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Canadian Zinc Continues to Intersect Mineralization at the Northwest Zone, South Tally Pond Project, Newfoundland

Press Releases

Vancouver, British Columbia, December 17, 2014 – Canadian Zinc Corporation (CZN.TO)(CZICF) (“the Company” or “Canadian Zinc”) is pleased to provide the results of its recently completed 2014 fall diamond drill program on its wholly owned South Tally Pond copper-lead-zinc-silver-gold project in central Newfoundland.

Six drillholes and two drillhole extensions totaling 2,754 metres were completed at the Northwest zone, located 250 metres northwest of the drill-defined Lemarchant Deposit. The fall drill program followed up on positive results from the earlier winter drill program (see news release April 8, 2014). Highlights of the recent drilling program include:

  • Drillhole LM14-103 intersected semi-massive to massive sulphides grading 8.50% zinc, 4.41% lead, 1.06% copper, 34.0 g/t silver and 0.55 g/t gold over 6.1 metres (core length). The new drill intercept extends the mineralization 30 metres downdip of LM13-83 which intersected 6.55% zinc, 1.96% lead, 0.30% copper, 37.12 g/t silver and 0.35 g/t gold over 9.0 metres.
  • Drillhole LM14-102 intersected stringer to semi-massive sulphides (stockwork) grading 3.40% zinc, 0.30% lead, 0.52% copper, 27.30 g/t silver and 0.44 g/t gold over 7.0 metres (core length). The mineralization is located 30 metres downdip of LM13-94 which intersected 8.21% zinc, 3.66% lead, 0.72% copper, 150.1 g/t silver and 3.24 g/t gold over 8.7 metres.

To date, significant stockwork to massive sulphide intervals have been intersected on the 50-metre spaced sections at the Northwest zone between 105+00N and 107+00N. The mineralized horizon is located at a vertical depth of 260 to 350 metres and remains open to the north and to the east.

South Tally Pond Project

The South Tally Pond Project is 100%-owned and covers 170 km2 of a highly prospective volcanogenic massive sulphide (“VMS”) geological belt in central Newfoundland. The Lemarchant Deposit, the most advanced target on the South Tally Pond property, is situated 20 km southwest of Teck Resources Duck Pond copper-zinc mine in the same geological belt.
Previous drilling at the Lemarchant Deposit has outlined a significant precious metal-rich copper-lead-zinc VMS deposit with excellent potential to develop into a viable economic resource. An initial National Instrument (“NI”) 43-101 mineral resource estimate was completed in January 2012 on the Lemarchant Deposit and includes the following mineral resources:

  • Indicated Mineral Resource: 1.24 million tonnes grading 5.38% zinc, 0.58% copper, 1.19% lead, 1.01 g/t gold and 59.17 g/t silver (15.40% ZnEQ) using a 7.5% ZnEQ grade cut-off.
  • Inferred Mineral Resource: 1.34 million tonnes grading 3.70% zinc, 0.41% copper, 0.86% lead, 1.00 g/t gold and 50.41 g/t silver (11.97% ZnEQ) using a 7.5% ZnEQ grade cut-off.

(See Technical Report and Mineral Resource Estimate on the Lemarchant Deposit, South Tally Pond VMS Project, central Newfoundland, dated March 2, 2012 filed on SEDAR under Paragon Minerals Corporation).

The Northwest zone consists of precious metal rich semi-massive to massive sulphide mineralization and mineralized barite intervals within altered felsic volcanic rocks. Drilling and ongoing section interpretation has demonstrated the existence of numerous east-trending faults that have dissected the Northwest zone and are interpreted to have detached the Lemarchant Deposit from its roots at the Northwest zone. These displacements extend several hundred metres, leaving excellent potential to locate additional portions of the original lens in the immediate area.

Read more: http://www.canadianzinc.com/images/Docs/News_Releases/2014/CZNNR20141217.pdf

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