#Canada #Toronto #IsoEnergy Ltd #Purepoint Uranium #Athabasca Basin

IsoEnergy Strengthens Partnership with Purepoint

January 15, 2025 - In a significant move to bolster its collaborations, IsoEnergy Ltd. (TSX: ISO) has exercised its put option under the terms of a joint venture agreement with Purepoint Uranium Group Inc. (TSXV: PTU). This strategic decision marks a new chapter in the partnership, aligning both companies in exploring prospects within the Athabasca Basin, known globally for its rich uranium deposits.

With this partnership now solidified into a 50/50 ownership structure, IsoEnergy has exchanged a 10% interest in the joint venture for 4 million shares of Purepoint. This not only increases IsoEnergy’s stake in Purepoint to approximately 11.4% but also enhances its exposure to a diverse portfolio of uranium exploration projects. The combined efforts of these two companies now cover 98,000 hectares in the eastern Athabasca Basin, which is considered one of the planet’s most productive uranium districts.

CEO of IsoEnergy, Philip Williams, emphasized the importance of this move, stating, "The transition to a 50/50 partnership aligns our interests and strengthens our collaboration as we advance some of the most promising uranium assets in the Athabasca Basin." He highlighted the strategic value of increasing their stake in Purepoint, showcasing their aim to capitalize on exploration successes that both entities may achieve in the future.

The joint venture encompasses several projects, including:

• - Hook Lake Joint Venture: This project, in collaboration with industry leaders Cameco and Orano, is located on the western side of the Athabasca Basin. Noteworthy is the Spitfire discovery, yielding a remarkable 10.3% U₃O₈ over 10 meters.
• - Smart Lake Joint Venture: Also in partnership with Cameco, this project is situated about 18 kilometers from Hook Lake. Recent drilling on the site reported intersections of 147 ppm U just 200 meters beneath the surface, enhancing the project's potential significantly.
• - Denare West VHMS Project: Optioned to Foran Mining, this strategically placed project adjoins the trending McIlvenna Bay Project in east-central Saskatchewan, another critical area for resource exploration.

Chris Frostad, President and CEO of Purepoint, also expressed his enthusiasm regarding this partnership, stating that IsoEnergy’s decision to exercise the put option highlights the strength and the collaborative potential of their joint venture projects. He maintained that equal partnership positions both companies ideally for maximizing exploration success while leveraging their combined financial and operational strengths.

Through this strategic alliance, both IsoEnergy and Purepoint are prepared to push boundaries in uranium discovery and development. The partnership ensures aligned interests and shared commitments, vital for progressing their ventures in a competitive market. The joint venture is fundamental to each company’s exploration strategies aiming for growth amidst rising global uranium demands.

Overall, the agreement strengthens IsoEnergy's equity portfolio, which now stands at roughly $40 million, including significant positions in Nexgen Energy Ltd. and Future Fuels Inc., amongst others. Both companies maintain a robust exploration strategy, enhancing their operational capabilities within the highly lucrative Athabasca Basin.

As the partnership evolves, investors and stakeholders look forward to the successful realization of their joint efforts in discovering new uranium opportunities that pave the way for a more sustainable energy future.