Purepoint Uranium Group Inc.
TSX VENTURE : PTU

Purepoint Uranium Group Inc.

January 20, 2010 08:00 ET

Purepoint Uranium Group Inc: Drilling Commences on Osprey Conductor at Red Willow Project

TORONTO, ONTARIO--(Marketwire - Jan. 20, 2010) - Purepoint Uranium Group Inc. (TSX VENTURE:PTU) announced today that a 3,000 metre drilling program has commenced on the Osprey Conductor at their wholly-owned Red Willow Project. The Osprey Conductor is an "S"-shaped electromagnetic conductor that is over 6 kilometres in length. Ground geophysics conducted over the area includes 3D resistivity, fixed-loop EM, stepwise moving-loop, gravity and magnetics. During the most recent drill program on the Osprey conductor, hole RW-19 returned assay grades up to 3.03% U3O8 in a structure averaging 0.58% U3O8 over 1.0 metre at a shallow depth of less than 100 metres.

"Our best uranium intercepts from the Osprey conductor have been related to a single parasitic fold located on one of the fold limbs. Our ground geophysics indicates that more parasitic folds exist and we will be targeting these during the current drill program." said Scott Frostad, Vice President Exploration of Purepoint Uranium Group Inc. "We will also target a possible thrust fault where the conductor appears to be vertically displaced by approximately 100 metres and the nose of a fold associated with a strong uranium soil anomaly".

Red Willow

The Red Willow property consists of eight claims on the eastern edge of the Athabasca Basin. The thickness of the Athabasca sandstone varies from 0 to 80 metres and the basement rocks are composed of intensely deformed and metamorphosed sedimentary, volcanic and plutonic rocks trending NE to SW. Five major uranium deposits, JEB, Midwest, Cigar Lake, McArthur River and Millennium, are located along a NE to SW mine trend that extends through the Red Willow Project.

The Red Willow property adjoins AREVA Resource Canada Inc.'s claim group that contains the JEB, Sue, McClean and Caribou deposits to the west and, to the south adjoins UEX's Hidden Bay property that surrounds Cameco Corporation's Rabbit Lake, Collins Bay and Eagle Point deposits.

About Purepoint

Purepoint Uranium Group Inc. is focused on the precision exploration of more than 55 defined target areas on its eight 100% owned projects in the Canadian Athabasca Basin, and its two Basin projects joint ventured with Cameco Corporation and AREVA Resources Canada Inc. Established in the Basin well before the resurgence in uranium, Purepoint is actively advancing this large portfolio of multiple drill targets in the world's richest uranium region.

Scott Frostad BSc, MASc, PGeo, Purepoint's Vice President, Exploration, is the Qualified Person responsible for technical content of this release.

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contact Information

  • Purepoint Uranium Group Inc.
    Chris Frostad
    President and CEO
    (416) 603-8368
    www.purepoint.ca