PITCHSTONE CLOSES
$3.1 MILLION PRIVATE PLACEMENT
Pitchstone
Exploration Ltd. (TSX-V: PXP; “Pitchstone”)
is pleased to announce that it has now closed the non-brokered private
placement of 1,008,200 “flow-through” common shares at $3.10 per
share to raise gross proceeds of $3,125,420. A cash finder’s fee of
5% was paid to certain parties in connection with part of the private placement
and totaled $131,440. Pitchstone’s cash position is now
approximately $11.5 million and the Company has 30.9 million common shares
outstanding after the offering.
The
flow-through funds raised through the private placement will be used for
exploration on Pitchstone’s Canadian property interests which will
constitute Canadian exploration expenses (as defined in the Income Tax Act) and
will be renounced for the 2007 taxation year.
Pitchstone
is actively exploring for uranium in four proven districts. The property
portfolio features ten projects in the eastern Athabasca Basin,
Saskatchewan, five of which are joint ventured with Uranium One, with the
other five being 100% owned. In addition, there are five joint
venture projects with Triex in the Hornby Bay Basin, Nunavut and NWT, an exploration
partnership with Cameco and Motapa
Diamonds in the Franceville Basin, Gabon, and an
option on three projects in Namibia.
Pitchstone has a unique group of geologists with extensive uranium
exploration and production experience.
Athabasca Exploration Update
·
$6.5 million joint venture budget
·
Drilling contract extended
·
Land use permits in place
·
Waterfound
drilling completed
Pitchstone
Exploration Ltd. (TSX-V: PXP; “Pitchstone”) is pleased to announce
that a 2008 exploration program for the 50:50 Athabasca joint venture with
Uranium One Inc. (TSX: UUU) has been approved. A total budget of $6.5
million has been agreed to by the parties. The joint venture includes the
Darby, Candle, Waterfound, Moon
Lake and Lynx
Lake properties, all in the eastern Athabasca Basin.
The
2008 joint venture program will largely be comprised of drilling.
Priority targets will include zones on Candle and Darby, including follow up
drilling on the significant intersection in Candle hole CD-14 (3.2 m core
length that averaged 0.31% U3O8 including 0.9 m that
contained 0.76% U3O8; July 25, 2007 news release).
At least six holes are planned to follow up the intersection in hole
CD-14. All land use permits required to initiate drilling in January have
been obtained.
Pitchstone
has executed a contract with Bryson Drilling Ltd. for a minimum of 14,000 m of
diamond drilling in 2008. The contract with Bryson also provides
Pitchstone with an option for 20,000 m of drilling in 2009 and a further option
for 20,000 m of drilling in 2010.
Drilling of
3,080 m in six holes by the joint venture on the Waterfound
property has been completed. Weak radioactivity was observed in four
holes, all in proximity to the unconformity. Analytical results,
including those from other properties in the Athabasca Basin,
are pending.
Steve
Blower, P.Geo.,
Vice President of Exploration for Pitchstone, is the Qualified Person for the
purposes of NI 43-101 with respect to the technical information in this news
release.
Pitchstone
is actively exploring for uranium in four proven districts. The property
portfolio features ten projects in the eastern Athabasca Basin, Saskatchewan, five
of which are joint ventured with Uranium One Inc. and five being 100%
owned. In addition, there are five joint venture projects with Triex in the Hornby Bay Basin,
Nunavut and NWT, an exploration partnership with Cameco
and Motapa Diamonds in the Franceville
Basin, Gabon, and an option on three projects in Namibia. Pitchstone has
a unique group of geologists with extensive uranium exploration and
production experience.
On behalf of
the Board,
E.A.G. (Ted)
Trueman, CEO and Director
For
further information contact: Ted Trueman, CEO, (604) 630 5563, ted@pitchstone.net,
Mark
T. Brown, CFO, (604) 687-3520, mtbrown@pacificopportunity..com, or www.pitchstone.net
The TSX Venture Exchange has not reviewed and does
not accept responsibility for the adequacy or accuracy of this release.
This news release may contain assumptions, estimates, and other forward-looking
statements regarding future events. Such forward-looking statements
involve inherent risks and uncertainties and are subject to factors, many of
which are beyond the Company’s control, that may cause actual results or
performance to differ materially from those currently anticipated in such
statements.
Claire Stewart
Office Manager
Pitchstone Exploration Ltd.
315 - 1100 Melville Street
Vancouver BC V6E 4A6
604 630-5563
(Office)
604 630-5564 (Fax)
e-mail: cstewart@pitchstone.net
www.pitchstone.net