NorZinc Ltd. plans to reduce its landholdings and focus on developing its three base metal deposits in Newfoundland amid an expected rise in license costs.
NorZinc owns the high-grade Lemarchant, Boomerang-Domino and Long Lake zinc-lead-copper-gold-silver deposits and the historical Tulks East claim block.
The company said it wants to develop the deposits into a stand-alone mine or use them to process minerals in a central milling facility. However, it also anticipates an 80% increase in license costs as a majority of the claims are reaching their 20th year of ownership.
As part of the plan, NorZinc is considering optioning out some key ground covering a regional, gold-bearing structural corridor that hosts Marathon Gold Corp.'s Valentine Lake gold deposits and Antler Gold Inc.'s recently discovered gold occurrences at the Wilding Lake project.
In addition, NorZinc aims to advance specific economic and structural studies on Lemarchant, where a recent updated estimate increased indicated resources by 94%.
NorZinc is a product of Canadian Zinc Corp.'s restructuring completed in 2018.