Toronto, Ontario – September 17, 2015 – Purepoint Uranium Group Inc. (“Purepoint”) (TSX:PTU.V) reported today that it has completed a NI 43-101 compliant technical report on its 100% owned, 35,000 hectare Red Willow project on the north-eastern edge of Saskatchewan’s Athabasca Basin.
“Earlier this decade, as the sector started to languish, we began performing only minimal work on our 100% owned eastern projects in order to build on the momentum of discoveries around the Patterson Lake area,” said Chris Frostad, President and CEO at Purepoint. “Recent information requests have prompted us to create a current and complete compilation, interpretation and evaluation of our highly-prospective exploration portfolio”.
Six major uranium deposits, JEB, Midwest, Roughrider, Cigar Lake, McArthur River and Millennium, are located along a NE to SW mine trend that extends through the Red Willow Project. The property adjoins AREVA Resource Canada Inc.’s claim group that contains the JEB, Sue, McClean and Caribou uranium 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 uranium deposits.
“After 2008 we were fortunate enough to add to our existing eastern portfolio as valuable claims came available,” said Scott Frostad, Vice President Exploration for Purepoint. “Through the combination and reconciliation of significant volumes of data, in addition to the application of recent geologic models and newer interpretation tools, we believe our eastern projects hold some of the most attractive prospects in the region”.
Red Willow Highlights:
The larger, newly configured Red Willow project hosts numerous drill-ready targets which Purepoint has outlined in detail through years of geophysical surveys and first pass drilling including:
- The Osprey Zone – which has returned up to 0.20% U3O8 over 5.8 metres and has excellent exploration potential at depth below the known mineralization. To date, the mineralized zone has only been drill tested at shallow depths.
- The Osprey Hinge Fault – which in an initial 3-hole drill fence intersected a radioactive fault zone as well as some of the strongest clay alteration seen to date on the property. A review of basement rock geochemistry also showed the “Hinge” holes to have very strong alteration signatures.
- The Topping Island Zone – which appears to be the eastern terminus of Denison Mine’s Crooked-Richardson Lakes conductive belt where recent drilling returned 0.45% U3O8 over 2.3 metres. During the 1980’s an off-scale pitchstone cobble (>9,999 cps) was discovered down-ice of Purepoint’s Topping Island conductor. The source of that sample has not yet been identified.
- The 333 Zone – which has drill targets not yet tested, was named after a historic overburden hole (#333) that intersected values up to 0.31% U3O8 in glacial till. Recent geophysics has outlined the possible source as a strong 1.1 km conductor located 200 metres to the north east of hole 333.
- The Geneva Zone – where drilling has intersected 0.22% U3O8 over 1.0 metre within a graphitic fault zone. Recent induced polarization surveys have outlined two low apparent resistivity “chimneys” that correspond with gravity anomalies and extend to the uranium intercept.
- The Golden Eye Shear Zone – which is located between two historic uranium occurrences; the FDL showing (with a historic outcrop sample of 1.43% U3O8) and the AJ showing (returning a radioactive subcrop sample of 0.46% U3O8). An interpreted shear, coincident with an untested 6 km long EM conductor, joins these two showings.
- The Turkey North conductor – The historic Turkey conductor, which has returned intercepts of up to 0.16% U3O8 over 1.0 metre, is interpreted to continue untested for over 5 kilometres on the Red Willow North property.
- Additional target areas outlined in the report include Dancing Lake, Ghost Lake, Horse Lake, Cross Lake and Smith Bay zones.
Red Willow Project
The Red Willow property is situated on the eastern edge of the Athabasca Basinin Northern Saskatchewan, Canada and consists of 12 mineral claims having a total area of 35,608 hectares. The property is located close to several uranium deposits including AREVA Resources Canada Inc.’s mined-out JEB deposit, approximately 10 kilometers to the southwest, and Cameco’s Eagle Point deposit that is approximately 10 kilometers due south.
The sedimentary basin is filled by relatively undeformed and flat-lying quartz sandstone of the late Proterozoic Athabasca Group. In the Red Willow property area, the Athabasca sandstone unconformably overlies crystalline basement rocks that are within the boundary area of the Mudjatic and Wollaston Domains. The Proterozoic Athabasca Group sandstone is found to cover the Archean and Aphebian basement rocks on the western side of the property at depths of 0 to 120 metres. The basement rock trends NE to SW and is composed of orthogneiss and paragneiss.
Purepoint Uranium Group Inc. is focused on the precision exploration of its seven projects in the Canadian Athabasca Basin. Purepoint proudly maintains project ventures in the Basin with two of the largest uranium producers in the world, Cameco Corp. and AREVA Resources Canada Inc. 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 the technical content of this release. Mr. Frostad has supervised the preparation of, and approved the scientific and technical disclosures in this news release.
NEITHER THE 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.
For further information please contact:
Purepoint Uranium Group Inc.
Chris Frostad, President and CEO