Pitchstone Exploration Ltd.

Pitchstone Exploration Ltd.

July 06, 2009 17:27 ET

Pitchstone Completes $610,000 Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 6, 2009) - Pitchstone Exploration Ltd. (TSX VENTURE:PXP) ("Pitchstone") is pleased to announce that it has closed the $610,000 non-brokered private placement of 1,525,000 units at $0.40 per unit. Each unit consists of one common share and a share purchase warrant, with each warrant exercisable into a common share for a period of two years after closing at an exercise price of $0.60 in the first twelve months and at an exercise price of $0.80 thereafter. All securities issued in the private placement will have a hold period expiring on November 4, 2009.

Pitchstone's cash position is now approximately $6.4 million and the Company has 35.0 million common shares outstanding after the closing. The proceeds of the private placement will primarily be directed to expanding the current diamond drilling program on a zone of significant radioactivity recently discovered on the 100% owned Gumboot property (see June 29, 2009 News Release). Gumboot is located in the eastern Athabasca Basin, Saskatchewan, about 20 kilometers northwest of the Cigar Lake uranium deposit.

About Pitchstone

Pitchstone is exploring for uranium in four proven districts. The property portfolio features 12 projects in the eastern Athabasca Basin, Saskatchewan, four of which are 100% owned. In addition, there are several joint venture projects in the Hornby Bay Basin, Nunavut, an exploration partnership in the Franceville Basin, Gabon, and a joint venture on two projects in Namibia. Pitchstone benefits from the collaboration of a unique group of geologists with extensive uranium exploration and production experience.

On behalf of the Board,

E.A.G. (Ted) Trueman, CEO & Chairman

This news release may contain assumptions, estimates, and other forward-looking statements regarding future events. Such forward-looking statements involve inherent risks and uncertainties and are subject to factors, many of which are beyond Pitchstone's control, that may cause actual results or performance to differ materially from those currently anticipated in such statements.

Neither 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.

Contact Information

  • Pitchstone Exploration Ltd.
    Claire Stewart
    604 630 5563
    Pitchstone Exploration Ltd.
    Mark T. Brown
    604 687 3520