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InZinc Enters into Option Agreement with Pac Shield Resources to Acquire Indy Project in Canada

InZinc Mining Ltd. (TSX VENTURE:IZN) ("InZinc" or the "Company") is pleased to announce that, subject to TSXV acceptance, it has signed an option agreement with Pac Shield Resources Inc. ("PSR"), a private British Columbia company, to acquire a 100% interest in the Indy zinc project ("Indy") located in central British Columbia. The Indy project hosts extensive, under explored, near surface zinc mineralization at the Tex Zone, and numerous large, untested soil geochemical anomalies.

Indy is a well located, high potential zinc project that complements the Company's large and advanced flagship West Desert project in Utah where a Preliminary Economic Assessment (2014) concluded low cost, bulk underground mining and conventional processing can produce clean, high quality concentrates at mid-tier levels of zinc production. The West Desert resources are also open for expansion and are being prepared for drilling as part of prefeasibility.

Indy Highlights

  • Ground access, 55 km from major highway, 70 km from trans-continental rail
  • Last comprehensive exploration by majors 26 years ago
  • 450 m long mineralized Tex Zone outlined by shallow, wide-spaced historical drill holes
  • Tex Zone drill intersections range from 1.5 m to 19.7 m widths, grading from 1.9% to 8.9% zinc, from 1.0 g/t to 55.6 g/t silver and from 0.04% to 2.4% lead
  • All mineralized Tex Zone intersections estimated within 100 m of surface
  • Tex Zone open for expansion on strike, at depth and is a priority drill target
  • Surface zinc oxides grading 45.5% zinc and 7.9 g/t silver in recent grab samples
  • Multiple, large soil geochemical anomalies over 6.5 km strike offer potential for additional discoveries
  • Four styles of zinc mineralization are widespread and only partially explored
  • Ground work and additional soil sampling are planned to prepare the project for drilling in 2017

Indy consists of five mineral claims (1380 hectares) located approximately 100 kilometres south of the city of Prince George, British Columbia. The area covers 9.8 kilometres of deformed sedimentary rocks spanning the Cambrian to Lower Mississippian; a geological period known to produce most of the major western Canadian zinc deposits.

Zinc in Near Surface Drill Intersections

Indy was last explored by major mining companies between 1980 and 1990. Six shallow, wide-spaced diamond drill holes in 1989-90 targeted a portion of a high contrast soil anomaly (Anomaly B). All six holes intersected mineralization at estimated vertical depths less than 100 metres, outlining the 450 metre long mineralized Tex Zone.

Tex Zone - Highlights of Historical Diamond Drilling (1989-90)

Hole ID Interval (m)* Zn (%) Pb (%) Ag (g/t)
89-1** 6.90 2.94 0.11 2.20
89-1** 3.00 3.18 1.03 4.40
89-2 1.53 8.87 2.38 55.56
89-3 5.00 4.79 1.01 5.67
89-4** 3.05 1.86 0.04 1.00
90-1 19.7 4.10 0.52 3.12

*True width unknown.     **Core recovery less than 50%.

Descriptions of the mineralized drill intersections (from previous operators) include the minerals sphalerite, galena and barite in fractures and breccias hosted in dolostone, all of which are common constituents of Mississippi Valley Type (MVT) style or low temperature Carbonate Replacement Deposit (CRD) zinc mineralization.

Large, Untested Soil Geochemical Anomalies

Historical exploration at Indy utilized soil geochemistry and led to the successful discovery of the Tex Zone mineralization. The Indy project includes compiled digital data from over 2,100 historical and recent soil geochemical samples from across 7.5 kilometres of the property. These samples outline several large multi-element (zinc-lead-barium-silver) soil geochemical anomalies occurring across a 6.5 kilometre length of the property (see map provided). The following four geochemical anomalies cover a large area across a linear trend over moderate terrain: Anomaly A (600 m by 350 m); Anomaly B (Tex Zone) (700 m by 150 m); Anomaly C (700 m by 200 m); and Anomaly D (800 m by 400 m). Several of these anomalies have not been explored or remain only partially explored. This includes the high contrast soil signal from Anomaly B, which was partially explored by drilling in 1989-90 and led to the discovery of the Tex Zone (see drill results above).

Developing Exploration Targets

Four types of zinc mineralization (including MVT or low temperature CRD style) are documented on Indy. The variety of zinc mineralization, respective host rocks and the widespread distribution of these occurrences across Indy may be suggestive of a larger mineralizing event and may provide new opportunities and target areas. Additional soil sampling, prospecting and geological mapping are required on all anomalies and mineral occurrences to improve the resolution of exploration data prior to drill target selection.

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