Yukon Zinc Enters Into Acquisition Agreement With Jinduicheng/Northwest

Yukon Zinc Corporation (TSX VENTURE:YZC) ("Yukon Zinc" or the "Company")
announces that its Board has approved an acquisition agreement (the "Acquisition
Agreement") pursuant to which Jinduicheng Molybdenum Group, Ltd., and Northwest
Nonferrous International Investment Company, Limited (collectively, the
"Investors") will acquire, for cash consideration, 100% of the outstanding
shares, options and warrants of the Company by way of Plan of Arrangement (the
"Transaction"). Yukon Zinc and the Investors have entered into the Acquisition
Agreement effective as of May 6, 2008. Previously, the Board was considering a
share exchange proposal from Griffin Mining Limited.


The Yukon Zinc Board has determined that the Transaction is fair to the
shareholders and warrant holders and is in the best interests of Yukon Zinc. The
Board is recommending that Yukon Zinc shareholders vote in favor of the
Transaction. Paradigm Capital Inc. has delivered an opinion to the Yukon Zinc
Board stating that, in its opinion, the Transaction is fair, from a financial
point of view, to Yukon Zinc shareholders. An extraordinary general meeting of
shareholders is scheduled for June 25, 2008 to consider the Transaction.


The Transaction provides for the acquisition of all outstanding Yukon Zinc
shares at a price of $0.22 per share (the "Purchase Price"), payable in cash.
Each Yukon Zinc option and warrant that is "in-the money" will be purchased for
its cash value. All options and warrants that have an exercise price greater
than the Purchase Price (that is, "out-of-the-money") will be purchased for a
cash consideration determined in accordance with a purchase schedule for each
series of options and warrants. There are no lockup or due diligence conditions.
The Investors have represented that they are confident that all necessary
People's Republic of China approvals will be obtained without delay and that the
Investors have the requisite funding in place to finance the transaction. The
Transaction is conditional on approval of 66 2/3% of the votes cast by
shareholders at a meeting of Yukon Zinc shareholders, receipt of court and
regulatory approvals, waiver of the Yukon Zinc shareholder rights plan, and
other customary provisions, such as no material adverse change.


As a result of the signing of the Acquisition Agreement, the Company is
obligated to pay Griffin Mining a $2.5 million break fee and related expenses,
not to exceed $250,000. Pursuant to a loan agreement dated May 6, 2008, the
Investors have agreed to provide a $2.5 million secured loan to the Company to
finance working capital.


Advisers and Counsel

Yukon Zinc's legal counsel and financial advisors are Lang Michener LLP and
Paradigm Capital Inc., respectively. The Investors legal and financial advisers
are Davies Ward Phillips & Vineberg LLP and BMO Capital Markets, respectively.


About Yukon Zinc

Yukon Zinc is a TSX Venture Exchange listed company based in Vancouver. It is
focused on development of its silver-rich Wolverine Project in southeast Yukon,
Canada and its large exploration land holdings in the Finlayson and Rancheria
Districts. A bankable feasibility study was completed for the Wolverine Project
by Wardrop Engineering in January 2007 indicating favourable project economics.
The Project has all of its main development permits and enjoys strong support
from the Yukon Government and its local First Nations communities.


About Jinduicheng and Northwest

Jinduicheng is the largest producer of molybdenum and associated products in
Asia and reportedly the third largest in the world. It is publicly-traded on the
Shanghai Stock Exchange after a recent US$1.3 billion IPO. Jinduicheng's
operations are concentrated in Shaanxi province, China. Northwest represents the
Shaanxi state geological bureau, and in terms of revenue and technical capacity
is one of the top five exploration and mining Bureaus in China. Northwest has
more than 6,000 employees including 800 geologists, technologists and engineers.
Northwest was the first bureau in China to conduct exploration projects in
partnership with companies from Western countries.


Cautionary Note Regarding Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of
applicable Canadian securities laws concerning the business, operations and
financial performance and condition of Yukon Zinc. Forward-looking statements
include, but are not limited to, statements with respect to the future price of
metals, the estimation of mineral reserves and resources, the realization of
mineral reserve estimates, the timing and amount of estimated future production,
costs of production, capital expenditures, costs and timing of the development
of new deposits, success of exploration activities, permitting time lines,
hedging practices, currency exchange rate fluctuations, requirements for
additional capital, government regulation of mining operations, environmental
risks, unanticipated reclamation expenses, timing and possible outcome of
pending litigation, title disputes or claims and limitations on insurance
coverage. Generally, these forward-looking statements can be identified by the
use of forward-looking terminology such as "plans", "expects" or "does not
expect", "is expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates" or "does not anticipate", or "believes", or variations
of such words and phrases or state that certain actions, events or results
"may", "could", "would", "might" or "will be taken", "occur" or "be achieved".

Forward-looking statements are subject to known and unknown risks, uncertainties
and other factors that may cause the actual results, level of activity,
performance or achievements of Yukon Zinc to be materially different from those
expressed or implied by such forward-looking statements, including but not
limited to: risks related to the integration of acquisitions; risks related to
international operations; risks related to joint venture operations; actual
results of current exploration activities; actual results of current reclamation
activities; conclusions of economic evaluations; changes in project parameters
as plans continue to be refined; future prices of metals; possible variations in
ore reserves, grade or recovery rates; failure of plant, equipment or processes
to operate as anticipated; accidents, labour disputes and other risks of the
mining industry; delays in obtaining governmental approvals or financing or in
the completion of development or construction activities. Although Yukon Zinc
has attempted to identify important factors that could cause actual results to
differ materially from those contained in forward-looking statements, there may
be other factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove to be
accurate, as actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place undue
reliance on forward-looking statements. Yukon Zinc does not undertake to update
any forward-looking statements that are incorporated by reference herein, except
in accordance with applicable securities laws.


12G: 82-4603
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