Consolidated Zinc Limited (ASX: CZL; “Consolidated Zinc” or “the Company”) is pleased to announce the Appeals Court of Chihuahua (the “Appeals Court”) has ruled in favour of the Company’s subsidiary, Minera Latin American Zinc S.A.P.I. de CV (“MLAZ”) regarding a dispute over a Land Use Agreement with a local rancher in place for its 100%-owned Plomosas Zinc Mine in Mexico.
The Appeals Court decision confirmed that MLAZ has a valid and legally enforceable Land Use Agreement (the “Agreement”) with the rancher.
The Appeals Court favourable decision follows the ASX announcement dated 28 August 2019, where the full bench of the Federal Court of Mexico (“Federal Court”) cancelled the prior Appeals Court ruling, on the basis that the Appeals Court had not considered all evidence submitted, including the terms and conditions of the Agreement.
MLAZ continues to operate in accordance with the Agreement, which has now been confirmed as legally valid and enforceable.
For and on behalf of the Board.
Brad Marwood
Managing Director
ABOUT CONSOLIDATED ZINC
Consolidated Zinc Limited (ASX: CZL) owns 90% of the historic Plomosas Mine, located 120km from Chihuahua City, Chihuahua State, Mexico. Chihuahua State has a strong mining sector with other large base and precious metal projects in operation within the state. Historical mining at Plomosas between 1945 and 1974 extracted over 2 million tonnes of ore grading 22% Zn+Pb and over 80g/t Ag. Only small-scale mining continued to the present day and the mineralised zones remain open at depth and along strike.
The company has recommenced mining at Plomosas and is committed to exploit the potential of the high-grade Zinc, Lead and Silver Mineral Resource through the identification, exploration and exploitation of new zones of mineralisation within and adjacent to the known mineralisation with a view to identify new mineral resources that are exploitable.
Original Article: https://www.asx.com.au/asxpdf/20190905/pdf/4487vmk1dgc5dg.pdf
