The mining newspaper for Alaska and Canada's North
The mining newspaper for Alaska and Canada's North
CZN: TSX
Chairman, President and CEO: John Kearney
VICE PRESIDENT, EXPLORATION: Alan Taylor
Vice President, Permitting and Environmental Affairs: David Harpley
Canadian Zinc Corp. focused in 2013 on the Prairie Creek Mine, an advanced-staged, partially developed zinc-lead-silver property located in the Northwest Territories.
Prairie Creek is an underground operation that will utilize multiple mining methods to access readily available ore.
The company has the majority of the required infrastructure in place, including a 1,000-metric-ton-per-day mill, five kilometers (three miles) of underground workings and related equipment, a heavy duty and light duty surface fleet, three exploration diamond drills and a 1,000-meter airstrip.
The project contains a mineral reserve of 5.2 million metric tons averaging 9.4 percent zinc, 9.5 percent lead and 151 grams per metric ton silver.
In addition, Prairie Creek hosts an inferred resource of 6.2 million metric tons averaging 14.5 percent zinc, 11.5 percent lead, 0.57 percent copper and 229 g/t silver.
During the first half of 2013, Canadian Zinc made very significant progress with its applications for operating permits for the Prairie Creek Mine, including obtaining permission in April to carry out further surface exploration diamond drilling throughout the Prairie Creek Property until 2018.
In May 2013, the company raised US$10 million by the sale to Sandstorm Metals & Energy Ltd. of a 1.2 percent net smelter return royalty on Prairie Creek Mine production.
In addition, as part of the agreement, Sandstorm granted Canadian Zinc the option, for a period of 30 months, to repurchase the NSR without premium or penalty for US$10 million, if the junior enters into a metal stream agreement with Sandstorm under which Sandstorm would provide Canadian Zinc with an upfront deposit of not less than US$90 million to be used to finance part of the capital cost to develop the Prairie Creek Mine.
In early September, the company reported the imminent start of a new diamond drill exploration program comprised of five drill holes totaling about 2,500 meters of coring planned to test a large multi-stacked gravity and electromagnetic geophysical anomaly believed to be 200-450 meters below surface and situated about one kilometer (0.62 mile) from the Prairie Creek mine site, outside but adjacent to the defined mineral resource.
Alan Taylor, vice president of exploration and COO of Canadian Zinc, said discovery of any resource in this area could have a significant impact on the economics of the existing project and future implications on additional property-wide exploration at Prairie Creek.
This 2013 drill program was fully supported by a recently completed C$4 million flow-through financing which closed on August 20.
The drilling was expected to continue for two months.
Cash and short-term deposits: C$11.8 million (June 30, 2013; raised C$4 million Aug. 20, 2013)
Working capital: C$12.3million (June 30, 2013)
Market capitalization: C$90.2 million (Sept. 27, 2013)
1710 - 650 West Georgia Street
Vancouver, BC
Canada V6B 4N9
Tel: 604-688-2001 Fax: 604-688-2043
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