Pitchstone Financing Update

$4,180,000 Financing Closes

Warrant Sale Nets $1,897,200 

$11,000,000 Working Capital

Pitchstone Exploration Ltd. (TSX-V: PXP) is pleased to announce that, further to its news release dated November 2, 2006, it has closed the bought deal private placement arranged by Wellington West Capital Markets Inc. and Dundee Securities Corporation (the “Underwriters”), raising gross proceeds of $4,180,000.  The offering was comprised of 2,200,000 Flow-Through Common Shares issued at a price of $1.90 per Flow-Through Share. 

Pitchstone is also pleased to announce that it has sold all of its 300,000 warrants to purchase common shares of sxr Uranium One Inc. for net proceeds of $1,897,200.  The warrants were granted to Pitchstone as part of the Athabasca Basin option agreement concluded in September, 2004 with sxr Uranium One.

With existing cash on hand and the completion of these transactions, Pitchstone now has approximately $11 million in working capital to devote to ongoing uranium exploration activities.

In connection with the private placement, Pitchstone paid the Underwriters a cash commission equal to 6% of the gross proceeds and issued warrants to acquire 132,000 common shares at an exercise price of $1.90 per common share.  All securities issued pursuant to the private placement will have a hold period expiring on March 22, 2007

Pitchstone is actively exploring for uranium in three proven districts. The property portfolio features eight projects in the eastern Athabasca Basin, Saskatchewan, five of which are joint ventured with sxr Uranium One, with the other three being 100% owned.  In addition, there are five joint venture projects with Triex Minerals in the Hornby Bay Basin, Nunavut and NWT, and an exploration partnership with Cameco and Motapa Diamonds in the Franceville Basin, Gabon. 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, Pitchstone Exploration (604) 630 5563, ted@pitchstone.net,

or Dan Barnholden, CEO, Blueprint Investor Relations Consulting (416) 625 2334, dbarnholden@blueprintir.com,

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.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States.  The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless an exemption from such registration is available.