More than 850,000 acres of Potash Permits

EDMONTON, ALBERTA-(July 14, 2008) - Grizzly Diamonds Ltd. (TSX VENTURE:GZD) (FRANKFURT:G6H) ("Grizzly") today is pleased to announce that it has been newly awarded by private bid process a number of metallic and industrial mineral permits including the rights to subsurface potash, for 23 townships covering 2,120 km2 of contiguous land including approximately 290,000 acres of crown rights in what is termed the Derwent Property on the Saskatchewan-Alberta border. The Derwent Property is contiguous with Grizzly's Lloydminster property and is road accessible year round.

Key Point Summary

- Total potash land holdings in excess of 850,000 acres

- Grizzly's potash lands include or is in close proximity to areas reported to be underlain by potash bearing beds within the uppermost portion of the Prairie Evaporite Formation.

- The potash lands are located immediately surrounding a historic occurrence of potash minerals in a deep well (VCO #15) where "sylvite exists in substantial quantities" "throughout the first 50 feet of the Prairie Evaporite" The author also suggests the potash minerals "are of the same composition and depositional sequence and depth as the potash at Unity and Saskatoon, Saskatchewan", currently the location of a number of potash mines.

- Three active joint ventures underway on 150,000 acres

- Ongoing review of additional lands for potash exploration

- Grizzly has initiated a detailed compilation of historic exploration, including oil and gas drilling, and seismic data for the permits leading to a National Instrument 43-101 Technical Report.

"With the geological compilation underway and the interpretation of existing traditional and modern 3-D seismic data, we anticipate being able to target priority drill areas for potash on Grizzly's properties." said Brian Testo, President and CEO of Grizzly. "With an ever growing land position, Grizzly is a key player in the Alberta potash play."

Grizzly Diamonds is an aggressive Canadian exploration company focused on exploring for diamonds and industrial minerals including potash 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 3 million acres which host kimberlites; and over 850,000 acres in Alberta for potash potential. In British Columbia, the Company has five precious-base metal properties totaling over 95,000 acres.

This news release and the information contained herein has been reviewed by 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.

CONTACT INFORMATION:
Grizzly Diamonds Ltd.
Brian Testo
President
(780) 693-2242 Or (780) 425-BEAR(2327)
Website: http://www.grizzlydiamonds.com

or

AGORACOM
Investor Relations
Email: GZD@Agoracom.com
Website: http://www.agoracom.com/ir/grizzly