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New Vein System Discovered During Underground Drill Program at Prairie Creek Mine

by ahnationtalk on June 24, 2015282 Views

Press Releases

Vancouver, British Columbia, June 23, 2015 – Canadian Zinc Corporation (TSX: CZN; OTCQB: CZICF) (“the Company” or “Canadian Zinc”) is pleased to provide an update on the continuing underground exploration program at the Prairie Creek Mine in the Northwest Territories, Canada last reported on June 9, 2015.

Assays have now been received from five additional diamond drill holes from the underground program.

Highlights of Diamond Drilling:

  • Drillhole PCU-15-62 intercepted a previously unknown quartz vein fault structure, 75m into the footwall of the Main Quartz Vein (MQV) structure, and graded 3% Pb, 19.8% Zn and

150 g/t Ag across an estimated true width of 5.4m.

  • PCU-15-65, drilled on the next section 50m north, 95m to the west of the MQV structure which graded 4.9% Pb, 22.7% Zn and 164 g/t Ag across 1.2m of estimated true width, also intercepted the second quartz vein structure and graded 6% Pb, 13.8% Zn, 92 g/t Ag across 2.9m of estimated true width.
  • Diamond drilling of the lower portion of the MQV structure in hole PCU-15-64 intersected two veins side by side (separated by approximately 8m but both interpreted to be the MQV) grading 22.7% Pb, 9.7% Zn, 226 g/t Ag across 8.4m estimated true width and 14.0% Pb, 3.5% Zn 194 g/t Ag across 5.1m estimated true width, respectively.
  • Multiple intercepts of Stockwork (STK) mineralization were also returned in all stockwork targeted holes including hole PCU-15-65 which graded 7% Pb, 32.7% Zn, and 311 g/t Ag across an estimated true width of 2.4m and further down the hole 9.5% Pb, 38.1%

Zn, 381 g/t Ag across an estimated true width of 1.5m.

In this particular area of the property, base metal mineralization occurs both in the Main Quartz Vein (MQV), which is a high-grade, steeply dipping, fault structure that hosts the majority of the defined reserves and resources, and in the Stockwork (STK) Zone, which is a series of narrow high-grade veins occurring at an oblique angle to the MQV.

870m Decline Diamond Drilling Results

PCU-15-062 was designed to further detail the MQV and STK on Section 51050N. The MQV zone intercepted in this hole was poorly mineralized within the structure, however further drilling into the footwall intercepted multiple STK veins as anticipated.

Previous three dimensional modelling had projected the possibility of a second MQV-like structure (MQVB) and this may be represented by a new vein intersection which graded 8.3% Pb, 19.8% Zn and 150 g/t Ag across a true width of 5.4m, 75m into the footwall of the MQV structure.

As a subsequent follow up to this intercept hole PCU-15-65 tested the possible trend of this structure 50m north on the next section 50100N and successfully intercepted both quartz vein structures which also carried significant grades as indicated in the table below.

Abundant STK mineralization was intercepted throughout the holes within the footwall of the MQV as detailed in the attached schedule. The STK continues to return significant widths and grades in the immediate vicinity of the present mine workings.

Some of the on-going drilling will be directed towards further testing the possible continuation of the new second quartz vein structure, termed the MQVB, further to the north along with continuing to delineate the MQV and STK zones.

Structural interpretation and three dimensional geological modelling is on-going and will be finalized upon completion of the drilling program.

Drilling of holes 61, 62, 63 and 64 were from underground drill station #9 on Section 51050N. The drill was moved to station #10 on Section 51100N to complete hole 65 where it is presently operating.

The underground drilling in the 870m decline is testing for new areas of mineralization near the mine workings and to further detail Inferred resources, with the objective of converting part of the large Inferred Mineral Resource to the Indicated category.

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