(Reuters) - Canadian Zinc Corp (Toronto:CZN.TO - News) said it expects capital spending at its main project, the Prairie Creek Mine in the Northwest Territories, to be more than expected due to the addition of more features and an increase in costs.

It now expects to spend C$150 million to C$160 million on bringing the mine to production, up from its previous estimate of $120 million.

Canadian Zinc, which has a market cap of C$76.28 million ($75.99 million), said it engaged SNC-Lavalin Inc in February to complete a feasibility study on the mine, but is yet to get the final report.

The company's first-quarter net loss narrowed to C$2.5 million from C$14.2 million a year earlier.

Canadian Zinc shares, which have shed 38 percent of their value in last three months, closed at 48.5 Canadian cents on Tuesday on the Toronto Stock Exchange.

($1 = 1.0039 Canadian dollars)

(Reporting by Ankur Banerjee in Bangalore; Editing by Sreejiraj Eluvangal)