ZincX Resources Appoints Vice President of Tongling Nonferrous Metals Group Holding Co. Ltd. to Board of Directors
Vancouver, British Columbia, Canada – Monday, November 19, 2018 – ZincX Resources Corp. (“ZincX Resources” or “the Company”, TSX Venture Exchange: ZNX) is pleased to announce the appointment of Mr. Hu Xinfu, Vice-President, Tongling Nonferrous Metals Group Holdings Co. Ltd. (“Tongling”) to the Board of Directors. He will sit as an independent director.
Mr. Hu Xinfu is currently Vice President of Tongling and is a professional geological engineer with over 25 years of experience in the mining sector, especially in the Dongguashan Copper Mine located in Tongling, China. He obtained a Bachelor of Geology degree from the Central South University of China in 1988.
Mr. Hu Xinfu is in charge of acquisition and exploitation of mineral resources both in domestic China and abroad, and is also responsible for production safety and environmental protection for Tongling.
Tongling, based in Tongling, Anhui, is a state-owned holding company, and one of China's largest copper smelting companies. Tongling’s principal activities are exploration, mining, ore processing, smelting & refining and products processing of copper, lead, zinc, gold, silver and other non-ferrous and rare metals.
Tongling had previously purchased units of the Company through two large private placements and an exercise of warrants. Tongling currently owns a total of 48,636,224 shares, representing a 29.34% equity position in ZincX Resources.
Peeyush Varshney, CEO of the Company, stated: “We welcome Mr. Hu Xinfu to our Board and greatly value his wealth of exploration and production experience across multiple facets in the base metal mining sector. This new appointment is in keeping with our continuing efforts to advance the significant value and merit of the Cardiac Creek deposit and to recognize the interest of one of the world’s premier base metal companies. Mr. Hu Xinfu and his technical team are thoroughly familiar with the progress to-date on the Akie property, including the recent PEA. He and his technical team toured the Akie property during the 2018 drill program and recognize the inherent value of the Company’s significant prospective land package and the potential long-term district development opportunity. We look forward to continuing to build our relationship with Mr. Hu Xinfu and Tongling.”
The appointment has received the necessary approvals of the relevant Chinese regulatory departments and the TSX Venture Exchange.
The Akie Zn-Pb-Ag Project
The 100% owned Akie property is situated within the Kechika Trough, the southernmost area of the regionally extensive Paleozoic Selwyn Basin and one of the most prolific sedimentary basins in the world for the occurrence of SEDEX zinc-lead-silver and stratiform barite deposits.
Drilling on the Akie property by ZincX Resources (formerly Canada Zinc Metals Corp) since 2005 has identified a significant body of baritic-zinc-lead SEDEX mineralization known as the Cardiac Creek deposit. The deposit is hosted by siliceous, carbonaceous, fine grained clastic rocks of the Middle to Late Devonian Gunsteel Formation.
The Company updated the estimate of mineral resources at Cardiac Creek in 2018, as follows:
|5% Zinc Cut-Off Grade||Contained Metal:|
|Zn (%)||Pb (%)||Ag (g/t)||Zn (B lbs)||Pb (B lbs)||Ag (M oz)|
The Company announced robust positive results from the 2018 Preliminary Economic Assessment (PEA). The PEA envisages a conventional underground mine and concentrator operation with an average production rate of 4,000 tonnes per day. The mine will have an 18-year life with potential to extend the life-of-mine (LOM) through resource expansion at depth. Key parameters for the PEA are as follows:
The base case parameters for the PEA used US$1.21/lb Zinc, US$1.00/lb Lead, and US$16.50/oz Silver
See ZNX news releases from June 20th, 2018 for important disclosures with respect to the Cardiac Creek PEA.
The PEA is considered preliminary in nature and includes mineral resources, including inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. Mineral resources that are not mineral reserves have not yet demonstrated economic viability. Due to the uncertainty that may be attached to mineral resources, it cannot be assumed that all or any part of a mineral resource will be upgraded to mineral reserves. Therefore, there is no certainty that the results concluded in the PEA will be realized.
Kechika Regional Project
In addition to the Akie Project, the Company owns 100% of eight of eleven large, contiguous property blocks that comprise the Kechika Regional Project including the advanced Mt. Alcock prospect. The Kechika Regional Project also includes the Pie, Yuen and Cirque East properties within which the Company maintains a significant 49% interest with partners Teck Resources Limited (TSX: TECK.B) and Korea Zinc Co. Ltd holding 51%. These properties collectively extend northwest from the Akie property for approximately 140 kilometres covering the highly prospective Gunsteel Formation shale; the main host rock for known SEDEX zinc-lead-silver deposits in the Kechika Trough of northeastern British Columbia. These projects are located approximately 260 kilometres north northwest of the town of Mackenzie, British Columbia, Canada.
Ken MacDonald P.Geo., Vice President of Exploration for the Company, is the designated Qualified Person as defined by National Instrument 43-101 and is responsible for the technical information contained in this release. Mike Makarenko P.Eng, JDS Energy and Mining, is the designated Qualified Person as defined by National Instrument 43-101 and is responsible for the PEA technical information contained in this release.
The TSX Venture Exchange has neither approved nor disapproved the contents of this press release.
ON BEHALF OF THE BOARD OF DIRECTORS
ZINCX RESOURCES CORP.
PEEYUSH VARSHNEY, LL.B
CEO & CHAIRMAN