TORONTO, March 30, 2021 /CNW/ - Purepoint Uranium
Group Inc. (TSXV: PTU) ("Purepoint" or the "Company")
today announced that plans are now underway to recommence
exploration on some of the more advanced, 100% owned projects on
the eastern side of the Athabasca
Basin. The Company also announced an update on its flagship Hook
Lake Project, a project owned jointly by Cameco Corp. (39.5%),
Orano Canada Inc. (39.5%) and Purepoint Uranium Group Inc.
(21%).
Chris Frostad, President and CEO
stated: "In light of the success of our December financing, the
current financing underway and the market's signaling of a possible
near-term correction in uranium prices, we felt it prudent to begin
planning next stage work on our large portfolio of advanced, 100%
owned projects in the Eastern
Athabasca Basin. In tandem with the fundraising currently
underway, we have secured permits and are preparing for aggressive
drilling on a number of these projects".
Expanded Exploration Program
Purepoint holds and operates approximately 175,000 hectares of
claims across 12 uranium exploration projects in the Athabasca
Basin. These are the priority claims that have been chosen
from over 500,000 hectares the Company has staked, evaluated and
maintained over the years. Today, within these claims, there
exist over 20 distinct and well-defined drill target areas with
advanced geophysical surveys completed, and in some cases, have had
first pass drilling performed.
Permits for drill programs have now been obtained for the Red
Willow, Henday Lake and Umfreville projects.
Purepoint has completed the final hole of the 2021 Winter Drill
Program at the Hook Lake project and demobilization is
underway. Results are expected to be released shortly,
pending assays and review of the results with the Hook Lake Joint
Venture Partner, Cameco Corp and Orano Canada Inc. in early
May.
Purepoint's technical team is currently assembling plans and
budgets on its next programs and a schedule of work for the
remainder of the year will soon be announced.
Capital Market Advisory Agreement
Purepoint is also announcing that it has engaged Red Cloud
Financial Services Inc. ("Red Cloud") to provide capital market
advisory services effective immediately.
Red Cloud is a Toronto-based financial services company that
provides advisory services to mineral exploration and mining
companies. Under the engagement, Red
Cloud will be paid an initial fee of C$30,000 plus $10,000 per month for a minimum of twelve months
(the "Initial Term"), with the engagement to be automatically
renewed on a month-to-month thereafter. After the Initial Term, the
engagement may be terminated by either party upon one month's
written notice to the other party. More specifically, Red Cloud will provide services such as
organizing and administering road shows, drafting additional
marketing materials, managing the Company's social media, providing
traditional media support and assistance in the creation of video
content for exclusive use on Red Cloud TV, and other services as
required by the Company. In certain circumstances additional
services may be provided to the Company by Red Cloud and an additional contingent
consideration for such services may be applicable. Red Cloud does not have any interest, directly
or indirectly, in the Company or its securities and it does not
have any right or intent to acquire such interest. Red Cloud has no relationship with the Company,
other than as contemplated in the current engagement.
About Purepoint
Purepoint Uranium Group Inc. is focused on the precision
exploration of its 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 and NexGen's Arrow Deposit and encompasses its own
Spitfire discovery (53.3% U3O8 over 1.3m including 10m
interval of 10.3% U3O8). Together with its flagship project, the
Company operates 12 projects across approximately 175,000 hectares
of claims throughout the Athabasca Basin. Within these
claims, over 20 distinct and well-defined drill target areas
with advanced geophysical surveys completed, and in some cases,
have had first pass drilling performed.
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.