Assays Demonstrate Strong Continuity in A3 Shear and Along Strike at the Arrow Deposit

VANCOUVER, Dec. 11, 2017 /CNW/ - NexGen Energy Ltd. ("NexGen" or the "Company") (TSX:NXE, NYSE MKT:NXE) is pleased to report assay results for 21 holes from Arrow as part of our recently concluded summer drilling program on our 100% owned, Rook I property, in the Athabasca Basin, Saskatchewan.

Arrow Highlights:

A3 Infill Drilling

  • AR-17-147c3 intersected 60.0 m at 3.70% U3O8 (597.5 to 657.5 m) including 33.0 m at 6.51% U3O8 (607.0 to 640.0 m) and 6.0 m at 17.68% U3O8 (634.0 to 640.0 m). This is the best assay to date at the Arrow Deposit in the A3 Shear.
  • AR-17-155c2 intersected 18.5 m at 4.32% U3O8 (560.5 to 579.0 m) including 7.0 m at 11.23% U3O8 (562.0 to 569.0 m) in the A3 shear.
  • AR-17-147c2 intersected 28.5 m at 1.74% U3O8 (604.0 to 632.5 m) including 5.5 m at 8.56% U3O8 (605.0 to 610.5 m) in the A3 shear.

 

Step-Out Drilling

Assays from step-out drilling in both the Southwest and Northeast 'Gaps' confirms mineralization is now known to be continuous in both of these resource expansion areas.

Southwest Gap Step-Outs

  • AR-17-156c1 intersected 32.5 m at 1.04% U3O8 (670.5 to 703.0 m) including 9.0 m at 2.72% U3O8 (676.5 to 685.5 m) in the Southwest Gap.

 

Northeast Gap Step-Outs

  • AR-17-129c5 intersected 3.5 m at 3.37% U3O8 (757.5 to 761.0 m) and 8.0 m at 1.54% U3O8 (766.0 to 774.0 m) and 23.5 m at 0.97% U3O8 (851.5 to 875.0 m) in the Northeast Gap.
  • AR-17-129c7 intersected 13.0 m at 1.63% U3O8 (783.0 to 796.0 m) including 5.5 m at 3.80% U3O8 (783.0 to 788.5 m) in the Northeast Gap.

 

Drill hole locations and long sections are shown in Figures 1 to 3.

Development, Activities & Financial

  • Assay results for 28 holes at the Arrow Deposit and 31 holes from South Arrow remain pending.
  • Multiple advanced-stage technical studies including geotechnical work, hydrogeological work, and metallurgy continue in advance of the maiden Pre-Feasibility Study scheduled to be published in Q3/2018.
  • Planning for winter 2018 development and exploration program is advanced.
  • The Company has cash on hand of approximately $165 million.

 

Garrett Ainsworth, Vice-President, Exploration and Development, commented: "These Arrow drill assays are impressive results for both the A3 High Grade Domain infill and resource expansion areas in the Southwest and Northeast Gaps. The A3 High Grade Domain is developing very nicely and the continuation of mineralization along both strike directions continues to show significant drilling is required to determine the extent of the mineralized Arrow footprint. "

Leigh Curyer, Chief Executive Officer, commented: "Arrow's growth continues. Together, the project development studies are advancing for the release of a Pre-Feasibility Study scheduled for Q3 2018. The project development team has recently expanded with the appointment of high calibre industry professionals reflecting the nature of the Arrow Project as a unique opportunity to contribute to this generational mineral resource. The Company is well positioned to enter 2018 and looking forward to delivering the next stages of exploration growth and project development."

Figure 1: A3 Shear Mineralized Long Section (CNW Group/NexGen Energy Ltd.)

Figure 2: Arrow Deposit Schematic Long Section (CNW Group/NexGen Energy Ltd.)

Figure 3: Arrow Drill Hole Locations (CNW Group/NexGen Energy Ltd.)

 

Table 1: Arrow Deposit Assay Results

Drill Hole

Athabasca Group -

Basement Unconformity

Depth (m)

SRC Geoanalytical Results

Hole ID

Azimuth

Dip

Total Depth (m)

From (m)

To (m)

Interval (m)

U3O8 (wt%)

AR-17-129c5

327

-70

960.50

N/A

616.00

617.00

1.00

0.11

         

655.00

657.50

2.50

0.12

         

692.50

693.00

0.50

4.00

         

728.50

730.00

1.50

0.14

         

740.00

740.50

0.50

0.46

         

748.50

751.50

3.00

0.40

         

754.00

754.50

0.50

0.36

         

757.50

761.00

3.50

3.37

         

766.00

774.00

8.00

1.54

         

777.50

781.00

3.50

1.79

         

784.50

804.50

20.00

0.07

         

810.00

814.50

4.50

0.05

         

851.50

875.00

23.50

0.97

         

878.50

879.00

0.50

0.07

         

882.00

892.00

10.00

0.15

         

901.50

902.00

0.50

0.06

         

911.00

911.50

0.50

0.04

AR-17-129c6

327

-70

876.50

N/A

595.00

595.50

0.50

0.05

         

710.50

711.00

0.50

0.06

         

735.50

736.00

0.50

0.02

         

778.00

778.50

0.50

0.02

         

817.00

817.50

0.50

0.02

AR-17-129c7

327

-70

960.50

N/A

649.50

650.50

1.00

0.05

         

668.00

669.50

1.50

0.06

         

676.00

678.50

2.50

0.40

         

704.50

705.50

1.00

0.24

         

731.00

731.50

0.50

3.02

         

736.00

736.50

0.50

0.04

         

765.50

766.00

0.50

0.01

         

783.00

796.00

13.00

1.63

       

incl.

783.00

788.50

5.50

3.80

         

804.00

819.50

15.50

0.04

         

829.50

831.00

1.50

0.10

         

856.50

857.00

0.50

0.07

         

906.00

906.50

0.50

0.04

AR-17-143c2

147

-70

729.50

N/A

558.00

558.50

0.50

0.03

         

561.50

563.00

1.50

0.11

AR-17-143c3

147

-70

974.00

N/A

662.00

664.00

2.00

0.09

         

667.00

673.00

6.00

0.21

         

677.00

677.50

0.50

0.06

         

682.00

704.50

22.50

0.17

       

incl.

689.50

697.50

8.00

0.36

         

712.50

713.50

1.00

0.11

         

742.50

743.00

0.50

0.15

         

772.50

773.00

0.50

0.18

         

813.00

813.50

0.50

0.03

         

855.00

860.00

5.00

0.02

         

863.50

868.50

5.00

0.04

         

885.50

886.50

1.00

0.03

         

924.00

928.00

4.00

0.82

         

930.50

934.00

3.50

3.45

         

938.00

938.50

0.50

0.27

AR-17-146c1

327

-70

910.50

110.40

630.50

631.50

1.00

0.37

         

686.00

688.00

2.00

0.73

         

691.00

695.00

4.00

0.33

         

697.50

703.00

5.50

0.07

         

705.50

709.50

4.00

0.38

         

721.50

744.00

22.50

0.07

         

748.00

749.00

1.00

0.03

         

754.00

755.50

1.50

0.21

         

765.50

768.50

3.00

0.07

         

795.50

797.00

1.50

0.05

AR-17-146c2

327

-70

907.00

N/A

661.50

663.00

1.50

1.15

         

682.50

683.00

0.50

0.03

         

685.50

688.00

2.50

0.02

         

694.50

696.00

1.50

0.74

         

698.50

699.00

0.50

0.04

         

704.50

705.50

1.00

1.79

         

737.00

738.00

1.00

0.06

         

742.00

749.00

7.00

0.05

         

752.00

772.50

20.50

0.48

       

incl.

752.00

763.50

11.50

0.79

         

777.00

778.00

1.00

2.65

         

780.50

782.50

2.00

4.77

AR-17-146c3

327

-70

993.50

N/A

676.50

677.50

1.00

0.04

         

709.00

709.50

0.50

0.29

         

722.50

723.50

1.00

0.48

         

728.00

732.50

4.50

0.12

         

744.00

745.00

1.00

0.24

         

753.00

772.50

19.50

0.26

       

incl.

753.00

763.00

10.00

0.46

         

777.00

777.50

0.50

0.03

         

783.50

784.00

0.50

0.05

         

789.00

826.50

37.50

0.15

       

Incl.

789.00

798.50

9.50

0.29

         

912.50

913.00

0.50

0.09

         

946.00

947.00

1.00

0.07

         

952.00

956.00

4.00

0.03

         

963.50

964.50

1.00

0.08

AR-17-147c1

327

-70

621.50

133.90

454.00

454.50

0.50

0.19

         

492.50

495.50

3.00

2.24

         

510.00

511.00

1.00

0.81

         

515.00

515.50

0.50

0.11

         

521.00

525.00

4.00

0.95

         

532.50

536.50

4.00

0.32

         

541.50

545.00

3.50

0.33

         

556.50

567.50

11.00

2.25

       

incl.

557.00

558.00

1.00

21.20

         

572.00

572.50

0.50

0.87

         

576.00

592.00

16.00

1.31

       

incl.

580.50

582.50

2.00

7.63

         

598.50

600.00

1.50

0.02

         

606.00

608.00

2.00

0.09

AR-17-147c2

327

-70

660.50

133.90

454.50

455.00

0.50

0.11

         

498.00

499.50

1.50

0.71

         

529.50

530.50

1.00

0.42

         

534.00

534.50

0.50

0.66

         

544.50

550.50

6.00

0.49

         

556.00

556.50

0.50

0.02

         

560.00

569.00

9.00

0.70

         

580.50

581.50

1.00

0.05

         

587.00

587.50

0.50

0.06

         

590.00

593.00

3.00

0.04

         

604.00

632.50

28.50

1.74

       

incl.

605.00

610.50

5.50

8.56

AR-17-147c3

327

-70

682.50

133.90

454.50

455.50

1.00

0.06

         

499.50

502.00

2.50

0.34

         

515.50

517.00

1.50

0.05

         

528.50

529.50

1.00

0.49

         

536.50

543.00

6.50

0.08

         

546.00

565.50

19.50

0.23

         

573.00

573.50

0.50

0.03

         

579.50

587.00

7.50

1.44

         

597.50

657.50

60.00

3.70

       

incl.

607.00

640.00

33.00

6.51

       

incl.

634.00

640.00

6.00

17.68

AR-17-147c4

327

-70

870.50

133.90

506.00

507.00

1.00

0.02

         

521.50

527.00

5.50

0.11

         

529.50

530.00

0.50

0.28

         

560.00

561.50

1.50

0.39

         

574.00

574.50

0.50

0.08

         

588.00

594.50

6.50

0.47

         

614.50

615.50

1.00

0.15

         

618.00

626.00

8.00

1.49

         

628.50

649.00

20.50

1.51

       

incl.

634.00

639.00

5.00

4.10

         

655.00

665.00

10.00

0.03

         

668.00

668.50

0.50

0.03

         

690.00

696.00

6.00

0.02

         

712.00

732.00

20.00

0.05

         

752.50

772.00

19.50

0.15

         

792.50

794.50

2.00

0.11

         

804.50

815.00

10.50

0.25

         

848.00

853.00

5.00

0.02

AR-17-148c1

327

-70

1054.00

N/A

505.00

506.00

1.00

0.06

         

682.00

682.50

0.50

0.08

         

689.00

690.00

1.00

0.06

         

699.50

711.00

11.50

1.02

       

incl.

703.00

705.00

2.00

5.01

         

724.00

724.50

0.50

0.01

         

729.50

730.00

0.50

0.01

         

733.00

735.50

2.50

0.24

         

740.50

741.00

0.50

0.03

         

746.00

746.50

0.50

0.02

         

756.00

757.00

1.00

0.02

         

759.50

779.00

19.50

0.04

         

785.00

786.50

1.50

0.02

         

793.50

798.50

5.00

0.01

         

801.50

805.50

4.00

0.15

         

808.50

815.50

7.00

0.64

         

931.00

935.50

4.50

0.02

         

966.50

991.50

25.00

0.03

AR-17-148c2

327

-70

1044.50

N/A

693.50

694.00

0.50

0.08

         

705.50

706.00

0.50

0.33

         

711.50

729.50

18.00

0.22

         

739.50

741.50

2.00

0.09

         

746.00

747.00

1.00

0.10

         

750.50

754.00

3.50

0.03

         

757.00

770.00

13.00

0.03

         

777.00

777.50

0.50

0.07

         

787.50

789.00

1.50

0.20

         

791.50

795.00

3.50

0.03

         

800.00

801.00

1.00

0.03

         

805.50

806.00

0.50

0.04

         

816.50

817.00

0.50

0.14

         

826.50

827.00

0.50

0.05

         

829.50

837.00

7.50

0.19

       

incl.

834.50

836.50

2.00

0.65

         

841.00

841.50

0.50

0.10

         

879.50

880.50

1.00

0.08

         

894.50

895.00

0.50

0.04

         

907.50

908.00

0.50

0.08

         

934.50

939.50

5.00

0.05

         

942.00

942.50

0.50

0.12

         

945.50

946.50

1.00

0.04

         

950.00

953.00

3.00

0.08

AR-17-149c1

345

-70

1014.50

134.90

617.50

619.50

2.00

0.24

         

627.00

630.50

3.50

0.10

         

636.00

637.00

1.00

0.06

         

643.00

647.50

4.50

0.90

         

693.00

701.50

8.50

0.06

         

713.50

720.00

6.50

0.84

         

764.00

765.00

1.00

0.04

         

790.50

791.00

0.50

0.03

         

794.00

795.50

1.50

0.46

         

798.50

799.50

1.00

0.22

         

859.00

860.00

1.00

0.05

         

869.00

873.50

4.50

0.58

AR-17-149c2

345

-70

897.50

134.90

623.00

626.00

3.00

1.84

       

incl.

623.00

623.50

0.50

10.70

         

670.00

680.50

10.50

0.02

         

688.50

699.50

11.00

0.20

         

731.50

735.00

3.50

0.23

         

763.00

765.00

2.00

0.27

AR-17-154c1

327

-70

854.00

120.60

420.50

421.00

0.50

0.01

         

594.00

594.50

0.50

0.12

         

598.00

598.50

0.50

0.36

         

606.50

607.50

1.00

0.07

         

611.00

618.50

7.50

0.19

       

incl.

614.00

616.00

2.00

0.66

         

624.00

628.00

4.00

0.06

         

631.50

639.00

7.50

0.04

         

643.00

652.00

9.00

0.02

         

678.00

679.00

1.00

0.25

         

703.50

704.00

0.50

0.05

         

706.50

708.00

1.50

0.14

         

717.00

737.50

20.50

0.78

       

incl.

725.50

731.50

6.00

2.33

AR-17-154c2

327

-70

849.50

120.60

612.00

613.00

1.00

0.15

         

620.00

621.50

1.50

0.05

         

737.00

738.50

1.50

0.12

         

766.00

766.50

0.50

0.03

AR-17-155c1

327

-70

828.50

128.60

422.50

423.50

1.00

0.09

         

426.00

426.50

0.50

0.04

         

429.50

431.50

2.00

0.07

         

501.00

510.00

9.00

0.09

         

513.50

524.00

10.50

0.29

         

531.00

537.50

6.50

0.19

         

547.00

556.50

9.50

0.12

         

577.00

577.50

0.50

0.09

         

582.00

586.00

4.00

0.07

         

589.50

590.00

0.50

0.15

         

606.00

616.00

10.00

0.06

         

619.00

644.00

25.00

0.02

         

646.50

649.50

3.00

0.03

         

652.00

654.50

2.50

0.01

         

681.00

698.00

17.00

0.15

         

702.00

706.50

4.50

0.07

         

723.00

724.00

1.00

0.04

         

732.00

734.50

2.50

0.13

AR-17-155c2

327

-70

600.50

128.60

457.50

481.50

24.00

0.33

         

486.50

487.00

0.50

0.35

         

490.00

492.00

2.00

0.50

         

504.00

505.00

1.00

1.03

         

511.00

515.00

4.00

0.40

         

519.00

520.00

1.00

0.54

         

522.50

530.00

7.50

0.95

         

534.00

534.50

0.50

0.08

         

537.00

538.50

1.50

0.29

         

542.50

545.00

2.50

0.08

         

551.00

552.00

1.00

0.20

         

560.50

579.00

18.50

4.32

         

562.00

569.00

7.00

11.23

         

582.00

588.50

6.50

0.04

AR-17-156c1

327

-70

858.50

N/A

657.50

662.00

4.50

0.45

         

664.50

665.00

0.50

0.11

         

670.50

703.00

32.50

1.04

       

incl.

676.50

685.50

9.00

2.72

         

706.50

711.00

4.50

0.10

         

743.50

744.00

0.50

0.05

 

Parameters:

  • Maximum internal dilution 2.0 m downhole
  • Minimum thickness of 0.5 m downhole
  • Cutoff grade 0.01% U3O8
  • All depths and intervals are metres downhole, true thicknesses are yet to be determined. Resource modelling in conjunction with an updated mineral resource estimate is required before true thicknesses can be determined.
  • Directional drilling has often resulted in mineralization intersected at a more favourable and shallower dip

 

About NexGen

NexGen is a British Columbia corporation with a focus on the acquisition, exploration and development of Canadian uranium projects. NexGen has a highly experienced team of uranium industry professionals with a successful track record in the discovery of uranium deposits and in developing projects through discovery to production.

NexGen owns a portfolio of prospective uranium exploration assets in the Athabasca Basin, Saskatchewan, Canada, including a 100% interest in Rook I, location of the Arrow Deposit in February 2014, the Bow discovery in March 2015, the Harpoon discovery in August 2016 and the Arrow South discovery in July 2017. The Arrow deposit's updated mineral resource estimate with an effective date of December 20, 2016 was released in March 2017, and comprised 179.5 M lbs U3O8 contained in 1.18 M tonnes grading 6.88% U3O8 in the Indicated Mineral Resource category and an additional 122.1 M lbs U3O8 contained in 4.25 M tonnes grading 1.30% U3O8 in the Inferred Mineral Resource category.

Technical Information

Natural gamma radiation in drill core reported in this news release was measured in counts per second (cps) using a Radiation Solutions Inc. RS-120 gamma-ray scintillometer. The reader is cautioned that total count gamma readings may not be directly or uniformly related to uranium grades of the rock sample measured; they should be used only as a preliminary indication of the presence of radioactive minerals.

Split core samples were taken systematically, and intervals were submitted to SRC Geoanalytical Laboratories (an SCC ISO/IEC 17025: 2005 Accredited Facility) of Saskatoon for analysis. For non-infill holes, samples were analyzed using ICP-MS for trace elements on partial and total digestions (non-radioactive samples), ICP-OES for major and minor elements on partial and total digestions (radioactive samples), and fusion solution of boron by ICP-OES. All mineralized samples were analyzed for U3O8 by ICP-OES and selected samples were analyzed for gold by fire assay.

All scientific and technical information in this news release has been prepared by or reviewed and approved by Mr. Garrett Ainsworth, P.Geo., Vice President - Exploration & Development for NexGen. Mr. Ainsworth is a qualified person for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101"), and has verified the sampling, analytical, and test data underlying the information or opinions contained herein by reviewing original data certificates and monitoring all of the data collection protocols.

For details of the Rook I Project including the quality assurance program and quality control measures applied and key assumptions, parameters and methods used to estimate the mineral resource please refer to the technical report entitled "Technical Report on the Preliminary Economic Assessment of the Arrow Deposit, Rook 1 Property, Province of Saskatchewan, Canada" dated effective September 1, 2017 (the "Rook 1 Technical Report") prepared by Jason J. Cox, David M. Robson, Mark B. Mathisen, David A. Ross, Val Coetzee and Mark Wittrup, each of whom is a "qualified person" under NI 43-101. The Rook I Technical Report is available for review under the Company's profile on SEDAR at www.sedar.com.

U.S. investors are advised that while the terms "indicated resources" and "inferred resources" are recognized and required by Canadian regulations, the U.S. Securities and Exchange Commission does not recognize these terms. U.S. investors are cautioned not to assume that any part or all of the material in these categories will ever be converted into mineral reserves.

Forward-Looking Information

The information contained herein contains "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of applicable Canadian securities legislation. "Forward-looking information" includes, but is not limited to, statements with respect to the activities, events or developments that the Company expects or anticipates will or may occur in the future. Generally, but not always, forward-looking information and statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", or "believes" or the negative connotation thereof or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved" or the negative connotation thereof.

Forward-looking information and statements are based on the then current expectations, beliefs, assumptions, estimates and forecasts about NexGen's business and the industry and markets in which it operates. Forward-looking information and statements are made based upon numerous assumptions, including among others, that the proposed transaction will be completed, the results of planned exploration activities are as anticipated, the price of uranium, the cost of planned exploration activities, that financing will be available if and when needed and on reasonable terms, that third party contractors, equipment, supplies and governmental and other approvals required to conduct NexGen's planned exploration activities will be available on reasonable terms and in a timely manner and that general business and economic conditions will not change in a material adverse manner. Although the assumptions made by the Company in providing forward looking information or making forward looking statements are considered reasonable by management at the time, there can be no assurance that such assumptions will prove to be accurate

Forward-looking information and statements also involve known and unknown risks and uncertainties and other factors, which may cause actual results, performances and achievements of NexGen to differ materially from any projections of results, performances and achievements of NexGen expressed or implied by such forward-looking information or statements, including, among others, negative operating cash flow and dependence on third party financing, uncertainty of the availability of additional financing, the risk that pending assay results will not confirm previously announced preliminary results, imprecision of mineral resource estimates, the appeal of alternate sources of energy and sustained low uranium prices, aboriginal title and consultation issues, exploration risks, reliance upon key management and other personnel, deficiencies in the Company's title to its properties, uninsurable risks, failure to manage conflicts of interest, failure to obtain or maintain required permits and licenses, changes in laws, regulations and policy, competition for resources and financing, and other factors discussed or referred to in the Company's Annual Information Form dated March 31, 2017 under "Risk Factors".

Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information or implied by forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended.

There can be no assurance that forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information. The Company undertakes no obligation to update or reissue forward-looking information as a result of new information or events except as required by applicable securities laws.

 

SOURCE NexGen Energy Ltd.