NEW YORK, May 12, 2014 /PRNewswire/ -- S&P Capital IQ announced today that it has commenced Standard & Poor's Factual Stock Report coverage on Zazu Metals Corporation. (ZAZ).
Zazu Metals Corporation (ZAZ) is a Canadian-based exploration company focused on acquiring and developing base metal properties in North America. Zazu's principal asset is its 50% interest in the Lik zinc-lead-silver deposit in northwest Alaska. Teck is a 50% joint venture partner in the Lik deposit.
On March 3, 2014, Zazu announced the results of the preliminary economic analysis (PEA) that was completed by JDS Energy and Mining, Inc. (JDS) on the company's Lik property. The PEA considered the open pit potential of the Lik South deposit. The PEA did not consider Lik North, the contiguous deposit to Lik South, which would be mined using underground methods if economics proved viable.
S&P Capital IQ's Factual Stock Report coverage on Zazu Metals Corporation will also be accessible on an ongoing basis to the investment community by scores of buy-side institutions and sell-side firms that utilize S&P Capital IQ research and information platforms daily. Millions of self-directed investors also have access to the report via their e-brokerage accounts.As modeled, Lik South would have average annual production of 234,000 dry tonnes of zinc concentrate and 55,800 dry tonnes of lead concentrate. In total, 17.1 million tonnes of ore milled at an average grade of 7.7% zinc, 2.6% lead and 47 g/t silver is expected from the Lik South open pit. This would rank Lik South as one of the largest producers of zinc concentrate and one of the largest zinc mines globally, according to the company. The study estimated a capital cost of US$352 million including a 20% contingency for a 2 million tonne-per-year mine and mill with an initial nine-year mine life. Although not considered as part of the economic analysis, JDS noted the additional exploration potential of Lik North and its potential to further extend the mine life. The development plan for the Lik deposit as laid out in the PEA involves the construction of a 5,500 tonne-per-day mill that will produce both a zinc and a lead concentrate using on-site crushing/grinding and sequential flotation methods.