- 5,000 metres planned at Lemarchant Zn-Pb-Cu-Ag-Au Deposit
- Ground EM geophysics in progress over three priority targets area
CZN-TSX
CZICF-OTCQB
VANCOUVER, July 4, 2017 /CNW/ - Canadian Zinc
Corporation (TSX: CZN; OTCQB: CZICF) ("the Company" or "Canadian Zinc") is pleased to announce it has resumed its
diamond drilling exploration program at the Company's wholly owned South Tally Pond zinc-lead-copper-silver-gold project in
central Newfoundland.
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.
The 2017 summer drill program will consist of up to 5,000 metres in 24 diamond drillholes and is designed to continue to test
for mineralized extensions to the Lemarchant massive sulphide deposit. The drill program will initially focus on further testing
and defining the up-dip mineralization discovered during the 2017 winter drill program (see news release April 18, 2017) followed, by further drill testing at the Lemarchant Northwest Zone.
Highlights of the recent 2017 winter drilling program to be followed up in this summer program include significant up-dip
extensions to the Lemarchant massive sulfide deposit on section 102+50N and 101+25N including:
LM17-115 (102+50N): 10.23% zinc, 2.19% lead, 0.78% copper, 148.4 g/t silver, 2.41 g/t gold over 7.1 m
LM17-116 (102+50N): 14.06% zinc, 6.27% lead, 1.88% copper, 382.9 g/t silver, 2.01 g/t gold over 6.0 m
LM17-110 (101+25N): 11.20% zinc, 0.46% lead, 0.94% copper, 46.3 g/t silver, 1.06 g/t gold over 6.9 m
LM17-111 (101+25N): 2.84% zinc, 1.01% lead, 0.75% copper, 73.4 g/t silver, 0.45 g/t gold over 3.8
m
The summer drill program will also include initial drill testing of previously defined electromagnetic ("EM") geophysical
anomalies at the North and South Lemarchant target areas, located approximately 500 metres along strike of the Lemarchant
deposit.
A ground EM geophysical program is also underway at the South Tally Pond project with the aim of defining new drill targets.
The geophysical program is focused on three priority target areas located immediately south and east of the Lemarchant deposit.
Each area is associated with airborne EM conductors that remain untested by drilling.
At the Spencers Pond prospect, located approximately 2 km southwest of the Lemarchant deposit, initial drill testing of newly
defined EM targets is also being planned. In this area, a single, historic drillhole intersected massive sulphide (pyrite)
over 0.5 metres associated with geochemically similar mudstones to that which overly 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 Duck Pond. An initial NI43-101 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.
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. The 2016 metallurgical research program concluded that Lemarchant is
a priority deposit for a potential central milling facility and should be explored aggressively for additional
mineralization.
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
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