Water Board Completes Regulatory Process; Water Licence Recommended for Approval
VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 8, 2013) - Canadian Zinc Corporation (TSX:CZN)(OTCQB:CZICF) ("the Company" or "Canadian Zinc") is very pleased to announce that the Mackenzie Valley Land and Water Board ("MVLWB") has completed its regulatory process for the issue to Canadian Zinc of a Type "A" Water Licence for the Company's wholly owned Prairie Creek Mine in the Northwest Territories, Canada and has forwarded the Licence to the Federal Minister of Aboriginal Affairs and Northern Development Canada with the recommendation that the Minister approve and sign the Licence.
"This Type 'A' Water Licence is the key regulatory permit needed for the construction, development and operation of the Prairie Creek Mine," stated Alan B. Taylor, COO and VP of Exploration for Canadian Zinc.
"The successful completion of the regulatory process is the culmination of many years of effort by the Canadian Zinc team, the Mackenzie Valley Land and Water Board, the various government agencies and all the stakeholders in the region. The positive recommendation of the Water Board demonstrates that a broad consensus has been achieved through the process and we look forward to receiving the approval of the Minister and the issue of the Water Licence in due course," added Mr. Taylor.
In its recommendation to the Minister, the Water Board provided some comments on the issues faced and the decisions made in respect of this Licence. The Board accepted the site-specific water quality objectives (SSWQO) derived by Canadian Zinc. These are almost all more stringent than the country-wide guideline values adopted by the Canadian Council of Ministers of the Environment (CCME). The Board also determined, after many months of review and study, that effluent quality criteria (EQC) using a variable load-based discharge approach, as proposed by Canadian Zinc, will be a more protective and practical way of controlling effluent discharge from the mine to Prairie Creek. The Board recognizes that this is a new approach compared to the standard fixed EQC, but believes that practical and effective mechanisms can be put in place to ensure compliance.
Upon receipt of Ministerial approval, the new Type "A" Water Licence MV2008L2-0002 will permit Canadian Zinc to conduct mining, milling and processing activities at the Prairie Creek Mine Site, use local water, dewater the underground mine, and dispose of waste from mining and milling.
In January 2013, the MVLWB issued Land Use Permit ("LUP") MV2012F007 which permits the construction, maintenance, operation and use of the winter access road connecting the Prairie Creek Mine to the Liard Highway. This permit allows the outbound transportation of the zinc and lead concentrates produced at the mine, and the inbound transportation of fuel and other supplies during the actual operation of the Prairie Creek Mine.
In June 2013, the MVLWB issued LUP MV2008D0014 which permits Canadian Zinc to extract ore and waste rock from the Prairie Creek Mine, operate a flotation mill concentrator to produce zinc and lead concentrates, create a waste rock facility, and refurbish and develop site facilities in support of the mining operation, along with the eventual closure and reclamation of the mine site.
Also in June 2013, the MVLWB issued LUP MV2008T0012 which permits Canadian Zinc to construct and operate the Liard Transfer Facility to be situated near the junction of the existing Prairie Creek Mine access road and the Liard Highway. The Liard Transfer Facility is a staging area at the south end of the winter access road designed to temporarily store outbound concentrate and inbound supplies.
Following the approval of the Type "A" Water Licence from the Minister, and receipt of a final LUP and a Type "B" Water Licence from Parks Canada for the portion of the realigned access road within the Nahanni National Park Reserve ("NNPR"), Canadian Zinc will have secured all of the water licenses and land use permits required to operate the Prairie Creek Mine. Canadian Zinc currently holds a LUP issued by Parks Canada for the use of the original road route through NNPR to resupply the mine site during exploration activities.
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