Purepoint Uranium Group Inc. ( the "Company" or "Purepoint") (TSX VENTURE: PTU) is pleased to report on last week's Hook Lake Preliminary Technical Committee meeting, a project owned jointly by Cameco Corp. (39.5%), AREVA Resources Canada Inc. (39.5%) and Purepoint Uranium Group Inc. (21%). The Hook Lake JV project resides within the Patterson Uranium District that hosts Fission Uranium's high-grade PLS uranium discovery, NexGen's Arrow discovery and the Hook Lake JV Spitfire discovery.
Mobilization of camp and drill equipment has commenced, utilizing the remaining $500,000 from the 2016 budget. Initial drilling will follow-up the Spitfire high-grade intercept returned earlier this year by hole HK16-53 with 10.3% U3O8 over 10.0 metres.
The proposed 2017 Hook Lake JV exploration program plans for twenty-five diamond drill holes, approximately 10,000 metres of drilling, at a budgeted cost of $4,000,000. Drilling is planned to further delineate the Spitfire Discovery and to follow the associated mineralized structure towards the northeast. The Hook Lake JV project technical and management meetings will be held within the next two weeks.
Highlights of the Meeting:
- A total exploration budget of $4,500,000 has been proposed for the remainder of 2016 and 2017, adequate to deliver approximately 11,000 meters of drilling.
- Final approvals for the program are anticipated following the technical and management meeting.
- Purepoint has adequate funds in its treasury for this program and will be responsible for a net funding commitment of approximately $500,000.
- Purepoint will conduct an investor webinar once the program and budget approvals are in place. The webinar will cover the objectives of the exploration program in detail. Registration information to follow.
Hook Lake JV Project
The Hook Lake JV project is owned jointly by Cameco Corp. (39.5%), AREVA Resources Canada Inc. (39.5%) and Purepoint Uranium Group Inc. (21%) and consists of nine claims totaling 28,683 hectares situated in the southwestern Athabasca Basin. The Hook Lake JV 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 Uranium District that hosts Fission's Triple R Deposit (indicated mineral resource 79,610,000 lbs U3O8 at an average grade of 1.58% U3O8), NexGen Energy's Arrow Deposit (inferred mineral resource 201,900,000 lbs U3O8 at an average grade of 2.63% U3O8) and the Spitfire Discovery (10.0 metres of 10.3% U3O8) by the Hook Lake JV.