EDMONTON, ALBERTA--(Feb. 25, 2008) - Grizzly Diamonds Ltd. (TSX VENTURE:GZD) (FRANKFURT:G6H) ("Grizzly") today is pleased to announce that it has intersected a second kimberlite named BE-02 on the Smoky The Bear Property in the Buffalo Head Hills of northern Alberta. This discovery represents the second new kimberlite discovered in Alberta in five years.

The third hole in the current 2008 drilling program (SMB08-03) tested the centre of a weak magnetic high and intersected kimberlite at a depth of 125 meters. The hole remains in kimberlite at a depth of 140 meters. Kimberlite BE-02 is located 4.1 km from the BE-01 kimberlite (see news release on February 19, 2008). Core will be sent for petrographic analysis to R.L. Barnett Geological Ltd. in order to determine and confirm the mineralogy of the kimberlite.

"We are extremely pleased to have drilled our second new kimberlite in Alberta in two weeks," said Brian Testo, President and CEO of Grizzly. "We believe that we are in a new discovery area for Alberta and the drill program continues on similar nearby geophysical targets."

A budget of $800,000 has been approved to drill test a minimum of 8 to 10 targets during the current program at Grizzly's Buffalo Head Hills Diamond Project in Northern Alberta. Ground geophysical surveying continues to prove up additional targets.

Grizzly 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, Grizzly has four precious metal properties totaling over 23,000 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.

For more information, please contact
Grizzly Diamonds Ltd.
Brian Testo
(780) 693-2365 or (780) 425-BEAR (2327)
Website: http://www.grizzlydiamonds.com

or

AGORACOM Investor Relations
Investor Relations
Email: GZD@Agoracom.com
Website: http://www.agoracom.com/IR/Grizzly