EDMONTON, ALBERTA – March 6, 2018 -- Grizzly Discoveries Inc. (TSX-V: GZD; Frankfurt: G6H) ("Grizzly" or the "Company") is pleased to announce that it has submitted permit applications to conduct drilling at three targets, all located within its Greenwood Project area in southern B.C., including the Ket28, Motherlode North and Dayton targets.
The primary focus of the Company's planned exploration activities during 2018 will be drilling at the Ket 28 gold target with the intent to outline a maiden resource. Exploration drilling is also planned for the Motherlode precious metal target and the Dayton copper-gold porphyry target, but will be dependent on financing activities. Additional follow up surface exploration is planned for a number of mineralized target areas that have yielded copper-cobalt geochemical anomalies in surface sampling obtained through the Company's previous exploration.
The Company also announces that it has, since February 1, 2018, received gross proceeds of $142,075 and issued 1,961,000 common shares pursuant to the exercise of outstanding warrants and options with exercise prices between $0.05 and $0.075 per common share.
Ket 28 Geology and Prior Results
At the Ket28, Grizzly and other explorers have intersected anomalous gold associated with sulphide bearing silicified sediments, hornfels and skarn. The gold mineralization is associated with several structures at the edge of a strong positive ovoid aeromagnetic anomaly that is 2 km in length by 1 km in width and is likely indicative of an underlying intrusion. The Ket 28 target is approximately 13 km northwest of Kinross' Buckhorn gold mine which is hosted in a pyroxene skarn south of the Canada-US border.
Historic exploration in the 1990's by other explorers at the Ket 28 prospect, which is located within the Rock Creek claim group of the Greenwood Project, yielded high grade gold including up to 52.19 grams per tonne of gold (“g/t Au”) over 3.35 m core length. Drilling by Grizzly in 2009 and 2010 at the Ket 28 target following up the historic drilling in the mid 1990`s yielded up to 2.77 g/t Au over 11 m core length and 8.75 g/t Au over 3 m with a higher grade zone of 11.90 g/t Au over 2 m core length. Wider intervals of lower grade mineralization were also intersected as well with 1.02 g/t Au over 13.5 m core length and 1.19 g/t Au over 10.35 m core length. The gold mineralization intersected by prior explorers and Grizzly is considered open along strike and to depth.
The Company has submitted an application to the BC Ministry of Mines to conduct drilling and other exploration at the Ket 28 target with approximately 2,500 m in 10 to 12 drill holes planned for 2018. The proposed drill program will target the gold-prospective zone in the central portion of the Ket 28 target area, with the intention of developing a maiden mineral resource estimate and expanding the currently defined limits of gold mineralization. The initial Ket 28 drill program is expected to cost approximately $500,000 and is subject to financing.
Motherlode Geology and Prior Results
North of the historic Motherlode mine, drilling of a coincident magnetic and electromagnetic anomaly in 2011 yielded a new gold discovery with the intersection of 1.56 g/t Au and 11.12 g/t silver (Ag) across 19.0 m core length with a high grade zone of 17.15 g/t Au, 41.7 g/t Ag, 0.56% lead (Pb) and 1.51% zinc (Zn) across 1.5 m core length in hole 11ML03. Drillhole 11ML05, collared 40 m northeast of 11ML03, yielded similar results, with 1.64 g/t Au and 3.15 g/t Ag across 14.85 m core length with a higher grade zone of 6.79 g/t Au, 11.1 g/t Ag and 1.04% Zn across 1.5 m core length. Hole 11ML04, drilled beneath 11ML03, yielded 0.51 g/t Au and 1.02 g/t Ag over 13.5 m core length with a higher grade zone of 3.43 g/t Au, 2.90 g/t Ag and 0.8% Zn over 1.5 m core length.
The Au-Ag-Zn-Pb intersections in drillholes 11ML03, 11ML04 and 11ML05 are associated with fine grained pyrite, sphalerite and galena in chlorite-biotite altered hornfelsed late Paleozoic to Triassic sedimentary rocks adjacent to a small alkalic intrusion. Breccia zones and silicification are common in the hornfels zone. Small sections of marble and skarn with elevated precious and base metals were intersected in all three holes. Further drilling is being planned for the Motherlode North discovery. The Company has submitted an application to the BC Ministry of Mines to conduct drilling and other exploration at the Motherlode North target area.
Dayton Geology and Prior Results
Grizzly's Greenwood Property is considered highly prospective for the presence of copper porphyries similar to those which have recently been discovered in northwestern and central British Columbia. A recent strategic review has identified a number of prospects that have geological characteristics and, in some cases, mineralization that is indicative of copper porphyry style mineralization. The Dayton prospect, on which exploration was conducted by the Company between 2009 and 2011 including drilling, yielded strong evidence of copper-gold porphyry style mineralization.
A total of 1,021 soil samples indicated a strong northwest-trending copper-gold anomaly approximately 450 m by 200 m with more than 100 of the samples containing from 100 parts per million (ppm) copper (Cu) up to 1,225 ppm Cu, along with 40 samples containing greater than 50 parts per billion Au. Surface mapping in the area identified a number of occurrences of pyrite and chalcopyrite, locally associated with high Cu and Au grades, in association with strongly hornfelsed volcanics, sediments and alkaline intrusions, along with local skarn. An Induced Polarization survey identified a number of high quality positive chargeability anomalies, a couple of which are associated with the soil anomaly.
A drilling program conducted in 2010 intersected up to 0.03% Cu and 0.18 g/t Au over 96 m of core length, including a higher grade zone of 0.38% copper equivalent (CuEq) over 8.1 m core length. In subsequent drilling conducted in 2011, a second eastern IP anomaly with a weak associated Cu-Au soil anomaly was drill tested and yielded 0.22% CuEq over 117 m of core length, with a high grade zone of 0.42% CuEq (0.15% Cu, 0.43 g/t Au and 0.81 g/t Ag) over 51 m near the top of the hole. These drill holes intersected the Cu-Au-Ag mineralization in large alteration and breccia zone with grades that compare favourably to the reported grades for a number of recently discovered Cu porphyries in northwest BC.
Potential for Cobalt Mineralization
During late 2017, the Company performed an initial review to see if its land holdings were prospective for the presence of cobalt (Co). The strategic review identified the presence of at least 13 rock grab samples with greater than 0.05%, including up to 0.10% Co, from at least five separate target occurrences across the eastern half of Grizzly's Project area. The database shows an additional 31 rock grab samples that have yielded assays of between 0.02 and 0.05% Co. Maps showing the anomalous values and locations for Co at the Project are provided on the Company's website by clicking the following link: Grizzly Discoveries Cobalt Maps:
A preliminary review of the sample database indicates that many of the rock samples with anomalous Co also contain anomalous values for Cu and precious metals including Au and Ag. In many cases, the samples with anomalous Co were collected from Cu-enriched skarn and hornfels developed in Paleozoic sediments and intrusions, where the original sampling targeted precious metals. Grizzly has initiated a property wide review, including its extensive soil and drillhole database along with much of the historic data for the district that it has compiled over the years. The goal will be to target potential Co-Cu-Au-Ag mineralization associated with skarn across the district and come up with targets for follow-up exploration during summer and fall 2018.
Brian Testo, President and CEO of Grizzly, stated “We are excited that with the ongoing recovering of the mining sector during 2018, that we will now be able to push forward with our plans to expand the mineralization identified at Ket 28 and other targets in the Greenwood Project area. In addition, we look forward to our phase 1 surface exploration program focused on cobalt.”
Warrant and Options Exercised
During the third fiscal quarter-to-date (beginning February 1, 2018), the Company has received gross proceeds of $132,075 from the exercise of 1,761,000 outstanding warrants issued in private placements in 2016 and 2017, each with an exercise price of $0.075 per common share. Additionally the Company has received gross proceeds of $10,000 pursuant to an optionee exercising 200,000 stock options with an exercise price of $0.05 per common share issued in 2017 under the Company's stock option plan. The exercise of these warrants and options has resulted in the issuance of 1,961,000 common shares of the Grizzly.
About Grizzly Discoveries Inc.
Grizzly is a diversified Canadian mineral exploration company with its primary listing on the TSX Venture Exchange with 58.7 million shares issued, focused on developing significant Potash assets in Alberta and its precious metals properties in southeastern British Columbia. The Company holds, or has an interest in: metallic and industrial mineral permits for potash totaling more than 60,000 acres along the Alberta-Saskatchewan border; over 180,000 acres of precious-base metal properties in British Columbia; and more than 161,000 acres of properties which host diamondiferous kimberlites in the Buffalo Head Hills region of Alberta.
The technical content of this news release and the Company's technical disclosure has been reviewed and approved by Michael B. Dufresne, M. Sc., P. Geol., P.Geo., who is the Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects.
On behalf of the Board,
Grizzly Discoveries Inc.
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Caution concerning forward-looking information
This press release contains "forward-looking information" and "forward-looking statements" within the meaning of applicable securities laws. This information and statements address future activities, events, plans, developments and projections. All statements, other than statements of historical fact, constitute forward-looking statements or forward-looking information. Such forward-looking information and statements are frequently identified by words such as "may," "will," "should," "anticipate," "plan," "expect," "believe," "estimate," "intend" and similar terminology, and reflect assumptions, estimates, opinions and analysis made by management of Grizzly in light of its experience, current conditions, expectations of future developments and other factors which it believes to be reasonable and relevant. Forward-looking information and statements involve known and unknown risks and uncertainties that may cause Grizzly's actual results, performance and achievements to differ materially from those expressed or implied by the forward-looking information and statements and accordingly, undue reliance should not be placed thereon.
Risks and uncertainties that may cause actual results to vary include but are not limited to the availability of financing; fluctuations in commodity prices; changes to and compliance with applicable laws and regulations, including environmental laws and obtaining requisite permits; political, economic and other risks; as well as other risks and uncertainties which are more fully described in our annual and quarterly Management's Discussion and Analysis and in other filings made by us with Canadian securities regulatory authorities and available at www.sedar.com. Grizzly disclaims any obligation to update or revise any forward-looking information or statements except as may be required by law.