Purepoint Uranium Group Inc.
TSX VENTURE : PTU

Purepoint Uranium Group Inc.

May 01, 2012 08:00 ET

Purepoint Prepares New Drill Targets at Turnor Lake

TORONTO, ONTARIO--(Marketwire - May 1, 2012) - Purepoint Uranium Group Inc. (TSX VENTURE:PTU) today provided an update of upcoming activities at its Turnor Lake Project in Saskatchewan's Athabasca Basin. Following up on last year's creation of a 3D compilation and lithological model by Mira Geoscience, new interpretation and modeling techniques have been employed to provide a much clearer understanding of the property's complex geological setting (see Purepoint's Press Release of May 11, 2011).

This summer's geophysical and geochemical surveys will cover two high priority uranium targets, Anvil South and Quetzal as highlighted during the 3D Targeting Workflow Process. The field work is being conducted in anticipation of the next phase of drilling, scheduled for late 2012 or early 2013.

"3D modeling of the extensive geophysical and geochemical data collected at Turnor Lake has allowed for incredibly detailed analysis and interpretation" said Scott Frostad, Purepoint's VP of Exploration. "The additional resistivity data at Anvil South and geochemical data at Quetzal will ensure enhanced precision in our upcoming drill program."

Highlights:

  • Resistivity survey over Anvil South, an area with offset electromagnetic (EM) conductors, known basement alteration, and a historic intercept of 468 ppm U over 3.4 m within highly altered graphitic pelite immediately below the unconformity,

  • Expanded geochemical survey over the high-priority Quetzal target, an area with a complex series of EM conductors and a historic intersection of 0.7 m of 370 ppm U within a steeply dipping shear zone hosted by graphitic pelite,

  • Completion of 3D Targeting Workflow Process by Mira Geoscience, and

  • Scheduled drilling of priority exploration targets during late 2012 or early 2013.

Anvil South

A resistivity survey will be conducted this summer on the Anvil South grid with the purpose to identify areas of sandstone alteration and prioritize drill targets. The Anvil South grid covers over 4 kilometers of EM conductors that were outlined by the VTEM airborne survey in 2006. The EM conductors show significant offsets that are interpreted to be caused by faulting.

The historic drill hole OD-1, drilled by the Saskatchewan Mining Development Corp. in 1985, intersected 3.4 m of 468 ppm U within a highly altered graphitic pelite immediately below the unconformity. Anomalous concentrations of arsenic, nickel and cobalt were associated with the alteration encountered in the OD-1 drill hole.

Quetzal Zone

A limited geochemical sampling survey that employed the CAMIRO Athabasca Survey sampling procedure (see Purepoint's Press Release of June 15, 2011) was completed at the Quetzal Zone last year. A follow-up survey will be conducted this summer to provide detailed data within geochemically anomalous areas.

The Quetzal Zone, identified as a high priority target during the 3D modeling, is comprised of a complex series of VTEM EM conductors known to be graphitic rocks from recent drilling. The interpreted faults crosscutting the graphitic horizons are excellent exploration targets of a nature typically associated with uranium deposits in the Athabasca Basin. The historic hole Q1-2, drilled by Asamera Oil Corp. in 1980, intersected 0.7 m of 370 ppm U within a steeply dipping shear zone hosted by graphitic pelite.

All scientific results arising from the CAMIRO Research Project are subject to a confidentiality period ending on March 15, 2013.

Turnor Lake

The Turnor Lake Project is 100% owned by Purepoint. This 9,705 hectare property covers graphitic electromagnetic (EM) conductors that are directly associated with high grade uranium showings on adjoining properties, namely Cameco's La Rocque occurrence (up to 33.9% U3O8 over 5.5 m) to the west and Areva's HLH-50 intercept (5.2% U3O8 over 0.38 m) located to the south. The project lies in close proximity to several uranium deposits, including Midwest Lake, McClean Lake and Eagle Point, and has a shallow depth to the unconformity of less than 200 metres in most areas.

A series of detailed geophysical surveys have been conducted on the property since November 2006 and numerous drill targets, including EM conductors and structurally complex areas having evidence of intersecting structures, remain untested.

Stock Options

The Company also announces that a total of 3,455,000 options to purchase common shares of the Company have been granted to directors, officers and staff at an exercise price of $0.11 per share, expiring on April 27, 2017. The grant is subject to regulatory approval.

About Purepoint

Purepoint Uranium Group Inc. is focused on the precision exploration of its thirteen projects in the Canadian Athabasca Basin. Purepoint proudly maintains project ventures in the Basin with the three largest uranium producers in the world, Cameco Corporation, AREVA and Rio Tinto. Established in the Athabasca Basin well before the initial resurgence in uranium earlier last decade, Purepoint is actively advancing a 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