Grid Metals Intersects 7 m at 1.28% Li2O At Over 125 m Below The Previously Deepest Drill Holes at Donner Lake; Provides Project Update
Grid Metals Intersects 7 m at 1.28% Li2O At Over 125 m Below The
Previously Deepest Drill Holes at Donner Lake; Provides Project
Update
April 18th, 2024. Grid Metals Corp. (TSXV:GRDM; OTCQB:MSMGF) (“Grid” or the "Company") is pleased
to announce drill results from its January-March 2024 drill program at the Donner Lake Lithium Project
(“Donner Lake”) in southeastern Manitoba, Canada. Drilling was completed at both: (1) the Northwest
Dyke (“NW”) Dyke for the purposes of upgrading the near surface resource ; and (2) at depth below the
Main Dyke resource to test the potential for adding to the existing underground resources . The results
from both dykes were in line with expectations and support the ongoing development timeline for Donner
Lake. The Company is continuing study and permitting activities to position Donner Lake for higher lithium
prices in the future.
Drill Highlights
• The t wo drill holes at the Main Dyke intersected the spodumene-bearing Main Dyke
approximately 125 meters beneath the previously deepest drill holes. Both holes were drilled to
test the potential for extending the existing underground resources at depth. Based on these new
results and the consistent nature of the Main Dyke over its ~1 km strike length, Grid Metals plans
to proceed with a fully -funded summer drill program comprising ~10 additional resource
extension drill holes.
• All of the 12 infill drill holes at the Northwest Dyke intersected spodumene-bearing pegmatite
that returned lithium grades and intersection lengths in line with previous resource delineation
drill holes completed in 2022 and 2023. Highlights from the 2024 winter drilling included 7 m at
1.85% Li20 and 12 m at 1.25% Li2O. Overall, the Company expects this drilling to enable an upgrade
to the resource category at the Northwest Dyke.
• Drill highlights include (a complete table of results are provided in Table 1):
o GDL 24-01: 6.9 m at 1.28% Li2O starting at 467.4 m (Main Dyke extension drilling)
o GDL 24-03: 3.2 m at 1.56% Li 2O starting at 422.8 m and 2.3 m at 1.50% Li 2O starting at
428.9 m (Main Dyke extension drilling)
o GDL24-07: 6.7 m at 1.85% Li2O starting at 84.6 m (Northwest Dyke infill drilling)
o GDL24-09: 11.5 m at 1.25% Li2O starting at 101.5 m (Northwest Dyke infill drilling)
o GDL24-10: 7.8 m at 1.50% Li2O starting at 28.9 m (Northwest Dyke infill drilling)
o GDL24-13: 7.4 m at 1.62% Li2O starting at 52.3 m (Northwest Dyke infill drilling)
Project Update
The Company has now completed significant work towards a NI 43-101 compliant Preliminary Economic
Assessment (“PEA”). The project design is based on mining at the Donner Lake Lithium Project and
trucking of the material to the True North Mill in Bissett, Manitoba. The major consultants working on the
PEA are Primero Engineering and Mining Plus , who are supported by Arsalan Talebzadeh , P. Eng., a
consultant to the Company. Major components of the study have been substantially completed including
a mine plan, capital and operating cost estimation and a number of optimization trade-off studies.
The Company is continuing optimization work including further metallurgical test work from the NW
Dyke. Grid is also actively continuing with permitting initiatives to obtain an Advanced Exploration Permit
for the Donner site. A comprehensive update will be provided in the coming weeks.
Other Activities
The Company is in the final stages of preparing an updated mineral resource estimate for its Makwa
Mayville (“MM”) Copper Nickel Project, located approximately 150 km from Winnipeg. The Project
consists of the Makwa resource (which is nickel dominant) and the Mayville resource (which is copper
dominant). Mayville is located immediately adjacent to the Donner Lake Lithium Project and is accessible
by the same road network. Donner Lake, Makwa and Mayville are located in the traditional territory of
the Sagkeeng First Nation with whom Grid signed an Exploration Agreement in April 2021.
Robin Dunbar, Chief Executive Officer of Grid Metals Corp., stated, “ the current market conditions for
lithium are very challenging in light of the decline in prices for lithium products in the past year. However,
we have taken the initiative to continue develop ment of the Donner Lake Lithium project and related
permitting activities to take advantage of the anticipated rebound in prices expected to occur later in 2024
and into 2025. The Company plans further updates to shareholders in the coming weeks on the PEA and
permitting initiatives, as well as drill results from our Falcon West Lithium Property. We remain committed
to advancing Donner to become one of the next permitted lithium projects in North America.”
Discussion of Drill Results
A summary of the drill results (Table 1) and a plan view location map (Figure 1) are shown below:
Table 1: Selected pegmatite intersections and weighted average lithium oxide grades for the Main and
Northwest dykes, Donner Lake Lithium Project. True widths are estimated to represent between 40-80%
of the reported intersection lengths.
DDH# Purpose From (m) To (m) Interval (m) Li2O%
GDL24-01 Main Dyke Extension 467.42 474.35 6.93 1.28
including
469.00 471.00 2.00 2.11
GDL24-02 NW Dyke Infill 16.40 17.80 1.40 2.09
and
25.05 28.45 3.40 1.54
GDL24-03 Main Dyke Extension 419.65 422.80 3.15 1.56
and
428.85 431.10 2.25 1.50
GDL24-04 NW Dyke Infill 33.15 40.40 7.25 1.26
GDL24-05 NW Dyke Infill 81.20 87.50 6.30 1.50
including
81.20 83.00 1.80 1.99
GDL24-06 NW Dyke Infill 165.00 165.60 0.60 1.16
and
166.60 169.20 2.60 1.63
and
175.10 178.30 3.20 1.60
GDL24-07 NW Dyke Infill 84.60 91.33 6.73 1.85
including
85.60 87.60 2.00 2.36
and
94.05 95.45 1.40 2.02
GDL24-09 NW Dyke Infill 101.50 113.00 11.50 1.25
including
109.00 111.00 2.00 1.84
GDL24-10 NW Dyke Infill 28.92 36.75 7.83 1.50
GDL24-12 NW Dyke Infill 102.90 105.85 2.95 1.21
GDL24-13 NW Dyke Infill 52.34 59.74 7.40 1.62
Figure 1: Donner Lake Plan Map with January-March 2024 drill results
The current results relate to 14 diamond drill holes completed at the Main and Northwest dykes during
the months of January, February and March 2024.
At the Main Dyke, two holes were dril led ~100 metres vertically beneath the previously deepest drill
holes. Both holes intersected the Main Dyke at the expected depth and returned true widths and weighted
average Li2O grades consistent with previously reported resource drill hole intersections. The new results
suggest that there are very good prospects for adding, with appropriate deep drilling, new underground
resources below the current inferred resources.
Figure 2: Main Dyke long section
A total of 12 holes and 1,332 metres were completed at the Northwest Dyke. Results for 9 of these holes
were available at the time of writing and are reported here. All 12 holes intersected the spodumene-
bearing NW dyke at the expected depth. The 9 holes reported here returned weighted average lithium
grades over true widths in line with the results reported in the 2023 resource estimate for the Property
(see Company news release dated July 18, 2023 and associated Technical Report filed on SEDAR on
September 6, 2023). The new results will be used to support the conversion of existing, open pit inferred
resources to the indicated category.
Figure 3: Northwest Dyke long section
QAQC
The exploration program at Donner Lake is being supervised by Carey Galeschuk, P.Geo., who is an
experienced lithium geologist with nearly three decades of exploration experience in the Bird River
Greenstone Belt with Grid Metals, Tantalum Mining Corporati on of Canada and other companies. Grid
Metals applies best practice quality assurance and quality control ("QAQC") protocols on all it ’s
exploration programs. For the Donner Lake Lithium Project drilling program, core was logged and sampled
at the Company’s core facility located on the Makwa Property. Generally, 1.0 metre sample lengths were
used. Samples were bagged and tagged and then transported by secure carrier to the Actlabs (Thunder
Bay) laboratory for sample preparation and analysis for lithium, cesium, tantalum and selected major and
trace element abundances using a sodium peroxide fusion total digestion method followed by ICP -OES
and ICP -MS analysis. The Company is using two lithium + rare metal certified reference materials
("CRMs") and an analytical blank for the program to monitor analytical accuracy and check for cross
contamination between samples.
Mr. Galeschuk P Geo is the Qualified Person for Grid Metals Corp. who has reviewed and approved the
contents of this press release with respect to NI 43-101 reporting guidelines.
About Grid Metals Corp.
Grid Metals is focused on both lithium and copper/nickel projects in the Bird River area , approximately
150 km northeast of Winnipeg Manitoba. The Donner Lake lithium project is a 75% owned property
subject to a joint venture agreement. Grid has a lease agreement on the True North mill where it plans to
process feed from Donner Lake. Grid also has an MOU with Tantalum Mining Corporation of Canada
Limited who operates the nearby producing Tanco Mine. The Makwa Mayville copper/nickel projec t is a
resource-stage project that is undergoing exploration and development work in the Bird River greenstone
belt.
On Behalf of the Board of Grid Metals Corp.
For more information about the Company please see the Company website at www.gridmetalscorp.com
or contact:
Robin Dunbar - President, CEO & Director Telephone: 416-955-4773 Email: [email protected]
Brandon Smith – Chief Development Officer – [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 Private 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 include the Company’s closing of the proposed financial transactions, sale of royalty
and property interests. 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, physical 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, the 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 with 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
Appendix: Specifications for diamond drill holes completed during the January-March 2024 campaign
targeting the Main and Northwest dykes.
Drill
Hole Purpose Easting Northing Elevation Azimuth° Dip°
Depth
(m)
GDL24-
01 Main Dyke Extension 317148 5610239 300 105 -64 566
GDL24-
02 NW Dyke Infill 315858 5610389 300 305 -45 56
GDL24-
03 Main Dyke Extension 317148 5610239 300 176 -62 524
GDL24-
04 NW Dyke Infill 315991 5610565 300 305 -45 62
GDL24-
05 NW Dyke Infill 316003 5610535 300 307 -51 104
GDL24-
06 NW Dyke Infill 315954 5610630 289 97 -64 200
GDL24-
07 NW Dyke Infill 315953 5610630 289 90 -42 110
GDL24-
09 NW Dyke Infill 315954 5610629 289 169 -54 143
GDL24-
10 NW Dyke Infill 316037 5610625 300 305 -45 50
GDL24-
12 NW Dyke Infill 316188 5610739 299 307 -49 125
GDL24-
13 NW Dyke Infill 316106 5610684 300 305 -45 80
GDL24-
15 NW Dyke Infill 315879 5610374 300 305 -45 80
GDL24-
16 NW Dyke Infill 315966 5610352 300 285 -45 230
GDL24-
19 NW Dyke Infill 315947 5610444 300 305 -45 92