November 25, 2010 – Purepoint Uranium Group Inc. (TSX-V:PTU) is pleased to announce that it has completed a High Resolution Gradient Aeromagnetic and XDS VLF-EM survey at its 100 percent owned Umfreville North and South Newnham properties. A total of 1,112 line kilometres were flown on these two properties in the northeast margin of the Canadian Athabasca Basin in northern Saskatchewan. The new magnetic data set is much more detailed than previous surveys as a result of the higher-resolution equipment and the lower ground clearance and closer line spacing at which the properties were flown.
Highlights:
- New interpretation of the Perching Zone (Umfreville North) has clearly defined structural exploration targets with geophysical signatures representative of hydrothermal alteration;
- New drill targets identified within the Porcupine Zone (Umfreville North) highlighted by cross cutting faults and potential hydrothermal alteration;
Umfreville North
The Umfreville North property (5,460 hectares) is transected by the major north-northwest trending Fond du Lac Fault. Previous work by Purepoint over the Umfreville claim group includes a MEGATEM II airborne electromagnetic (EM) survey in 2005 and an airborne full tensor gravity gradiometry (Air-FTG) survey in 2007. Based on the results of these surveys, the Perching and Porcupine Zones were prioritized as major exploration targets and the original claim group was reduced in size.
Based on the new aeromagnetics, the Fond du Lac Fault has now been resolved into two separate splayed faults to account for a broad magnetic low that occurs within the Perching Zone. The magnetic low on the Fond du Lac Fault coincides with a gravity low within the Perching Zone and possibly represents an area of hydrothermal alteration. The area of the gravity low/magnetic low may also be the source of anomalous uranium concentrations found in lake sediments to the immediate west (down ice) by a reconnaissance geochemical survey conducted by the Saskatchewan Department of Mineral Resources in 1976.
A new north-west trending linear VLF anomaly has been defined on Umfreville North. The northern end of the VLF anomaly lies within the Porcupine Zone where it is terminated by a north-south trending fault and corresponds with a gravity low. The Porcupine Zone has been deemed prospective for uranium mineralization due a magnetic low area, possibly representing hydrothermal alteration, which is associated with the Fond du Lac Fault.
South Newnham
The South Newnham property (2,884 hectares) was staked by Purepoint because of the presence of the significant north-south Newnham fault coincident with a magnetic low. The fault was considered a possible conduit for uraniferous fluids, while the magnetic low suggested metapelite rocks. Previous work at South Newnham by Purepoint includes a MEGATEM II airborne electromagnetic (EM) survey in 2005 and a helicopter-borne high resolution radiometric (gamma-ray spectrometry) survey in 2007. The radiometric survey outlined six areas with uranium radiation counts well above background values that are considered to be significant anomalies.
This most recent aeromagnetic survey was very useful in defining faults and lithology. However, the VLF survey failed to return meaning results due to the presence of conductive glacial drumlins. The North and South Zones remain prospective areas due to their location up ice of significant airborne radiometric anomalies and the presence of the major Newnham Fault , particularly with the newly interpreted contacts between Archean granitic rocks (magnetic high) and favourable pelitic gneisses (magnetic low).
The results of the high-resolution aeromagnetic and XDS VLF-EM survey have helped further define the Perching and Porcupine Zones at the Umfreville North property and the North and South Zones at the South Newnham property. These well-defined exploration targets will likely be followed-up with an investigation by field crews.
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.
For further information please contact:
Purepoint Uranium Group Inc.
Chris Frostad, President and CEO
(416) 603-8368
www.purepoint.ca
