Grizzly Discoveries Provides Positive Results In 2020 and Growth Prospects for 2021
Edmonton, Alberta--(Newsfile Corp. - January 6, 2021) - Grizzly Discoveries Inc. (TSXV: GZD) (OTCQB: GZDIF) (FSE: G6H) ("Grizzly" or the "Company") is pleased to provide the following corporate review of its 2020 activities, highlighted by the Company raising more than $1.2 million from long-time shareholders and new investors to undertake a drilling program at the Ket 28 Greenwood Project and airborne geophysics at its Robocop property.
The Ket 28 2020 drill program is now complete with all drill hole assay results received. The program was completed on time and on budget and gold mineralization was present in 14 of 15 holes completed at the project.
Initial results have provided narrow high-grade gold intersections within broad intercepts of moderate grade gold located near surface. The recent results have provided similar mineralized intercepts to the first six holes released on December 2, 2020, supporting an expansive near-surface gold system that is open on-strike and at depth and exhibits potential for an open pit bulk tonnage mineral resource. Grizzly believes that with additional drilling a 43-101 Technical Report can be produced regarding a mineable resource.
Brian Testo, CEO, Grizzly Discoveries Inc., commented, "Our 2020 drill results confirm the presence of broad mineralization at Ket 28, with near surface bulk tonnage potential as well as select high grade intervals. We are highly encouraged by these first results that show consistent multiple zones of mineralization across 500 m of strike to a depth of 125 m, and look forward to additional drilling."
In addition, Grizzly has initiated an airborne VTEM geophysics survey at its Robocop Copper-Cobalt Project to identify new targets and has performed reconnaissance sampling to provide new gold and copper targets across its Greenwood land package. The Company has received interest and is preparing joint venture opportunities across its massive, 631 km2 land package in South-Central British Columbia, Canada.
As early as the late-19th century, exploration and mining activities in the Greenwood area have been delivering positive results. Among the previous historic discoveries are the Phoenix camp with copper-gold-silver skarn mineralization, which produced over 1 million ounces of gold, over 6 million ounces of silver, and over 560 million pounds of copper; the Motherlode copper-gold-silver skarn, which produced over 178 000 ounces of gold, over 723 000 ounces of silver, and over 80 million pounds of copper; and the Lexington copper-gold-silver porphyry deposit which is currently the target for future production for Golden Dawn Minerals (Dufresne and Banas, 2013).
Although these nearby historic mines are not owned but are surrounded by Grizzly holdings, they clearly demonstrate the potential of the region. In addition, this available infrastructure in the area has the potential to provide milling capacity should a successful mine be developed on the Grizzly properties.
When asked about the near-term future for gold prices, RBC Capital Markets, LLC commodity strategist Christopher Louney stated, "We see a 90 percent chance of gold trading in our base/mid to high scenario range. In our base case, gold averages $1,942/oz in Q4 and over $3,000/oz in early 2021".
In August 2020 the Company engaged the services of APEX Geoscience Ltd. to provide geophysical assistance in the planning of a 2,000-plus metre, 11-plus hole core drill program set for September. The initial Ket 28 drill program was to cost approximately $500,000.
On September 27, the drilling program commenced with Full Force Diamond Drilling Ltd boring core hole 20KT001.
In just over a month the Company reported that a total of 15 drill-holes had been completed, exceeding the original estimate of eleven. for a total of 1,975 metres. All but one of the 15 drill-holes intersected variable amounts of sericite-pyrite alteration with quartz veins and silicification hosted in sedimentary schist, mafic volcanic to basalt package of rocks.
"In our 2021 outlook, analysts at CIBC see gold prices averaging the year around $2,300 an ounce as the world continues to deal with the devastating economic fallout of the COVID-19 pandemic," said Anita Soni, author of CIBC's gold outlook.
In early December the Company was pleased to announce that initial results from the first six drill-holes provided high-grade gold intersections and broad intercepts of moderate grade gold located near surface. Drilling intersected broad, near-surface gold mineralization. Key intervals include 1.59 grams per tonne of gold over 17.8 metres from 43 metres including 7.37 grams per tonne of gold over 3.08 metres, (20KT02) and 0.77 grams per tonne of gold over 31 metres from 54.5 metres) including 1.42 grams per tonne gold over 11.5 metres from 61 metres (20KT04).
Results from the last nine holes released in December show that drilling intersected broad, near-surface gold mineralization. Key intervals include 0.92 grams per tonne gold over 14 metres from 27 metres including 4.53 grams per tonne gold over 2 metres (20KT14) and 0.48 grams per tonne gold over 11.84 metres from 20.16 metres) including 3.6 grams per tonne gold over 1 metre from 20.16 metre (20KT13).
A 1994 drilling project campaign at the Ket 28 intersected high-grade gold with 52.19 grams per tonne over 3.35 meters core length. More recently drilling by Grizzly in 2009 and 2010 at the Ket 28 prospect followed up the mid-1990s drilling with results of up to 2.77 grams per tonne of gold over 11 metres core length and 8.75 grams per tonne of gold over 3 metres, with a higher-grade zone of 11.90 grams per tonne gold over 2 metres core length. As well, wider intervals of lower grade mineralization were intersected with 1.02 grams per tonne of gold over 13.5 metres core length and 1.19 grams per tonne of gold over 10.35 metres core length.
In an interview with Kitco News, Rick Rule, president of Sprott U.S. holdings said, "My suspicion is that the next five years will be very good for natural resources investors, with precious metals enjoying a two or three-year bull market and somewhere towards the end of that bull market, the rest of the commodities complex catching fire."
In addition, the Company has invested money, time, and manpower to examine anomalous results from soil sampling undertaken in 2019 on an additional portion of the Greenwood Gold Project. The area has an impressive drilling history.
Robocop Co Cu Ag Prospect
The project, located just off Provincial Highway 93 in southeast B.C., comprises 6,850 acres (2,770 ha) in five mineral claims that are all road accessible. In November the Company engaged Geotech Ltd. to fly an approximately 400 line-km helicopter-borne VTEM™ (Versatile Time Domain Electromagnetic) and magnetic survey over the project.
The VTEM survey is being conducted to search for and target conductive portions of the assemblage, both stratigraphic and vertical structural targets, with the purpose of providing additional targets to those currently defined by previous drilling and soil sampling.
Work conducted on the Robocop property in the 1990s (Teck Exploration Ltd.) and early 2000s (Ruby Red Resources) indicated significantly anomalous near-surface yielding grades of up to 0.18% cobalt, 0.28% copper, 4.1 parts per million (ppm) Ag over 1 m core length (Pighin, 2009) and 0.134% cobalt, 1.19% copper and 33.8 ppm silver over 1.23 m core length (Thomson, 1990) for individual core samples, indicating the potential for battery-metal resources on the property.
As more and more pressure is put on governments to encourage the use of electric vehicles or ban gas-consuming cars entirely by 2030, the demand for cobalt, copper, gold and silver increases. According to Jeff Clark, the Senior Analyst at GoldSilver.com, "While the amount of silver used in a Tesla and other electric vehicles is small, the aggregate total adds up quickly-and will only go higher. These vehicles use more silver than the internal combustion engine. The electric engine, battery pack, and battery management system all require silver".
The Company is aware of the potential effect that building and operating a mine can have on the physical environment around a mine site. Therefore, Grizzly Discoveries is committed to being as environmentally sensitive as possible in all of its operations. This involves fastidious planning, conscientious implementation, Indigenous collaboration, and a transparent assessment of performance.
ABOUT GRIZZLY DISCOVERIES INC.
Grizzly is a diversified Canadian mineral exploration company with its primary listing on the TSX Venture Exchange, with 90 million shares issued, focused on developing its over 156,000 acres of precious and base metals properties in southeastern British Columbia. Grizzly is run by a highly experienced junior resource sector management team, who have a track record of advancing exploration projects from early exploration stage through to feasibility stage.
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.
Brian Testo, CEO, President
Tel: 780 693 2242
For further information, please visit our website at www.grizzlydiscoveries.com or contact:
Chris Beltgens
Corporate Development
Tel: 604 347 9535
Email: cbeltgens@grizzlydiscoveries.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/71426