TORONTO, ONTARIO--(CCNMatthews - Dec. 13, 2004) - NOT FOR DISTRIBUTION
TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
ONTZINC Corporation (TSX VENTURE:OTZ) (the "Company") hereby announces
that Gregory J. Peebles, a director and the Chairman and Chief Executive
Officer, has resigned from the Company effective December 10, 2004. The
board of directors has agreed to make a $500,000 severance payment to
Mr. Peebles in connection with his resignation.
As previously announced, Peter Jones, the current Managing Director and
Chief Executive Officer of Hudson Bay Mining and Smelting Co., Limited
("HBMS"), will become the President and Chief Executive Officer of the
Company following the Company's acquisition of HBMS.
Peter George, the current President of the Company, will carry out the
duties of the Chief Executive Officer of the Company prior to the
completion of the acquisition of HBMS. Mr. H. Douglas Scharf, the Senior
Vice President and Chief Financial Officer of the Company, has joined
the board of directors of the Company.
Repurchase of Common Shares
Pursuant to the private placement of units of the Company completed on
September 30, 2004, Mr. Peebles and Christopher O. Irwin, the Corporate
Secretary of the Company, purchased 10 million units and 200,000 units
of the Company, respectively, at a price of $0.05 per unit. In the
course of reviewing the Company's preliminary prospectus dated November
10, 2004, the Ontario Securities Commission raised concerns regarding
these transactions. Accordingly, in an effort to move forward the
proposed prospectus financing, Mr. Peebles and Mr. Irwin have returned
to the Company the securities acquired by them pursuant to the private
placement and the Company will return the original purchase price paid
for such securities. The Company has cancelled such securities.
ONTZINC Corporation is a mineral exploration and development company.
Its strategy is to focus on the acquisition of high quality, North
American mining assets at an advanced stage of development. ONTZINC
currently owns and operates four mineral projects: the Balmat Mine in
the State of New York, U.S.A.; the Gays River Mine in the Province of
Nova Scotia, Canada; the Southwestern Ontario Project in the Province of
Ontario, Canada; and the San Antonio Project in Chile.
This press release is not an offer of securities for sale in the United
States. The securities have not been and will not be registered under
the United States Securities Act of 1933, as amended. Securities may not
be offered or sold in the United States absent registration or an
exemption from registration. Any public offering of securities that may
be made in the United States will be made by means of a prospectus that
may be obtained from the issuer and that will contain detailed
information about the company and management, as well as financial
statements.
Shares Outstanding: 232,602,679
FOR FURTHER INFORMATION PLEASE CONTACT:
ONTZINC Corporation
Peter George
(416) 913-7601
or
ONTZINC Corporation
Doug Scharf
(416) 913-7601
www.ontzinc.ca
The TSX Venture Exchange has neither
approved nor disapproved the
contents of this press release.