January 13, 2011 – Purepoint Uranium Group Inc. (TSX:PTU.V) reported today that it has staked a 4,217 hectare property near the north-eastern edge of Canada’s Athabasca Basin. The Forsythe Lake property contains known electromagnetic (EM) conductors that extend onto the neighbouring Denison/JNR Bell Lake Project and lies approximately 20 kilometres west of Cameco’s La Rocque occurrence (which returned up to 33.9% U3O8 over 5.5 metres).
“We maintain a very active watch for prospective projects that may occasionally come available in the Basin” said Chris Frostad, President & CEO of Purepoint. “As the uranium sector emerges from the recent global economic collapse we are fortunate to be able to add such a promising prospect to our portfolio”.
A previous airborne EM and magnetic survey outlined two parallel, east-west striking EM conductors that are associated with a magnetic low and total 10 kilometers in length. The conductors terminate in the west against a very strong, oval shaped magnetic anomaly having an associated increase in conductivity. Modeling of this anomaly suggests that it is located in the basement rocks at a depth of 430 metres, is cylindrical in shape and has a diameter of approximately 1.2 kilometres .
Review of government assessment files show that the Forsythe Lake property has never been drill tested. Initial drill targets will be areas where the EM conductors show evidence of structural disruption, possibly creating traps for uranium-rich hydrothermal fluids. One promising target is where the conductors terminate against the magnetic anomaly, and a second is the location at which the most northern conductor is apparently offset by some 500 metres.
Purepoint Uranium Group Inc. is focused on the precision exploration of its eleven 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.
For further information please contact:
Purepoint Uranium Group Inc.
Chris Frostad, President and CEO