Canada Zinc Metals shareholder closer to investing more czx.v, lun.to, tnr.v, bwr.to, cs.to, imn.to, ncu.to, tko.to, wrn.to, qux.to, rio, bls.to, tck

"Another interesting move by Lundin Mining could be in its core zinc business withCanada Zinc Metals still in the M&A picture. Even after Chinese involvement, company is still at the very attractive levels of valuation. Its Akie deposit represents one of the largest zinc and lead deposits in the world and based in Canada. With recent financing from Tongling, Chinese giant will have more than 30% in Canada Zinc Metals, Lundin Mining is the second largest shareholderafter Tongling now in that company. We were thinking that Mandarin will be the only language for all presentations in that company, but found recently information on the bullboard about Lundin Mining visits to the Akie property - it could be easily confirmed by the management.

"As I have a large shareholding in CZX I stay in regular communication with management. A team from Lundin Mining was up at the property not too long ago. Apparently the visit went very well...don't forget Lukas Lundin is a wheeler and dealer. Trust me - others are knocking too.

Any sophisticated investor (and I know you are one) knows that all it would take is a large pp with another mining company (including Lundin Mining) and the playing field is levelled."

We have mentioned before:

"Among the other developments today, we have mentioned that Lundin Mining has increased its loan facility and the maturity of the loan - will Lukas Lundin go shopping one day to increase his resource base for the next leg up in this commodity bull? He still maintains stake in Canada Zinc Metals along with all Chinese participants - should someone decide to chase this dragon - story could become very interesting."

StockWatch:


Canada Zinc shareholder closer to investing more

2010-10-26 08:11 ET - News Release

Mr. Peeyush Varshney reports

UPDATE ON TONGLING NONFERROUS METALS GROUP HOLDINGS CO. LTD. $18 MILLION PRIVATE PLACEMENT

Further to news in Stockwatch on July 26, 2010, Canada Zinc Metals Corp. has been advised by Tongling Nonferrous Metals Group Holdings Co. Ltd. that the State-Owned Assets Supervision and Administration Commission of Anhui, China, has approved Tongling's application to further invest in Canada Zinc Metals. Tongling will now apply for final approval from the Development and Reform Commission.

Tongling has subscribed, by way of a non-brokered private placement, for 31,386,224 units of Canada Zinc Metals at a price of 57.35 cents per unit for gross proceeds of $18-million. Each unit consists of one common share and one-half of a common share purchase warrant. Each whole warrant shall entitle the purchaser to purchase, at any time within 24 months from closing, one additional common share of the company at a price of 67.5 cents during the first year and at a price of 77.5 cents during the second year. Upon closing of the private placement, Tongling will own approximately a 36.5-per-cent equity interest in Canada Zinc Metals.

Tongling Nonferrous Metals Group Holdings Co. Ltd., 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 and refining, and products processing of copper, lead, zinc, gold, silver, and other non-ferrous and rare metals.

The financing is subject to receiving the necessary approvals of the relevant Chinese regulatory departments and the TSX Venture Exchange."

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