Grizzly Announces Private Placement, Debt Settlement, and Provides Update on The Greenwood Precious and Critical Minerals Project
Grizzly Announces Private Placement, Debt
Settlement, and Provides Update on The
Greenwood Precious and Critical Minerals
Project
Edmonton, Alberta--(Newsfile Corp. - April 29, 2025) -
Grizzly Discoveries Inc. (TSXV: GZD) (FSE:
G6H) (OTCQB: GZDIF) ("Grizzly" or the "Company")
is pleased to announce a private placement
(the "Offering") of Units and FT Units for aggregate gross proceeds of up to $1,000,000 if fully
subscribed. The Offering is concurrent with an agreement to settle $500,000 in outstanding accounts
payable debt to APEX Geoscience Ltd. ("APEX"), the Company's primary geological contractor.
Private Placement Offering
The Offering consists of up to 8,333,333 Units and up to 25,000,000 of any combination of Units and FT
Units, with the Units and FT Units each priced at $0.03 per Unit and FT Unit.
Each Unit shall consist of
one common share of the Company ("Common Share") and one Common Share purchase warrant
entitling the warrant holder to purchase an additional Common Share for $0.05 and expiring on the
earlier of a) 30 days following written notice by the Company to the warrant holder that the volume-
weighted average trading price of the Common Shares on the TSX Venture Exchange is at or greater
than CA$0.10 per Common Share for 10 consecutive trading days; and (b) 24 months from the date of
issuance ("Warrant").
Each FT Unit shall consist of one Common Share and one half of one Warrant,
each of which shall be issued as a "flow through share" for the purposes of the Income Tax Act
(Canada).
The Offering is being offered to qualified subscribers in the Provinces of Alberta, British
Columbia and Ontario and in other jurisdictions as the Company may in its discretion determine, in
reliance upon exemptions from the registration and prospectus requirements of applicable securities
legislation.
The Company intends to use the proceeds of the Offering, if fully subscribed with the maximum of
25,000,000 in FT Units and 8,333,333 Units, as follows:
Mineral Property Exploration
$ 750,000
Mineral Rights and Exploration Permits
80,000
Working capital
Outstanding management fees to Officers
$ 12,000
Other accounts payable
65,000
$ 77,000
Corporate Overhead
Management fees to Officers
$ 18,000
(3 months)
Other Corporate Overhead
75,000
$ 93,000
Maximum proceeds
$ 1,000,000
There is no minimum to the Offering.
If the Company closes on less than the maximum proceeds, or if the
proportion of Units and FT Units differs from the above, the use of proceeds will be adjusted.
In connection with the Offering, the Company may pay finders fees payable in any combination of cash,
Units, and Warrants to registered broker dealers, limited market dealers or arm's length persons in
accordance with the policies of the TSX Venture Exchange (the "Exchange") and applicable securities
legislation and regulations.
The Common Shares and any Common Shares issued on exercise of the
Warrants are subject to restrictions on trading until four months and one day from the date of issuance in
accordance with the policies of the Exchange.
Debt Settlement Agreement
Concurrent with the Offering, the Company has entered into an agreement (the "Agreement") with APEX
Geoscience Ltd., the Company's primary geological contractor, to settle $500,000 in outstanding
accounts payable, incurred for prior exploration of the Company's mineral properties.
The Agreement
contemplates the extinguishment of $500,000 in accounts payable owing by the Company to APEX by
the issuance of 8,333,334 Units of the Company to APEX (the "APEX Units") at a deemed price of
$0.03 per Unit, and the issuance of a promissory note to a private corporation controlled by a principal of
APEX with a principal amount of $250,000, bearing simple interest at 5% per annum, payable semi-
annually, and maturing two years from the date of issuance (the "Note").
The Warrants included in the APEX Units will expire 24 months from the date of issuance, but otherwise
are on the same terms as the Units included in the Offering.
The interest on the Note, payable semi-
annually, shall be calculated on the principal amount only (simple interest) and, under the terms of the
Agreement, may be paid by the Company, at the Company's option, in Common Shares to the Holder at
the Discounted Market Price (as defined by the policies of the TSX Venture Exchange) on the interest
payment date.
The Offering, the Agreement, and each interest payment to be made in Common Shares, are subject to
acceptance of the TSX Venture Exchange.
Corporate Update - Greenwood Precious and Critical Minerals Project
Figure 1: Grizzly Mineral Claims, Targets and Drill Permits
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The Company is pleased to announce that it has received four (4) new five-year drilling permits from the
BC Ministry of Mining and Critical Minerals to complete drill testing along with access in the target areas
of Midway, Imperial, Sappho and Copper Mountain (Figure 1). These four (4) new drill permits are in
addition to existing drill permits for the Motherlode Mines area, along with the Ket 28 and Dayton target
areas. Subject to financing, the Company is making plans to drill test the Motherlode Mines area,
including copper (Cu) – gold (Au) – silver (Ag) mineralization at the Motherlode, Sunset and Greyhound
historical mines, along with the high-grade polymetallic Au-Ag mineralization identified at the historical
Midway Mine area.
Highlights
Motherlode Mine Area
The Motherlode Mine produced 76,975,111 pounds of Cu, 173,319 ounces of Au and 688,203 ounces
of Ag during the active periods of mining from 1900 to 1920 and then from 1957 to 1962. The
Motherlode skarn mineralization is developed in the Triassic Brooklyn Formation sediments (BC Minfile
082ESE034). The Motherlode mine is road accessible and is approximately 2.5 km northwest of the
town of Greenwood (Figure 1).
The Company has collected in excess of 350 rock samples, mostly selective grab samples, from
across the Motherlode project area including the newly acquired Crown Grants.
Of the 17 samples collected from the Motherlode Pit area, a total of 9 samples yielded from 1.16%
Cu up to 4.88% Cu, 12 samples yielded from 1.075 grams per tonne (g/t) Au up to 6.65 g/t Au and
8 samples yielded from 12.6 g/t Ag up to 51.3 g/t Ag.
Of the 10 samples collected from the Sunset Pit area, a total of 8 samples yielded from 1.44% Cu
up to 3.66% Cu, 9 samples yielded from 1.7% Cu up to 4.88 g/t Au and 7 samples yielded from
14.5 g/t Ag up to 55 g/t Ag.
Various other targets including the Greyhound Pit, the Butte City Target, the Margerite Target and
the Great Hopes Target have yielded a number of samples with >1% Cu and >10 g/t Au and
warrant additional exploration.
Various historical Mineral Resource Estimates (MREs) produced both prior to the last period of
mining 1957 - 1962 (Fredericks, 1961
1
) and after the last period of mining as part of a couple of
historical economic studies have been recovered from the publicly available BC Property Files.
In addition to the historical MREs, drilling in 1996 by Strathcona Mineral Services on behalf of YGC
Resources (Veris Gold) intersected several zones of Cu-Au mineralization targeting the gold
bearing halo to the Motherlode Skarn along the east side of the Motherlode pit in the vicinity of the
historical underground workings.
Drillhole 96-8 encountered gold in almost every sample including a weighted average grade of
0.23 g/t Au over the entire 154.23 m (506 ft) length drillhole with a number of higher grade zones in
proper skarn towards the bottom of the hole (Figure 2).
The Main Motherlode skarn was intersected at the bottom of the drillhole and returned 2.5 g/t
(0.073 ounces per ton [opt]) along with significant Cu over 4.88 m (16 ft) at the end of the drillhole
from skarnified Brooklyn limestone, that is associated with a strong AeroTEM conductivity
anomaly.
The drillhole collared in Brooklyn Sharpstone conglomerate and drilled through alternating skarn an
altered diorite along the length of the drillhole, with the main zone at the end of the hole
characterized by increased quartz-carbonate-chalcopyrite veining and volumetric chalcopyrite.
The hole was ended due to technical difficulties. Strathcona Mineral Services recommended
follow-up drilling which has never been completed.
Figure 2: Motherlode Historical Drillhole ML96-8 Greenwood Project
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Midway
Two new showings identified in 2023 near the historical Midway Mine including up 5.64 g/t Au
(0.165 opt) from a showing 400 m to the north of Midway and up to 4.19 g/t Au (0.122 opt) from a
grab sample collected about 375 m to the west of the Midway Mine.
At least 6 new areas with anomalous gold (> 100 ppb), copper (>200 ppm) and silver in soils have
been identified at Midway.
The Midway area is being targeted for copper-gold skarn and epithermal gold-silver.
At Midway, selective rock grab and composite rock grab samples collected during 2022 from
outcrop at the Midway Mine-Picturestone area, yielded a range of 12.05 g/t (or 0.351 opt) Au up to
70.8 g/t (2.065 opt) Au (See Company news release dated October17, 2022).
Three (3) of the 7 selective rock grab samples from the Midway Mine yielded from 1,360 g/t Ag
(39.7 opt) up to 2,140 g/t Ag (62.4 opt) (see the Company news release dated October 17, 2022).
All highly anomalous samples are from outcrop and characterized by the presence of abundant
pyrite, arsenopyrite with visible galena and sphalerite in a siliceous chalcedonic host. The
mineralization is hosted in polymetallic veins that display the presence of Pb, Zn, Cu, arsenic (As)
and antimony (Sb) and are likely epithermal in nature.
A selective rock grab sample from outcrop 200 m west of the main Midway Mine yielded 15.85 g/t
Au (0.462 opt) and 1,530 g/t Ag (44.6 opt), illustrating that there is potential for additional high-
grade mineralization in the area.
Brian Testo, President and CEO of Grizzly Discoveries stated: "
We are excited with the acquisition of
our new drill permits along with the historical Motherlode Crown Grants and the potential battery metal
and precious metal targets that they provide. We look forward to an aggressive 2025 drilling at the
Motherlode Mine area and other high grade Au-Ag-Cu showings and historical mines along with
additional exploration for battery metals in our current 170,000+ acre holdings in the Greenwood
District.
"
Quality Assurance and Control
Rock and soil samples were analyzed at ALS Global Laboratories (Geochemistry Division) in
Vancouver, Canada (an ISO/IEC 17025:2017 accredited facility). Gold was assayed using a fire assay
with atomic emission spectrometry and gravimetric finish when required (+10 g/t Au). Rock grab and
rock chip samples from outcrop/bedrock are selective by nature and may not be representative of the
mineralization hosted on the project.
The sampling program was undertaken by Company personnel under the direction of Michael B.
Dufresne, M.Sc., P.Geol., P.Geo. A secure chain of custody is maintained in transporting and storing of
all samples.
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.
ABOUT GRIZZLY DISCOVERIES INC.
Grizzly is a diversified Canadian mineral exploration company with its primary listing on the TSX Venture
Exchange focused on developing its approximately 72,700 ha (approximately 180,000 acres) of
precious and critical minerals properties in southeastern British Columbia.
Grizzly is run by highly
experienced junior resource sector management team, who have a track record of advancing
exploration projects from early exploration stage through to feasibility stage.
On behalf of the Board,
GRIZZLY DISCOVERIES INC.
Brian Testo, CEO, President
Suite 363-9768 170 Street NW
Edmonton, Alberta T5T 5L4
For further information, please visit our website at
www.grizzlydiscoveries.com
or contact:
Nancy Massicotte
Corporate Development
Tel: 604-507-3377
Email:
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.sedarplus.ca
. Grizzly disclaims any
obligation to update or revise any forward-looking information or statements except as may be
required by law.
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. WIRE
SERVICES
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