Consolidated Zinc : $2.95m Fully Underwritten Rights Issue

Rights Issue

Consolidated Zinc Limited (CZL or the Company) is pleased to announce that it proposes to undertake a fully underwritten pro‐rata renounceable entitlement issue of approximately 184,504,555 ordinary fully paid shares (New Shares) on the basis of two (2) New Shares for every five (5) Shares held by Eligible Shareholders on the Record Date at an issue price of $0.016 per New Share, to raise up to approximately $2,952,000 (Rights Issue or Offer).

The Rights Issue is led and underwritten by Patersons Securities Limited (Patersons). Sub‐underwriting of the Rights Issue was heavily oversubscribed by domestic and international institutional and sophisticated investors.

The funds raised via the Rights Issue will be used for the following:

• Completion of the scoping study work and permitting applications

• Ongoing resource drilling and exploration

• Costs of the Offer

• General working capital

Consolidated Zinc's Managing Director, Will Dix, commented:

"We are grateful for the strong demand received for the Rights Issue underwriting and the support of our Chairman Mr Stephen Copulos and our long term existing Shareholders who have continued to back the Project. In particular it is encouraging that with the assistance of Patersons we have been able to identify a number of new institutional investors who have supported the issue and who recognise the value that can be unlocked from the Plomosas Zinc Project. The strong demand is evidence for the quality of the asset and the significant value catalysts expected over the next quarter as the Company assesses near‐term production scenarios for Plomosas.

We now have the necessary funding to continue to aggressively drill out the Mineral Resource within the mine and also conduct regional exploration, whilst simultaneously advance the development studies. With a JORC Resource update and Scoping Study results both due towards the end this quarter, we look forward to updating our shareholders on our operational progress."

New Shares issued under the Rights Issue will rank equally with existing Shares on issue and the Company will apply for official quotation of the New Shares.

Optionholders are not entitled to participate in the Rights Issue without first exercising their options to be registered as a shareholder (in Australia and New Zealand) on the Record Date, in accordance with the terms and conditions of the options.

Eligible Shareholders (other than Directors and related parties of the Company) may, in addition to taking up their entitlement to New Shares under the Offer, apply for additional New Shares subject to the terms of the Offer, availability, and the discretion of the Company and Patersons. There is no guarantee that Eligible Shareholders will receive their full subscription under the shortfall offer.

The Offer is being made pursuant to an Offer Document which will be released on the ASX platform on the same day as this announcement.

The proposed terms of the Offer will be as follows:

The indicative timetable for the Offer is as follows:

Subject to the ASX Listing Rules, the Directors reserve the right to extend the Closing Date for the Offer. Any extension of the Closing Date will have a consequential effect on the anticipated date for issue of the Shares.

Yours faithfully,