Market Overview

2018 Field Program Begins on the Lik Zinc Project, Alaska

Share:

Solitario Zinc Corp. ("Solitario") (NYSE American: XPL; TSX: SLR)
is pleased to announce that Teck American Incorporated ("Teck"), a
wholly owned subsidiary of Teck Resources Limited (TSX: TECK.A and
TECK.B, NYSE: TECK), has commenced a field program on the Lik high-grade
zinc project in Alaska. The Lik project is held through a joint venture
arrangement between Solitario (50%) and Teck (50%).

Solitario and Teck agreed that Teck will act as project operator for the
2018 field program to take full advantage of Teck's thirty years of
successful exploration and operational experience in the world-class Red
Dog mining district. The technical elements of the work program will
consist of geologic mapping, relogging of existing Lik core and
conducting a gravity geophysical survey over a substantial portion of
the 6,075-acre property. This work, combined with a program of camp
rehabilitation, will allow for future use of the established Lik
infrastructure and provide essential information to assess what
additional technical and environmental studies are required to advance
the project. All permits necessary to conduct the 2018 program have been
acquired.

Chris Herald, President and CEO of Solitario, commented, "We are excited
to take advantage of Teck's long-term experience in the Red Dog zinc
district. The 2018 work program will pave the way for planning the best
path forward for the project. We are particularly excited about
utilizing Teck's gravity survey expertise that has been a proven
ore-finder in the surrounding Red Dog district. We expect to have the
results of this program in the fourth quarter of 2018."

A total of 125,300 feet of core drilling in 229 holes has been completed
on the Lik property which has defined a potentially open-pitable
Indicated Resource of 17.3 million tonnes grading approximately 12% zinc
equivalent and an additional 2.9 million tonnes of Inferred Resource at
approximately 11% zinc-equivalent grade. The project is situated
approximately 14 miles northwest of Teck's operating Red Dog mine, one
of the world's largest zinc mines.

Lik Joint Venture

The terms of the Lik joint venture were previously outlined in the Lik
Block Agreement signed on January 27, 1983. Through a series of
third-party transactions, Teck currently holds a 50% interest in the
project, and Solitario owns a 50% interest through its acquisition of
Zazu Metals. Solitario and Teck are presently negotiating a new joint
operating agreement that will update and clarify the original agreement
and potentially modify its commercial terms.

About Solitario

Solitario is an emerging zinc exploration and development company traded
on the NYSE American ("XPL") and on the Toronto Stock Exchange ("SLR").
Besides Solitario's 50% joint venture interest in the high-grade,
open-pitable Lik zinc deposit in Alaska, Solitario also holds a 39%
joint venture interest (Nexa Resources holds the remaining 61% interest)
on the high-grade Florida Canyon zinc project in Peru, and a 7.6% equity
interest in Vendetta Mining. Solitario's Management and Directors hold
approximately 9.3% (excluding options) of the Company's 58.3 million
shares outstanding. Solitario's cash balance and marketable securities
stand at approximately US$13.0 million. Additional information about
Solitario is available online at www.solitariozinc.com

Cautionary Note to U.S. Investors
concerning estimates of Resources: This news release uses the terms
"Measured, Indicated and Inferred Resources." The Company advises U.S.
investors that while these terms are recognized and required by Canadian
regulations, the SEC does not recognize the terms.
U.S. investors
are cautioned not to assume that any part or all of Measured or
Indicated Mineral Resources will ever be converted into Reserves.
Inferred
Resources have a great amount of uncertainty as to their existence, and
great uncertainty as to their economic and legal feasibility. It cannot
be assumed that all or any part of an Inferred Mineral Resource will
ever be upgraded to a higher category. Under Canadian rules, estimates
of Inferred Mineral Resources may not form the basis of feasibility or
pre-feasibility studies, except in rare cases.
U.S. investors are
cautioned not to assume that any part or all of a measured, indicated
or
inferred resource exists, or is economically or legally minable.

Cautionary Statement Regarding Forward Looking
Information

This press release contains forward-looking statements within the
meaning of the U.S. Securities Act of 1933 and the U.S. Securities
Exchange Act of 1934, and as defined in the United States Private
Securities Litigation Reform Act of 1995 (and the equivalent under
Canadian securities laws),
that are intended to be covered by the
safe harbor created by such sections. Forward-looking statements are
statements that are not historical fact. They are based on the beliefs,
estimates and opinions of the Company's management on the date the
statements are made and address activities, events or developments that
Solitario expects or anticipates will or may occur in the future, and
are based on current expectations and assumptions.
The Company
would like to specifically caution the reader that the Lik preliminary
economic assessment ("PEA") that supports the technical feasibility or
economic feasibility of the Lik zinc deposit, respectively, including
the marketability of the concentrate, mining methods, cost, recoveries
of metals and any other technical aspects related to the deposits, are
preliminary in nature and there is no certainty that the economic
estimates in the PEA will be realized.
Forward-looking statements
involve a number of risks and uncertainties. Consequently, there can be
no assurances that such statements will prove to be accurate and actual
results and future events could differ materially from those anticipated
in such statements. Such forward-looking statements include, without
limitation, statements regarding the Company's expectation of the
projected timing and outcome of engineering studies; expectations
regarding the receipt of all necessary permits and approvals to
implement a mining plan, if any, at Lik or Florida Canyon; the potential
for confirming, upgrading and expanding zinc, lead and silver
mineralized material; future operating and capital cost estimates may
indicate that the stated resources may not be economic; estimates of
zinc, lead and silver grades of resources, metallurgical recoveries and
future metal prices are predicted and actual results could be
substantially lower; and other statements that are not historical facts
could vary significantly from assumptions made in the PEA; risks
associated with our partner, Teck Resources Ltd., ability to finance
continued development and potential construction of the Lik project
could have a materially negative impact on the timing of project
development, and such project development may never occur.
Although
Solitario management believes that its expectations are based on
reasonable assumptions, it can give no assurance that these expectations
will prove correct.
Other important risk factors that could cause
actual results to differ materially from those in forward-looking
statements are discussed in greater detail in Solitario's filings with
the U.S. Securities and Exchange Commission (the "SEC") including
Solitario's latest Annual Report on Form 10-K and its other SEC filings
(and Canadian filings) including, without limitation, its latest
Quarterly Report on Form 10-Q. The Company does not intend to publicly
update any forward-looking statements, whether as a result of new
information, future events, or otherwise, except as may be required
under applicable securities laws.

View Comments and Join the Discussion!