Toronto, Canada, June 6, 2016 – Nevada Zinc Corporation (“Nevada Zinc” or the “Company”) (TSX-V: NZN) is pleased to announce that it has received extremely positive test results from theleaching of unconcentrated drill hole sample material obtained from the Company’s highly prospective Lone Mountain zinc project located near Eureka, Nevada. The metallurgical testwork was carried out by Outotec Oyj (“Outotec”) at their research centre in Pori, Finland. The Outotec report on the two zinc leach tests demonstrated; “Excellent leaching results with zinc extractions above 99%”. The standard leaching tests were carried out using sulfuric acid at different temperatures and at different pH levels. The tests were performed on unconcentrated drill hole sample material and showed that; “Zinc can be efficiently leached from the mineralized material and recovered as special high grade (“SHG”) zinc product”.
President and CEO, Bruce Durham commented, “the initial leach tests completed by Outotec show, convincingly, that the unconcentrated Lone Mountain zinc mineralization tested was easily leached using standard leach parameters. As a result of these very positive tests we are now focussed on continuing to explore different concentration methods to ensure that the maximum amount of zinc mineralization from Lone Mountain that may be ultimately processed contains as little calcite and dolomite as possible in order to limit the amount of sulphuric acid consumed during leaching thereby significantly reducing potential future processing costs. Our previous testing of heavy liquid separation, as a pre-leach concentration method, indicated an ability to remove much of the acid consuming calcite and dolomite prior to leaching. These excellent test results from Outotec open up many possibilities for us on the process side. The Company’s main focus, in addition to metallurgical testing, continues to be our current Phase 4 drill program which is primarily focused on testing the very near surface portion of the Mountain View Mine property”.
Highlights from Outotec Leach Tests
· Zinc can be efficiently leached from the mineralized material and recovered as SHG zinc product.
· Excellent leaching results with zinc extractions above 99%.
· Temperature of 75 degrees Celsius is enough for leaching.
· Reaction is exothermic (generates heat) and therefore there will not be a need for external heating (in production scale).
· Silica gel formation was observed at some test stages. The tests show that gelling formation can be avoided.
· Sulphuric acid consumption was high, however, pre-leach concentration could remove much of the calcite and dolomite gangue thereby significantly reducing the amount of acid consumed during leaching.
· An upgrading of the feed material that would reduce the amount of carbonates before leaching could significantly reduce processing costs.
The International Zinc Association website; (www.zinc.org) is a good source of information on zinc and its varied uses.
Teck, the world’s third largest zinc miner provided a review of the zinc market in its shareholder day presentation (March 30, 2016): http://www.teck.com/investors/presentations-webcasts/teck-s-investor-and-analyst-day---march-30 Slides111-117. The slides clearly depict a looming significantzinc deficit for many years to come due to continued growing demand for zinc offset by mine closures and a lack of new investment.
The current global weighted average mine grade for zinc operations, both open pit and underground, is now below 5% zinc (see Teck ppt).
Additional zinc information is also available on the Nevada Zinc website (www.nevadazinc.com).
Bruce Durham, P.Geo, is a qualified person, as that term is defined by National Instrument 43-101, on behalf of the Company and has approved the contents contained in this press release.
The information contained in this press release referencing the work and report completed by Outotec was reviewed and approved by Outotec’s Bjorn Saxen, PhD. (Chemical engineering). Mr. Saxen has extensive experience in the hydrometallurgy of zinc projects.
About Nevada Zinc
Nevada Zinc is a discovery driven mineral exploration company with a proven management team focussed on identifying unique opportunities in mineral exploration that can provide significant value to its shareholders. The Company’s existing zinc and gold projects are located in Nevada and Yukon, respectively.
The Lone Mountain Project
While the Company maintains its highly prospective Yukon gold properties and continues to advance them, the current focus of the Company is the exploration and advancement of its 100% owned Lone Mountain zinc project (the “Project”), comprised of 218 claims covering approximately 4,000 acres. Nevada Zinc is currently drilling at the Project (see press release dated May 24, 2016).
The Project is located in east-central Nevada and is easily accessible via paved and gravel roads northwesterly from Eureka where all essential services are available. The Project now includes the historic zinc mine known as the Mountain View Mine.
Outotec provides leading technologies and services for the sustainable use of the Earth’s natural resources. As the global leader in minerals and metals processing technology, Outotec has developed many breakthrough technologies over the decades for its customers in the metals and mining industry. Outotec also provides innovative solutions for industrial water treatment, the utilization of alternative energy sources and the chemical industry. Additional information is available at: www.outotec.com
For further information contact:
Nevada Zinc Corporation
Suite 1660, 141 Adelaide St. West
Toronto, Ontario M5H 3L5
Bruce Durham, President and CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.