EDMONTON, ALBERTA – March 27, 2018 -- Grizzly Discoveries Inc. (TSX-V: GZD; Frankfurt: G6H) ("Grizzly" or the "Company") is pleased to announce that it has entered into a Letter of Intent (”LOI”) with a private group (the “Vendors”) to purchase the Cobalt-Copper-Silver “Robocop Property”, located within the Fort Steele Mining District in southeastern British Columbia.
The Robocop Property (the “Property”) is located in southeastern British Columbia, approximately 45 kilometres (km) south of Fernie and 70 km southeast of Cranbrook, and is immediately north of the Canada-USA border. The Property is comprised of 5 mineral claims totalling 9,891 acres. The property is located east of Grizzly’s Greenwood Property in southeastern British Columbia.
Areas with significant historic cobalt-copper-silver (Co-Cu-Ag) in soil anomalies have been identified on the Robocop Property. Additionally, historic drilling during the 1990’s (Teck Explorations Ltd.) and early 2000’s (Ruby Red Resources) has yielded grades of up to 0.18% Co, 0.28% Cu, 4.1 parts per million (ppm) Ag over 1 m core length (Pighin, 2009) and 0.134% Co, 1.19% Cu and 33.8 ppm Ag over 1.23 m core length (Thomson, 1990) for individual core samples. The Co-Cu-Ag mineralization is hosted in Sheppard Formation and is classified as Proterozoic sediment hosted mineralization. Grizzly believes that significant potential exists to expand the known extent of the known Co-Cu-Ag mineralization on the Property and further exploration is warranted.
Under the terms of the LOI, Grizzly would acquire a 100% interest in the Robocop Property subject to a 3% net smelter royalty (“NSR”) by issuing to the Vendors 2,000,000 units, with each Unit consisting of one common share of Grizzly and one transferrable share purchase warrant. Each warrant will entitle the holder to acquire one further share of GZD at an exercise price of $0.14 for a period of 3 years from the date of issuance.
The Property carries a 3% NSR and, under the terms of the LOI, Grizzly has the right to purchase up to 2% of the NSR (down to 1% NSR) within two years after the delivery of a positive Feasibility Study for the Property, for the amount of $1,500,000.
Pursuant to signing the LOI, the Company will conduct due diligence and work to enter into a definitive agreement to complete the transaction. The definitive agreement is subject to approvals by the Board of Directors and acceptance by the TSX Venture Exchange.
Brian Testo, CEO of Grizzly, commented “We have been able to negotiate a favourable purchase of 100% interest in the Robocop Property, which we believe will provide an excellent cobalt exploration opportunity for Grizzly. It is in the same region of BC as our Greenwood Property, where we have excellent relationships with the First Nations, and years of operating experience. We feel that the historic sampling and drill results are very significant, and that this Property has excellent potential for the discovery of a Co-Cu-Ag deposit. Our first step will be to undertake exploration including an airborne survey and drilling leading to an initial resource estimate.”
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 its precious metals properties in southeastern British Columbia, and significant Potash and Diamond assets in Alberta. The Company holds, or has an interest in: over 180,000 acres of precious-base metal and cobalt properties in British Columbia; metallic and industrial mineral permits for potash totalling more than 60,000 acres along the Alberta-Saskatchewan border, 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.
For further information, please visit our website at www.grizzlydiscoveries.com or contact Investor Relations:
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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.