The TSX Venture Exchange has accepted for filing an option agreement dated Oct. 17, 2016, between Inzinc Mining Ltd. and Pac Shield Resources Inc., whereby the company has the option to acquire a 100-per-cent interest in the Indy zinc property, located in British Columbia.

In order to acquire the property, the company must pay an aggregate of $305,000 cash, issue 2.1 million common shares in the company and incur $2.6-million in work expenditures over a period of five years as set out below:

• TSX-V acceptance, $30,000 cash and 200,000 shares;
• Year 1, $25,000 cash, 200,000 shares and $75,000 in work expenditures;
• Year 2, $25,000 cash, 300,000 shares and $200,000 in work expenditures;
• Year 3, $25,000 cash, 400,000 shares and $325,000 in work expenditures;
• Year 4, $75,000 cash, 500,000 shares and $750,000 in work expenditures;
• Year 5, $125,000 cash, 500,000 shares and $1.25-million in work expenditures;
• Technical report (1), $500,000 cash and 500,000 shares;
• Technical report (2), $500,000 cash.

(1) Technical report filed on SEDAR with a mineral resource estimate on the property containing greater than 500 million pounds of zinc

(2) Technical report filed on SEDAR with a mineral resource estimate on the property containing greater than 750 million pounds of zinc

The property is subject to a 1-per-cent net smelter royalty (NSR) held by Pac Shield and a 1.5-per-cent NSR held by Kerry Curtis. Upon exercise of the option and prior to completion of a feasibility study on the property, the company has the right to purchase the Pac Shield NSR for $1.5-million.

Insider:  Kerry Curtis, 2.34 million

For further information, please see the company's news releases dated Oct. 18, 2016, and Jan. 25, 2017.