Dear Motormouth,
Thank you for your inquiry.  On December 22nd 2006 Grizzly Diamonds Ltd. (the “Corporation”) announced that it closed a non-brokered private placement of 900,000 Units of the Corporation at a price of $1.10 per Unit for gross proceeds of $990,000.  Each Unit consisted of one Common Share of the Corporation issued as a “flow-through’ share and one-half of a transferable share purchase warrant. Each whole Warrant entitles the holder to acquire one additional Common Share at a price of $1.50 within 12 months of issuance.

For full details of Private Placement please see the Material Change Report filed with Sedar on December 28th 2006.

http://www.sedar.com/DisplayProfile.do?lang=EN&;issuerType=03&issuerNo=00021219

Regards,

AGORACOM Investor Relations