Canadian Zinc Announces Filing of Final Prospectus

VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 24, 2014) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Canadian Zinc Corporation (TSX:CZN)(OTCQB:CZICF) ("the Company" or "Canadian Zinc") is pleased to announce it has filed a final prospectus in connection with the previously announced $15 million bought deal public offering and that a receipt has been issued by the British Columbia Securities Commission.

As announced on July 9, 2014, the Company has entered into an agreement with Dundee Securities Ltd., on behalf of a syndicate of underwriters including Canaccord Genuity and Paradigm Capital (together, the "Underwriters"), to purchase on a "bought deal" basis by way of short form prospectus, 13,160,000 flow-through common shares of the Company ("Flow-Through Shares") and 28,572,000 units of the Company ("Units") subject to all required regulatory approvals at a price per Flow-Through Share of $0.38 for gross proceeds of $5,000,800 and at a price per Unit of $0.35 for gross proceeds of $10,000,200 (the "Offering").

Each Unit shall consist of one common share of the Company ("Share") and one-half of one common share purchase warrant ("Warrant"). Each whole Warrant shall entitle the holder thereof to acquire one Share at a price of $0.50 for a period of 36 months following the Closing Date.

The Offering is scheduled to close on or about July 31, 2014 (the "Closing Date").

Closing of the Offering is subject to a number of conditions, including, without limitation, receipt of all necessary approvals, including the approval of the Toronto Stock Exchange.

The Underwriters have been granted an option to purchase up to an additional 15% of the Offering, exercisable in whole or in part at any time up to 30 days following the Closing Date.

This press release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or the securities laws of any state of the United States and may not be offered or sold within the United States or to or for the account or benefit of a U.S. Person or a person in the United States (as such terms are defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to an exemption from such registration requirements.