Grid Metals Geophysical Survey Identifies New Palladium Drill Targets at East Bull Lake
Grid Metals Geophysical Survey Identifies New Palladium Drill Targets
at East Bull Lake
Toronto, Ontario , April 28, 2020 – Grid Metals Corp. (the " Company") (TSXV:GRDM) is pleased to
provide an update on the exploration program at its 100% owned East Bull Lake (“EBL”) palladium
property (“the Property”) in Ontario. The exploration target at EBL is structurally-controlled, palladium-
dominant mineralization with higher grades and greater thickness and continuity than the widespread
near-surface palladium zones that have been identified to date. The Company has initiated a
magnetotelluric (“MT”) survey on the Property. The MT survey is an electromagnetic geophysical
method with excellent depth penetration and a proven ability to detect, directly or indirectly, the type
of palladium mineralization (high palladium tenor disseminated sulfide) that is found at EBL. Initial
results from the completed portions of the survey have deline ated several high priority geophysical
targets proximal to known palladium rich mineralization. The geophysical program is guided by a
previously untested exploration model that is based on observations from the Lac des Iles palladium
mine in northwestern Ontario.
Highlights to Date:
The location of the EBL property is shown in Figure 1. The location of the MT survey stations is shown in
Figure 2. Initial highlights from the ongoing MT survey include:
• The survey is thus far providing high quality resistivity data from surface to depths in excess of 1
km.
• The Parisien Lake grid has been completed. This grid covers a ~5 square kilometre area with
widespread, near -surface palladium mineralization that is focused along a major north -east
striking deformation zone (Parisien Lake deformation zone). Preliminary analysis of the survey
results has identified several discrete resistivity anomalies including a large , untested target
(anomaly PL-4) with a strike length of ~2km.
• The East Lobe grid has also been completed. It covers a ~3 square kilometre area with known
palladium mineralization along the southern margin of the intrusion . I nterpretation of the
survey data is pending.
The final component of the MT survey includes two profile li nes across highly prospective areas in the
western lobe of the intrusion.
Preliminary Analysis of Results
Several areas of strongly reduced resistivity representing new drill targets have been identified to date
within the Parisien Lake MT grid area (Figures 3 and 4). The largest and strongest anomaly identified to
date (PL-4) is divided into upper and lower segments separated by an interpreted vertical fault (Figure
4). The anomaly appear s to be associated with two different northwest-striking, vertical, regional
structures that may have acted as feeders to the EBL intrusion. This anomaly is also interpreted to
follow the west dipping base of the intrusion and ranges in depth from approximately 400 metres to
>1000 metres and has a minimum strike length of >2 kilometres. Surface samples from the area
overlying anomaly PL-4 returned up to 9.4 g/t Pd. Anomalies PL-1 to PL-3 are also considered to be high
priority drill targets. PL-1 is a shallow, strong anomaly located at the east end of the survey grid in an
area with no previous drilling or surface sampling . PL-2 is centered at a depth of ~300m and occurs
below historical drill holes with anomalous Pd+Pt+Au values over significant widths. As an example, drill
hole PDZ-7 (see figures 3 and 4 for location) intersected 74.4m of 0.32 g/t Pd, 0.10 g/t Pt and 0.02 g/t Au
(0.44 g/t combined Pd + Pt + Au ) including 4.27m of 0.99 g/t Pd, 0.24 g/t Pt and 0.04 g/t Au (1.27 g/t
combined Pd + Pt + Au) . Note that there is inadequate geological information on the mineralization
intersected in drill hole PDZ-7 to estimate the true width. Anomaly PL-3 is located at the southwest end
of the grid and occurs at depths of ~150 metres to >450 metres . It underlies an area of known surface
mineralization including maximum values up to 2.00 g/t Pd, 0.94 g/t Pt, 0.12 g/t Au, 0.70% Cu and 0.26%
Ni in one sample . Anomaly PL-3 is situated ~1 kilometre east of the Grid Metals - Canadian Palladium
Resource Inc. property boundary (Figure 2). It may relate to the Bullfrog – Valhalla zone that is currently
being explored by Canadian Palladium. Anomaly PL-3 is open to the west.
Analysis and interpretation of the MT survey results are being done by the Company’s senior
geophysical consultant, Mr. Kevin Stevens of Stevens Geophysics Inc.
The EBL exploration program is being overseen by the Company’s V.P Exploration and Business
Development, Dr. Dave Peck. Dr. Peck commented: “ The EBL Intrusion is a large and highly prospective
palladium-rich layered intrusion with strong similarities to the intrusion that hosts the Lac des Iles
palladium deposit. Based on the Lac des Isle deposit model, we are looking for the feeder systems to the
known, near surface sulfide mineralization at EBL as well as spatially associated sulfide trap sites, such as
footwall embayment structures. We believe that MT will allow us to identify these importan t structures
and lead us to the discovery of larger and higher grade zones of palladium mineralization than what has
been discovered to date . We are very encouraged by the initial results of the survey, including several
strong and untested resistivity anomalies in the Parisien Lake target area. We expect that additional drill
targets will be generated before the survey is completed.”
Target Model
The exploration targets at East Bull Lake include:
• near surface palladium mineralization having average in situ grades that are potentially
amenable to open pit mining; and,
• higher-grade, vertically extensive and structurally -controlled palladium mineralization having
average in situ grades that are potentially extractable using underground mining methods.
Rationale for the MT Survey
Quantec Geoscience Ltd. is completing the MT survey on the Property using its proprietary Spartan
system. The Spartan system has proven effective on properties with similar geology and palladium-rich
disseminated sulfide mineralization. This is best demonstrated by the critical role the 2018/19 Spartan
MT survey results played in the discovery of the western extension of the PGM Zone on Impala Canada
Ltd.’s and Transition M etals Corp .’s Sunday Lake project, located near Thunder Bay, Ontario (see
Transition Metals Corp. news release dated April 29, 2019 for details).
Next Steps
Over the next several weeks, the EBL exploration program will focus on:
• Complete the remaining MT survey sites on the two single line transects across the West Lobe;
• Complete a r eview of resistivity anomalies with existing 3D magnetic models, previous
electromagnetic survey data, structural interpretations and surface and drill hole assay data ;
and,
• Prepare a final ranked list of prioritized targets in advance of a diamond drilling program.
Dr. Dave Peck, P.Geo. has reviewed and approved the technical content of this release for purposes of
National Instrument 43-101.
About Grid Metals Corp.
Grid Metals Corp. is an exploration and development Company that has a diversified portfolio of projects in the
nickel-copper-platinum group metal sectors. These commodities are vital to the emerging battery metals, energy
storage and automotiv e sectors. All of Grid's projects are located in secure North American mining jurisdictions.
The Company is focused on timely advancement of its property portfolio through prudent exploration and
development activities.
To find out more about Grid Metals Corp., please visit www.gridmetalscorp.com.
On Behalf of the Board of Grid Metals Corp.
Robin Dunbar - President, CEO & Director Telephone: 416-955-4773
Email: [email protected]
David Black - Investor Relations Email: [email protected]
We seek safe harbour.
This news release contains forward -looking statements within the meaning of the United States Priva te
Securities Litigation Reform Act of 1995 and forward -looking information within the meaning of the
Securities Act (Ontario) (together, "forward -looking statements"). Such forward -looking statements may
include the Company's plans for its properties, the overall economic potential of its properties, the
availability of adequate financing and involve known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements expressed or implied by such forward -
looking statements to be materially different. Such factors include, among others, risks and uncertainties
relating to potential political risk, uncertainty of production and capital costs estimates and the potential
for unexpected costs and expenses, phys ical risks inherent in mining operations, metallurgical risk,
currency fluctuations, fluctuations in the price of nickel, cobalt, copper and other metals, completion of
economic evaluations, changes in project parameters as plans continue to be refined, th e inability or
failure to obtain adequate financing on a timely basis, and other risks and uncertainties, including those
described in the Company's Management Discussion and Analysis for the most recent financial period
and Material Change Reports filed w ith the Canadian Securities Administrators and available at
www.sedar.com.
Neither the TSX Venture Exchange nor its Regulations Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press
release.
This news release does not constitute an offer of securities for sale in the United States. The securities
being offered have not been, nor will they be, registered under the United States Securities Act of 1933,
as amended, and such securities may not be offered or sold within the United States absent U.S.
registration or an applicable exemption from U.S. registration requirements.
Figure 1. Location of the East Bull Lake Property.
Figure 2. Location of planned magnetotelluric survey station sites on the East Bull Lake property with mapped
extent of the East Bull Lake intrusion (filled blue polygon). Both the Parisien Lake and the East Lobe grids are have
been completed.
Figure 3. Plan view images of modeled 1D layered resistivity data over the Parisien Lake MT survey grid showing
the position of interpreted resistivity anomalies (dashed outlines) at depth slices of 150 metres (top image) and
450 metres (bottom image). Also shown is the vertical projection of surface and drill core sample palladium
grades. P09 is the vertical plane for the east -west 2D resistivity profile shown in Figure 4. Anomalies PL-1 to PL -5
are identified as potential drill target s. The projected collar position of drill hole PDZ -7, discussed in the text, is
shown for reference.
Figure 4 . Oblique longitudinal section looking to the north showing a 2D inversion of the MT survey resistivity
data. Note the significant strike length (>2 km) of anomaly PL-4, a large resistivity low that is interpreted to adhere
to the base of the East Bull Lake intrusion and is apparently associated with two vertical structures . Traces for drill
holes located within 100m of either side of the section plane are shown for reference.