February 28 2006 – Purepoint Uranium Group Inc. (TSX-V: PTU) announced today the completion of staking of claims comprised of 110,000 hectares containing a number of domed uplifts on a significant structure in the western end of the Athabasca Basin, Northern Saskatchewan.
Identified through the reinterpretation of a magnetic survey completed in 1962, the results clearly demonstrate two domed uplifts in the basement which extend close to surface. The domed uplifts are located along a significant southwest/northeast structure traditionally named the Clearwater Fault.
“Initially we staked in the William River area based on our interpretation of an excellent structural setting for uranium deposits, but we were unsure of the depth to the basement,” said Chris Frostad President and CEO, Purepoint Uranium Group Inc. “We are very excited to learn that the area not only provides structural complexity, but also provides a relatively shallow setting, making exploration more cost-effective.
Purepoint acquired the northern portion of the dome by permit in late 2004. Subsequent review of aeromagnetic survey results published by the Government of Saskatchewan in 1962 showed the William River Dome to be much closer to surface than originally thought. Purepoint has interpreted the tight magnetic contours of the William River Dome to indicate that prospective targets may lay as little as 300 metres at depth.
The William River Dome is located less than 10 kilometres east of the Carswell Structure, which hosts the Cluff Lake mine.
Purepoint has now staked the entire William River Dome region, together with an uplift to the southwest named the William South Dome. The edges of the domed uplifts are prospective ground for uranium exploration due to the interpreted structural complexity and shallow depth to the unconformity in these areas.
The Clearwater Fault is a major structure that transects the William River property and the domed uplifts. The fault is considered to be a long-lived structure having undergone repeated activation, and interpreted as terminating near the northern edge of the William River Dome (Card, Sask Industry and Resources, Oral Presentation 2005). Long-term movement along this fault would have created favourable structures for trapping uranium-rich fluids along it, especially at its point of termination north of the William River Dome.
The SW corner of the William River claim group ties onto the COGEMA/UEX James Creek JV Project that covers significant basement conductors detected by airborne geophysical (MEGATEM) surveys (UEX News Release, January 31, 2005). COGEMA and UEX have encountered significant mineralization west of James Creek at the Shea Creek Project that includes a high-grade intersection of 27.4% U3O8 over 8.8 metres in the Kianna Deposit area (see UEX News Releases, July 13, September 14 and October 11, 2005).
Purepoint Uranium Group Inc. is a uranium focused exploration company with 100 percent ownership of 240,000 hectares in the Canadian Athabasca Basin. Established in the Basin before the resurgence in uranium, Purepoint is now actively advancing seven key properties of historic significance. A number of these projects contain near term targets, with drilling already underway.