St . , PO Box 11121, Vancouver , BC Canada V6E 3P3 Phone [phone] Fax [phone] [e-mail]

[Rob0012]

Have to appreciate management being straight shooters! Yes they wished for more cash but I appreciate the fa ct that they don't let uncertainty putting pressure on SP. Let's see what happens from here. GLTA Rob