MORE FORS THAN AGAINSTS

Although I agree with some of the negative comments on HC regarding ZNC , we all have different views and expectations regarding the stocks in which we invest, and overall I think that ZNC has a lot more fors than againsts. With a market cap of only about $46M, and with about $10M in cash and shares, plus a wealth of multi-mineral projects, I believe that the company is good value at the current SP, and has great potential prospects for the future.Realising that potential will be the challenge, but they are much better placed than most explorers, especially those with a market cap under $100M.

The gold and base metal projects which ZNC holds 100% include Red Mountain in Qld, a project with high grade near-surface gold, with drilling currently under way to explore the deeper potential. The project is well located between the AIS Cracow mine and the EVN Mount Rawdon mine.

The Develin Creek project, also in Qld, is prospective for copper and zinc, and the Split Rocks gold project is well located in WA (along with one of their lithium projects).

The Earaheedy Project (zinc, lead, silver) northeast of Wiluna in WA is probably one of ZNC's biggest drawcards for some investors. It's a joint venture with RTR containing three substantial deposits (Chinook, Tonka and Navajoh). ZNC retains 25% and is free carried to completion of a BFS.

Lithium is another hot drawcard for many investors, and ZNC has the 100% owned Yilmia project near Coolgardie, which has an 8 km long prospective li zone, and the Hayes Hill li/ni project option.

There is also the joint venture with EV Metals Group plc, incorporating the Split Rocks and Waratah lithium deposits. ZNC retains 40% and is free carried to BFS. Irrespective of whether this JV proceeds, ZNC still has some highly prospective lithium ground which in itself could warrant being spun off into a separate company.

The REE portfolio comprises 6 tenements and has been joint-ventured with WA Rare Earths. ZNC retain 20% and will be allocated $2M shares in WRE when it lists, and they are free carried to BFS stage. The RE deposits are near-surface and clay based, which should keep mining and processing costs down.

I doubt that there are many explorers which are better placed than ZNC, but I would appreciate comments from others, both positive and negative.

Mike