Canadian Zinc Corporation is a Toronto listed junior exploration company, trading under the symbol CZN. The company’s main project is the Prairie Creek Silver & Zinc mine in Canada. The Company has an experienced Executive and Board based in Vancouver BC.

Canadian Zinc’s long-term aim is to bring the 100%-owned Prairie Creek Mine in the Mackenzie Mountains of the Northwest Territories into production at the earliest possible date. The mine, which has a fascinating history, is a silver and base metals property already in the advanced stages of development, with substantial resources of high-grade silver, zinc, and lead. Exposures of mineralised vein structures, which overly thicker Stratabound mineralisation, both of which are included in the present resource, are known to occur over a distance of 16 kms through the property.

The mine has approximately CDN$ 100 M in infrastructure on site, in the way of a mill, underground development, a tailings dam and other mining plant and equipment, none of which was ever operated. A scoping study completed in 2001 indicates that the mine can cashflow CDN$ 1 million for each 1 cent US the zinc price is over the life of mine breakeven cost of US$0.34 per saleable pound of zinc. Recent drilling outlined a thicker high-grade shoot, which will allow mining in the early years to take advantage of this mineralisation, to significantly reduce the life of mine costs. The trailing average price for zinc over the last twelve years has been in the region of $0.53 cents per pound, with highs up around $0.90 per pound for short periods, making the project an excellent hedge and exposure to the price of zinc.

Current Operations

At Prairie Creek, The Company completed a scoping study in 2001 which concluded that a profitable mine could be operated on the site for at least 18 years on the current resources, producing around 100 million pounds of zinc per year. Cash break even cost per pound of saleable zinc over the life of the mine is US$ 0.34 per pound taking other metals as by product credits. Recent drilling in 2001 identified a thick high-grade shoot, which will allow selective mining to generate much higher profits and lower costs in the early years of operations.

Redevelopment costs including the provision of an all weather access road to the site are estimates at US$ 27 million. Work is now underway to re-permit the operation and to convert the Scoping Study into a bankable feasibility study through the use of an on site pilot plant and additional drilling decline. The mine and mill was permitted in 1982 but never operated.

Website: http://www.canadianzinc.com/