TORONTO, May 6, 2020 /CNW/ - Purepoint Uranium Group Inc.
(TSXV: PTU) ("Purepoint" or the "Company") today
provided an update of this winter's exploration program at the Hook
Lake Project, a joint venture between Cameco Corporation (39.5%),
Orano Canada Inc. (39.5%), and Purepoint (21%) in the Patterson
Uranium District, Saskatchewan,
Canada. The Hook Lake Project lies on the southwestern edge
of Saskatchewan's Athabasca Basin and is adjacent to and on
trend with recent high-grade uranium discoveries including Fission
Uranium's Triple R Deposit and NexGen's Arrow Deposit.
An update Webinar, presentation and maps have been posted today
on the Company's website (www.purepoint.ca/videos/) which includes
a discussion with the President of the Saskatchewan Mining
Association, Ms. Pam Schwann, who provides detail on current
efforts to safeguard and support Saskatchewan's mining industry during the
COVID-19 emergency.
A focus of the 2020 exploration program included follow-up north
of encouraging hole HK19-105, an area referred to as the Sabre
Target. This year's geophysical survey was conducted over the Sabre
Target area and consisted of five lines of stepwise-moving loop
electromagnetic (EM) surveying spaced 800 metres apart.
Interpretation of the EM results has revealed that the previously
identified "W" conductor is actually two continuous parallel
conductors of variable strength, associated with previously
unknown, sub-parallel conductors. The presence of numerous EM
conductors in this area is thought to be reflecting highly
prospective structural complexity. Plans for the follow up program
will include significant drilling along this 3.5 kilometre stretch
of conductive rocks.
In addition to the geophysical survey, five target areas were
tested this winter by seven diamond holes for a total of 3,659
metres of drilling.
"Our greatest success this year was returned from the Sabre
Target area where the recent EM survey delineated parallel
conductors between last year's HK19-105 drill hole and our most
recent hole HK20-115, approximately 3.5 kilometres to the north."
said Scott Frostad, Purepoint's Vice
President of Exploration. "Both these holes encountered strong
hydrothermal alteration within the Sabre area that was known to be
associated with favourable airborne geophysical survey results. Our
priority is now considered to be initial drill testing of the new
Sabre Target area EM conductor picks."
Highlights:
- Seven diamond holes for 3,659 metres of drilling and five lines
of stepwise-moving loop EM completed.
- Hole HK20-115 encountered strong hydrothermal clay and hematite
alteration associated with graphitic shearing along the "W"
conductor, approximately 3.5 kilometers along strike of previous
drilling.
- The interpretation of the 2020 EM survey results shows the "W"
conductor as two parallel conductors that are variable in strength,
as well as sub-parallel weaker conductors.
- The 2020 EM survey covered the edge of a gravity high
identified by the 2019 airborne gravity survey, funded by the
Targeted Geoscience Initiative (TGI). The gravity high edge is
considered to reflect a lithologic contact, possibly providing a
zone of weakness and structural traps for focusing uranium-rich
fluids.
- Interpretation of the Tilt Derivative of the airborne magnetic
results suggests destruction of the magnetic response in the area
of the 2020 EM survey, possibly due to hydrothermal
alteration.
- All assays have now been received. Inversions of the EM results
and interpretation of the geochemical results are pending.
Sabre Target Area ("W" Conductor - North):
The 2020 geophysical survey covered the Sabre Target area and
consisted of five lines of stepwise-moving loop EM surveying that
were 800 metres apart. The survey results have now been interpreted
and have provided initial drill targets covering 3.5 kilometres of
conductor strike length. The purpose of the survey was to provide
drill targets northeast of last year's hole HK19-105 that
intersected numerous shear zones, strong hydrothermal alteration
and elevated radioactivity (up to 125 ppm U over 0.3 metres).
Interpretation of the EM results provided four to six conductor
picks of varying strength along each survey line. The "W" conductor
now appears as two continuous parallel conductors of variable
strength associated with numerous sub-parallel weaker
conductors.
Drill hole HK20-115 tested a 2020 EM conductor pick located
approximately 3.5 kilometres northeast along strike of favourable
drill hole HK19-105. Below the unconformity at 460 metres, the hole
encountered strongly clay altered porphyroblastic schist and mafic
intrusive to 500 metres, strongly hematite altered granodiorite
gneiss to 512 metres, then strongly chloritized, sheared and
graphitic mafic intrusive to a depth of 525 metres before
completion within unaltered diorite gneiss at a depth of 638
metres.
"W" Conductor (South):
Three holes, HK20-109, 111, and 112A, were completed on the
southern portion of the "W" Conductor testing a strike length of
approximately 1.5 kilometres. The EM conductors are explained by
graphitic shear zones in all three holes. The graphitic shearing
was associated with a lithologic contact between diorite gneiss and
carbonatite in hole HK20-109 in the south, and a contact between
diorite gneiss/mafic intrusives and unaltered granodiorite gneiss
in holes HK20-111 and 112A in the north. No anomalous alteration or
radioactivity was encountered by these holes.
Hornet Zone:
A single hole, HK20-110, was completed southwest of the Hornet
zone where the 2019 EM survey results showed a second parallel EM
conductor associated with the conductor targeted by HK15-26. The
hole intersected a 34-metre interval of diorite gneiss that hosted
pyrite and disseminated graphite and is considered to be the source
of the targeted EM conductor. No significant radiation was
encountered by the hole.
Spitfire-Dragon Conductor:
Drill hole HK20-113 was designed to test a strong ground EM
anomaly, located by the 2019 stepwise moving loop survey, between
the Spitfire and Dragon graphitic shears. The conductor was
explained by a wide interval of graphitic diorite gneiss that was
strongly sheared locally and no anomalous radioactivity was
intersected.
Dragon Conductor (Northeast):
Drill hole HK20-114A was a lake hole designed to test the Dragon
conductor northeast of previous drilling where it is associated
with a magnetic low. The initial hole at this location was lost due
to strongly desilicified sandstone and pressurized sand seams. The
unconformity was intersected at 354 metres, after which strongly
hematized mafic intrusives, granodiorite and diorite gneiss were
encountered to 400 metres, followed by fenitized mafic intrusive
and carbonatite. The hole failed to explain the EM anomaly or
encounter significant radioactivity. The geology has a shallower
dip then expected and carbonatite was intersected sooner in this
area. The optimal target in this location is now thought to lie to
the immediate west of HK20-114A.
Hook Lake JV Project
The Hook Lake JV Project is owned jointly by Cameco Corp.
(39.5%), Orano Canada Inc. (39.5%), and Purepoint Uranium Group
Inc. (21%) as operator and consists of nine claims totaling 28,598
hectares situated in the southwestern Athabasca Basin. The Hook Lake JV Project is
considered one of the highest quality uranium exploration projects
in the Athabasca Basin due to its
location along the prospective Patterson
Lake trend and the relatively shallow depth to the
unconformity.
Current exploration is targeting the Patterson Lake Corridor
that hosts Fission's Triple R Deposit (indicated mineral resource
87,760,000 lbs U3O8 at an average grade of 1.82% U3O8 –
www.fissionuranium.com), NexGen Energy's Arrow Deposit (indicated
mineral resource 256,600,000 lbs U3O8 at an average grade of
4.03% – www.nexgenenergy.ca) and the Spitfire discovery by the Hook
Lake JV. The foregoing mineral resource disclosure is information
about the properties adjacent to the Company's property and does
not imply that the Company will obtain similar information from its
own property.
About Purepoint
Purepoint Uranium Group Inc. is focused on the precision
exploration of its nine projects in the Canadian Athabasca Basin,
the world's richest uranium region. Established in the Athabasca Basin well before the initial
resurgence in uranium earlier last decade, Purepoint's flagship
project is the Hook Lake Project, a joint venture with two of the
largest uranium suppliers in the world, Cameco Corporation and
Orano Canada Inc. The Hook Lake JV Project is on trend with
recent high-grade uranium discoveries including Fission Uranium's
Triple R Deposit, NexGen's Arrow Deposit and the Hook Lake JV's
Spitfire discovery.
Scott Frostad BSc, MASc, PGeo,
Purepoint's Vice President, Exploration, is the Qualified
Person responsible for technical content of this release.
Neither the Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the Exchange) accepts
responsibility for the adequacy or accuracy of this Press
release.
Disclosure regarding forward-looking statements
This press release contains projections and forward-looking
information that involve various risks and uncertainties regarding
future events. Such forward-looking information can include without
limitation statements based on current expectations involving a
number of risks and uncertainties and are not guarantees of future
performance of the Company. These risks and uncertainties could
cause actual results and the Company's plans and objectives to
differ materially from those expressed in the forward-looking
information. Actual results and future events could differ
materially from those anticipated in such information. These and
all subsequent written and oral forward-looking information are
based on estimates and opinions of management on the dates they are
made and expressly qualified in their entirety by this notice.
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SOURCE Purepoint Uranium Group Inc.