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Athabasca
Drilling Commences
Vancouver,
BC - Pitchstone Exploration Ltd. (TSX-V: PXP) and Southern Cross
Resources Inc (TSX: SXR) are pleased to announce the commencement
of diamond drilling on their eastern Athabasca Basin uranium projects.
Peak Drilling Ltd. has been contracted to complete 8,600 m of core
drilling on the Waterfound and Darby-Candle projects over the next
six months.
An initial drill
program of approximately 2,000 meters in four holes has begun on
the road-accessible Waterfound Project situated 40 km northwest
of Points North, Saskatchewan. Drill holes will be located to test
a five km long zone of coincident electromagnetic, magnetic and
gravity anomalies. The anomalous zone was delineated during the
previous year with 346 km of airborne gravity-magnetic-radiometric
surveying using the Falcon® system, and 30.2 km of ground electromagnetic
surveying. No drilling has previously been performed on the project.
Once freezing
conditions provide winter road access the drill will be moved to
the priority Darby-Candle Project where 6,600 m in approximately
10 holes are planned. Darby-Candle is the largest of five Pitchstone
projects under option to SXR and adjoins Cameco's Cigar Lake mine
property to the west. There are approximately 55 km of electromagnetic
conductors indicated on Darby-Candle. A map showing the location
of the projects is attached.
A budget of
$2.8 million has been approved by the parties for exploration activities
to September 2006 and will be totally funded by SXR. This will provide
for drilling at Waterfound and Darby-Candle, plus electromagnetic
surveys on one other project. Of Pitchstone's seven Athabasca Basin
projects, SXR can earn a 50% interest in five of the projects by
providing one million SXR shares, 1.5 million warrants, $350,000
in cash payments and funding $4 million in exploration. SXR will
have funded a total of $3.8 million after completion of this program.
Pitchstone is the operator of the Athabasca projects.
Pitchstone is
a uranium exploration company with an interest in more than 200,000
ha of land in the Athabasca and Hornby Bay Basins, including a 50%
interest in the Hornby Bay Mountain Lake deposit. This deposit contains
a NI 43-101 compliant Inferred Resource of 8.2 million pounds U3O8
at an average grade of 0.23% U3O8.
On behalf of the Board,
"Ted Trueman"
E.A.G. (Ted) Trueman, CEO and Director
Pitchstone Exploration Ltd.
Further information is available at www.pitchstone.net, or contact:
Mr. Ted Trueman, CEO & Director, ted@pitchstone.net
Mr. Mark T. Brown, CFO, (604) 687-3520, mtbrown@pacificopportunity.com
Suite 410 - 325 Howe St., Vancouver, BC V6C 1Z7
The
TSX Venture Exchange has not reviewed and does not accept responsibility
for the adequacy or accuracy of this release.
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