Grid Metals Provides Update on Drilling at East Bull Lake
Grid Metals Provides Update on Drilling at East Bull Lake
Toronto, Ontario , August 6th, 2020 – Grid Metals Corp. (the " Company") (TSXV:GRDM) is pleased to
provide an update on the ongoing 2020 diamond drilling program at its 100% owned East Bull Lake ("EBL")
palladium property (the "Property") in Ontario. Anomalous palladium grades were intersected in both of
the target areas tested. The company is proceeding with follow up drilling on these new intersections and
initial drilling at several other target areas on the Property, which is located approximately 80 km west of
Sudbury, Ontario.
Highlights
• Drilling intersect ed palladium mineralization in two discrete geophysical targets located 800
meters apart;
• At the Kidd target, hole EBL20-02 intersected a 21 metre interval averaging 0.55 g/t Pd including
11.0 m of 0.86 g/t Pd, 0.25 g/t Pt and 0.03 g/t Au (1.14 g/t combined Pd + Pt + Au) containing 0.6m
of 2.90 g/t Pd;
• At the Feeder target, h ole EBL20 -05 intersected wide zones of anomalous palladium
mineralization including 17.0m of 0.49 g/t Pd from 15.0m and 36.0m of 0.31 g/t Pd from 67.0m
containing a 5.0m intersection of 0.80 g/t Pd, 0.27 g/t Pt and 0.05 g/t Au (1.12 g/t combined Pd +
Pt + Au) . The high est value was 1.0m of 2.44 g/t Pd, 0.68 g/t Pt and 0.09 g/t Au . This
mineralization is along the western edge of a large, near-surface geophysical anomaly developed
between three major structures;
• Preliminary results have validated the effectiveness of the magnetotelluric survey (MT) method
in detecting disseminated sulfide mineralization in gabbroic rocks on the EBL property; and,
• Additional drill permits have been obtained to further test the Feeder target and complete initial
drilling on new targets in the next phase of the program that is scheduled to commence before
the end of this month.
Dr. Dave Peck, the Company’s Vice President of Exploration and Business Development, stated “in the first
five holes of the program two large prospective areas (one previously untested) have yie lded significant
palladium values. The new d rilling results validate our selection of the MT survey method to map out
zones of sulfide-bearing gabbroic rocks in the EBL intrusion to significant depths. They will be integrated
with other geochemical and geophysical data to v ector towards more continuous and higher grade
portions of the extensive magmatic sulfide mineralization on the Property.”
Drilling Program Overview
A total of seven holes and 2,399 metres were drilled during Stage 1 of the program, which focused on
discrete MT anomalies within the Parisien Lake target area in the West Lobe of the EBL intrusion. The
targeted style of mineralization for the program is palladium-rich mineralization hosted in gabbroic rocks
containing low amounts (i.e., typically <1%) of disseminated copper- and nickel-bearing magmatic sulfides.
Drill targets were selected using a combination of geophysical models and historical geological and
geochemical data. Analytical results are provided in Table 1, below. Collar locations are shown in Figure
1 and collar specifications are listed in Table 2.
Parisien Lake Feeder Target
Drill holes 1A and 3 targeted both a deeper MT anomaly (PL-4) centered at a depth of approximately 450
metres and directly beneath a shallower MT anomaly (PL-1, see Figure 1) that extends from surface to a
depth of approximately 100 metres . The holes were drilled to a depth of 700 metres and 504 metres,
respectively. Both holes were designed to test the easily accessible western edge of these two MT
anomalies that are interpreted to repr esent a potential mineralized feeder zone located near the
confluence of three major structures (Figure 1).
Table 1. Selected analytical results for drill core samples from Stage 1 of the 2020 diamond drilling
program at the EBL intrusion. Note that the true thickness is estimated to range from 60-85% of the
reported interval lengths based on the modelled dip of the lower stratigraphic units of the EBL intrusion.
3E represents the sum of the Pd, Pt and Au concentrations.
Hole Number Target From To Length
(m) Pd (g/t) Pt (g/t) Au (g/t) 3E (g/t) Cu (%) Ni (%)
EBL20-01A Feeder 7.14 8.38 1.24 0.80 0.17 0.05 1.02 0.12 0.05
and 16.00 17.00 1.00 1.13 0.41 0.11 1.64 0.18 0.07
EBL20-02 Kidd Zone 89.52 110.90 21.38 0.55 0.17 0.02 0.74 0.04 0.04
including 89.52 95.90 6.38 0.38 0.13 0.03 0.53 0.06 0.05
with 90.04 91.00 0.96 0.99 0.35 0.10 1.45 0.15 0.06
and including 98.90 109.90 11.00 0.86 0.25 0.03 1.14 0.05 0.03
with 100.90 101.90 1.00 1.77 0.62 0.03 2.41 0.07 0.03
and including 109.30 109.90 0.60 2.90 0.62 0.11 3.62 0.08 0.05
and 131.93 134.93 3.00 1.08 0.34 0.05 1.47 0.18 0.05
EBL20-03 Feeder 116.40 139.64 23.24 0.28 0.08 0.04 0.41 0.12 0.05
including 120.00 127.08 7.08 0.53 0.14 0.06 0.72 0.18 0.08
and including 120.00 123.00 3.00 0.83 0.21 0.10 1.13 0.27 0.10
EBL20-04 Feeder 56.33 86.00 29.67 0.23 0.08 0.03 0.34 0.11 0.07
including 56.33 65.00 8.67 0.31 0.13 0.04 0.48 0.12 0.06
EBL20-05 Feeder 15.00 32.00 17.00 0.49 0.15 0.03 0.66 0.05 0.04
including 15.00 18.00 3.00 1.06 0.31 0.04 1.40 0.04 0.03
with 15.00 16.00 1.00 2.44 0.68 0.09 3.21 0.09 0.04
and including 25.00 26.00 1.00 1.59 0.49 0.11 2.18 0.16 0.06
and 57.00 58.00 1.00 1.86 0.93 0.14 2.43 0.20 0.07
and 67.00 103.00 36.00 0.31 0.12 0.03 0.46 0.10 0.06
including 69.00 74.00 5.00 0.80 0.27 0.05 1.12 0.08 0.05
and including 78.00 79.00 1.00 0.82 0.19 0.04 1.05 0.17 0.08
and including 92.00 95.00 3.00 0.50 0.35 0.05 0.90 0.27 0.14
The upper part of hole EBL20-1A intersected approximately 55 metres of gabbroic rocks with anomalous
PGE, Cu and Ni grades associated with disseminated sulfide abundances ranging from trace to 2%.
Analytical results for this intersection include maximum g rades of 1.12 g/t Pd, 0.41 g/t Pt and 0.18% Cu
over 1.00 metres for sample A0285178, taken at a depth of 16.0 to 17.0 metres. At approximately 450
metres depth hole 1A intersected a 170 metre interval of fine - to medium -grained gabbroic rocks
containing up to 1% blebby, disseminated chalcopyrite and pyrrhotite centered on the PL-4 MT anomaly.
This interval is inte rpreted to represent a previously unrecognized footwall mafic complex. Despite the
presence of visible sulfides, no significant Pd results are reported from th is intersection of the PL-4
anomaly. Nonetheless, the results indicate that the MT survey method is effective in delineating gabbroic
rocks with disseminated magma tic sulfide mineralization to significant depths . Similar results were
reported for hole 3, which intersected 33 metres of weakly mineralized EBL intrusion lower stratigraphy
associated with MT anomaly PL-1. The best result for this hole was a 3 metre interval, from 120.0 to 123.0
metres, averaging 0.83 g/t Pd, 0.21 g/t Pt and 0.10 g/t Au ( 1.13 g/t combined Pd + Pt + Au ). Hole 3 also
intersected the same footwall mafic complex, also centered on MT anomaly PL-4, that was intersected in
hole 1A. Assays are pending for this part of the hole.
Holes 4 and 5 were designed to test the modelled down-dip continuation of the near surface disseminated
sulfide mineralization observed in the upper parts of holes 1A and 3 . These holes were drilled
approximately 130 meters north of hole 1A. Both holes encountered greater disseminated sulfide
abundances (locally reaching several percent over one metre ) than was observed in either hole 1A or 3,
and returned wider intervals of anomalous Pd, Pt, Cu and Ni values (Table 1). From 56.3 to 86.0 metres
depth, hole EBL20-04 intersected a leucogabbro unit assigned to the EBL intrusion lower stratigraphy and
containing variable amounts of disseminated sulfide mineralization. The best result from hole 4 is an 8.67
metre interval averaging 0.31 g/t Pd, 0.13 g/t Pt and 0.04 g/t Au ( 0.48 g/t combined Pd + Pt + Au and
0.12% Cu). Drill hole EBL20-05 intersected approximately 100 metres of EBL intrusion lower stratigraphy
gabbros before entering the basement gneisses. The average, estimated disseminated sulfide abundance
in the gabbros was notably higher than in any of the other hol es completed during the program; locally
reaching several percent over one metre. Anomalous PGE and base metal conte nts are present
throughout the sulfide-bearing gabbro unit but are concentrated in two main intervals. The uppermost
interval extends from 15.0 to 32.0 metres and includes 3.0 metres of 1.06 g/t Pd, 0.31 g/t Pt and 0.04 g/t
Au (1.40 g/t combined Pd + Pt + Au) with a single, one metre sample returning 2.44 g/t Pd, 0.68 g/t Pd and
0.09 g/t Au (3.21 g/t combined Pd + Pt + Au). The lowermost interval extends from 67.0 to 103.0 metres
and includes a 5 metre interval averaging 0.80 g/t Pd, 0.27 g/t Pt and 0.05 g/t Au (1.12 g/t combined Pd +
Pt + Au. A single, 1.0 metre sample taken at a depth of 57.0 to 58.0 metres returned 1.86 g/t Pd, 0.93 g/t
Pt and 0.14 g/t Au (2.43 g/t combined Pd + Pt + Au).
Two additional holes, EBL20-06 and -07 were also completed at the Feeder target. Both are located near
the collar for holes 4 and 5 (Figure 1). Assay results for both holes are pending.
Analysis: The MT survey enabled the drill program to vector to a sulfide zone intersected in hole EBL20-
05 that contained significantly more sulfides than is typically observed in the EBL intrusion lower
stratigraphy. The sulfide mineralization intersected thus far at the Feeder target generally have lower
average palladium tenors (defined as the meta l grade in the sulfide fraction of a rock) than has been
reported from most of the historical surface and core samples from the Parisien Lake area. The cause of
the decrease in tenor is not known but the Company intends to test the concept of lateral metal zonation
as has been documented, for example, in the Lac des Iles palladium deposit in northwestern Ontario. A
working hypothesis developed by the Company predicts that palladium and platinum may have been
selectively removed in early-formed, high-temperature sulfides that could be concentrated in the stronger
part of the laterally extensive PL-1 MT anomaly, in closer proximity to the intersection two interpreted
feeder faults (Figure 1) . To facilitate tes ting of this hypothesis, the company recently applied for and
received exploration permits that will allow drilling on the central part of the Feeder target located several
hundred metres to the east of the recent drill hole locations (Figure 1).
Parisien Lake Kidd Zone Target
Hole 2 tested a shallow MT anomaly (PL -2) located within a known trend of anomalous palladium and
copper values intersected in historical drill holes and also detected in outcrop samples (Kidd Zone – Figure
1). The collar f or hole 2 is located >150 metres away from the nearest historical drill hole. Hole 2
intersected 372 metres of EBL intrusion lower stratigraphy gabbroic rocks before entering the interpreted
basement gneiss unit. Disseminated chalcopyrite and pyrrhotite mineralization are locally present in the
gabbroic units, with maximum abundances of up to 3% occurring in an inclusion-bearing leucogabbro that
extends from 98 to 135 metres depth. This interval returned local anomalous Pd and Cu values with a
maximum grade of 2.9 g/t Pd over 0.6 metres within a 11.0 metre interval grading 0.86 g/t Pd, 0.25 g/t Pt
and 0.03 g/t Au (1.14 g/t combined Pd + Pt + Au) . Palladium tenors for the mineralized gabbroic rocks
intersected in hole 5 are higher than those seen in the Feeder target drill holes.
Analysis: The grade and palladium tenor of the mineralization intersected in hole 2 confirm the potential
of the Kidd Zone to host thicker and higher-grade mineralization. The zone has been defined by widely-
spaced drill holes over a strike length of greater than one kilometre and remains open to the east, north
and west.
Ongoing Plans
The drill program will continue later in August pending receipt of all assays and field checking of new drill
collar locations. The Company intends to drill at least two new holes in the Parisien Lake feeder target
and two infill holes within the Kidd Zone.
The next phase of drilling will also involve testing of several new targets on the Property, none of which
have been previously drilled. These include:
1) The Twin Towers target area, where a strong MT anomaly is proximal to a cluster of palladium -
rich surface samples and directly adjacent to a major, regional structure . This area is underlain
by prospective lower stratigraphy rocks a nd is directly along strike and east of a known trend of
palladium mineralization currently being explored by Canadian Palladium Resources (Figure 2);
2) The North Margin target area, featuring coincident surface sampling and MT anomalies which are
situated along the Sables River Structure in the West Lobe of the intrusion (Figure 2). This target
area is situated approximately three kilometres north of the Parisien Lake Feeder target; and,
3) The South Margin target area, including an area of extensive surface mineralization and untested
MT anomalies in the East Lobe of the intrusion (Figure 3).
In addition to the next phase of drilling, the Company intends to:
1) Initiate a surface prospecting and mapping program intended to fill in gaps in historical sampling
coverage and to ground truth some of the untested, near surface resistivity anomalies;
2) Complete borehole geophysical surveys on selected Stage 1 drill holes to furth er establish the
correlation between sulfide content, grade and resistivity anomalies; and,
3) Complete whole-rock major and trace element analyses and total sulfur analyses on
representative samples to assist in modeling Pd tenor variations and controls on Pd and Cu grade
variability in the Parisien Lake area.
Dave Peck will design and direct the next phase of the program. Note that the current program plans are
subject to change based on results obtained and other factors. The program will be funded by the existing
working capital of the Company.
Quality Assurance and Quality Control
Grid Metals applies best practice quality assurance and quality control ("QAQC") protocols on all of its
exploration programs. For the current drilling program, core is logged and sampled at a core facility
located in the town of Massey, Ontario – approximately 30 km south of the property. NQ-size drill core
samples are cut into halves using a diamond saw. Standard sample intervals of 1.00 metre length are
used unless a major geological, structural or mineralization boundary is encountered. Samples are
bagged and tagged and driven by Company consultants to ALS Laboratories’ sample preparation and
analytical laboratory in Sudbury, Ontario. ALS analyzes each sample for Pd, Pt and Au using a lead
collection fire assay on a 30 g pulp split and an ICP finish. Copper, Ni and Co are analyzed by ALS using a
multi-acid digestion and an ICP finish. The Company uses two PGE certified reference materials
("CRMs") and one analytical blank purchased from Canadian Resource Laboratories to monitor analytical
accuracy and check for cross contamination between samples. One of the CRMs or the blank are
inserted every tenth sample within a given batch. The analytical results for the two CRMs and the blank
for the sample batches reported here did not show any significant bias compared to the certified values
and the results fell within the acceptable limits of variability.
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 secto rs. These commodities are vital to the emerging battery metals, energy
storage and automotive 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 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 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 -
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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, co mpletion 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
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registration or an applicable exemption from U.S. registration requirements.
Table 2. Drill hole collar specifications for the June-July drilling program at the EBL property.
Hole Number Easting (m) Northing (m) Elevation (m) Azimuth Dip Length (m)
EBL20-01A 411161 5142022 341 178 85 750
EBL20-02 410094 5141929 375 340 60 438
EBL20-03 411124 5142214 342 60 85 504
EBL20-04 411127 5142083 342 180 85 192
EBL20-05 411127 5142084 342 360 70 183
EBL20-06 411076 5142082 345 180 85 183
EBL20-07 411116 5142142 346 180 85 149
Figure 1. Location of completed 2020 drill holes in the Parisien Lake area, western lobe, EBL intrusion.
Drill target areas and associated near surface geophysical anomalies (PL-1, PL-2) also shown.
Background image is a colour gradient map of near surface apparent resistivity based on the 2020 MT
survey on which warmer colours have lower resistivity.
Colour
Figure 2. Location of proposed drill hole collars in the Parisien Lake, Twin Towers and North Margin
target areas that are under consideration for the next phase of drilling in the West Lobe of the EBL
intrusion. Background map is a colour gradient image of the near surface apparent resistivity from the
2020 MT survey.