Grizzly Diamonds Ltd.

Grizzly Diamonds Ltd.

May 06, 2008 13:14 ET

Grizzly Reports Diamond Results For New Diamondiferous Buffalo Head Hills Kimberlites and BE-02 Contains 0.954 Micro Diamonds per Kilogram

EDMONTON, ALBERTA--(Marketwire - May 6, 2008) - Grizzly Diamonds Ltd. (TSX VENTURE:GZD) (FRANKFURT:G6H) ("Grizzly") today is pleased to provide final analytical results for 56 microdiamonds recovered from samples collected from the recently discovered Kimberlites BE-01 and BE02, both of which were discovered by Grizzly in February on the Smoky The Bear Property.

A total of 37 separate samples of NQ2 size drill core from Kimberlite BE-01 weighed 265.35 kg from the discovery drill hole at target SM-104. A total of 2 diamonds were recovered from BE-01 (Table 1). A total of 8 separate samples of NQ2 size drill core from Kimberlite BE-02 weighed 56.6 kg from the discovery drill hole at target SM-008. A total of 54 diamonds were recovered from BE-02 (Table 1). In total, 54 diamonds greater than 0.075 mm and 26 diamonds greater than 0.106 mm were recovered from BE-02. This equates to 954 stones recovered per tonne using a minimum cutoff of 0.075 mm or 459 stones per tonne using a minimum cutoff of 0.106 mm. Table 1 below shows the stone size distribution for the samples. The bulk of the diamonds are described as being clear to white in colour and with octahedral crystal habits.

Table 1: Caustic Fusion Diamond Results for Kimberlites BE-01 and BE-02
Number of Diamonds per Sieve Size (mm square Mesh sieve)
Sample Total
No of Weight Number of 0.075 0.106 0.150 0.212 0.300 0.425 0.600
ID Samples (kg) Diamonds mm mm mm mm mm mm mm
BE-01 37 265.35 2 1 1 0 0 0 0 0
BE-02 8 56.6 54 28 16 5 5 0 0 0

Caustic fusion analysis for diamonds was completed at the Saskatchewan Research
Council, Geoanalytical Laboratories accredited to the ISO/IEC 17025 standard by the Standards Council of Canada.

The management of Grizzly is highly encouraged by these initial results. These results are comparable to the results recently announced by Sanatana Diamonds Inc. for the Dharma Kimberlite in the Northwest Territories. Furthermore, the total number of diamonds recovered from Grizzly's BE-02 Kimberlite, ranks it amongst the top ten initial microdiamond results for the Buffalo Head Hills kimberlite field.

Drillhole SMB08-02 intersected kimberlite BE-01 at a depth of 124 m and was drilled to a depth of 200 m where the hole was terminated and was still in kimberlite. Drillhole SMB08-03 intersected kimberlite BE-02 at a depth of 122 m and remained in kimberlite to a depth of 141 m where the hole came out of kimberlite and into Colorado Formation mudstone until termination of the hole at 178 m. Further ground magnetic surveys in the area of BE-02 indicate the presence of at least 3 distinct magnetic lobes that could represent kimberlite. Further exploration including a ground gravity survey and follow-up drilling during summer 2008 are being planned for kimberlite BE-02 in order to target
and locate the central vent of the kimberlite.

The discovery of these two new Buffalo Head Hills kimberlites represents the first new kimberlites discovered in Alberta in five years and brings the total number of kimberlites discovered in the Buffalo Head Hills to 40 and the total number of diamondiferous kimberlites to 28.

Grizzly is also pleased to announce that a 40,000 line-km high resolution fixed-wing airborne magnetic (HRAM) survey that was commissioned in January for the Kodiak, Bearpaw, Preston Upon Wolverine and Grand Cub Parker properties all adjacent to or within the Buffalo Head Hills has been completed. This survey completes Grizzly's airborne survey coverage over all of its Alberta land holdings, including more than 2 million acres in the Buffalo Head Hills.

Grizzly Diamonds is an aggressive Canadian exploration company focused on exploring for diamonds in Alberta and precious metals in North America. It currently holds diamond properties in the Buffalo Head Hills, Birch Mountains and Pelican Mountain areas of Alberta totaling over three million acres which host prospective geophysical targets and associated diamond indicator minerals. In British Columbia, the Company has five precious metal properties totaling over 32,000 acres.

All 2008 field programs are being conducted under the supervision of Michael Dufresne, P. Geol., a principal of APEX Geoscience Ltd. and a Qualified Person under NI 43-101.

On behalf of the Board

Grizzly Diamonds Ltd.

Brian Testo, President

This news release contains forward-looking statements regarding ongoing and upcoming exploration work and expected geology, geological formations and structures. Actual results may differ materially from those anticipated in these statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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