NexGen Drills Best Hole To Date at Arrow. RK-14-30 Intersects Numerous Zones of Mineralization Totalling 47.2 Meters


March 31, 2014

Highlights

  • Hole RK-14-30 (a 215 meter step out from the Arrow discovery hole RK-14-21) located in the Arrow gravity anomaly intersected the widest and strongest radiometrically anomalous zones encountered to date (numerous zones totalling 47.2 meters, including numerous individual zones totalling 8.3 meters >10,000 cps)
  • Arrow mineralized zone is currently extended to approximately 215m strike length and is open to the south-west
  • Seven of the eight holes drilled at the Arrow discovery have intersected radioactively anomalous zones
  • Fully funded with $15M cash at bank to aggressively drill Arrow and other Rook I targets throughout 2014

NexGen Energy Ltd. (TSX-V: NXE) ("NexGen" or the "Company") is pleased to announce its best hole to date (RK-14-30) at the Arrow Discovery, Rook I, South West Athabasca Basin. Additionally, holes RK-14-28 and -29 which have been completed since the last drilling report press released on 13 March 2014, also intersected uranium mineralization. This takes the total to 7 out of the 8 holes at Arrow having intersected uranium mineralization over a minimum strike length of 215 meters which remains open to the south-west. These holes are the successful completion of NexGen's winter drilling program at the Rook. In total, 17 holes were completed during the winter for 7,442.2 meters (Table 1), completing a grand total of 10,474.4 meters having been drilled at Rook 1 including the 2013 summer program.

The winter program was extremely successful, resulting in the virgin discovery of the Arrow prospect, adding to the uranium mineralization found at Area A in summer 2013, and the radiometric anomalism found at Dagger in early winter 2014.

Andrew Browne, NexGen's Vice-President, Exploration and Development, commented "The dimensions of the Arrow discovery have now been significantly broadened in only 8 holes (Fig 1 for locations). Detailed petrography and petrophysics are the immediate programs during breakup, and we are looking forward to our summer drilling program to further test the wider Arrow prospect. Additionally, we are greatly motivated to apply what we have discovered at Arrow to other prospects at Rook I."

Leigh Curyer, NexGen's CEO commented, "We are extremely pleased with the discovery of Arrow. Hole RK-14-30 was a massive step out from the discovery hole RK-14-21, which shows the confidence of our technical team's view in the discovery. Arrow is open and we are fully funded with $15M cash in the bank to aggressively drill it and other Rook I prospects throughout 2014."

Hole RK-14-30 was completed at 701.45 m, and intersected the widest and strongest radiometrically anomalous structural zones yet encountered at Arrow (Fig 2 and Table 2). Similar to the other holes at Arrow, the uranium mineralization is located within steep brecciated and veined structurally-disturbed graphitic zones within a quartz-garnet gneiss, with associated haematisation and chloritization, and localized schistose zones (Figs 5 and 6).

NexGen's current understanding of the mineralized system at Arrow is shown on Figure 7. Competency contrasts within the host rock have permitted propagation of widespread uranium-mineralized graphitic shear systems. There is a significant volume untested within the known limits of mineralization, and the total strike extent is still unknown.

At Arrow, significant mineralization has been announced previously in holes RK-14-21 and -27 (see press release of 13 March 2014). The next follow up hole at the northern end of Arrow, RK-14-29, was completed at 569.0 m, approximately a further 30m SW along strike. Similar radiometrically anomalous zones were intersected, being breccias and vein systems in steep structurally-disturbed graphitic zones within dominantly quartz-garnet gneiss (Fig 3 and Table 3).

An understanding of the cause of the gravity low at Arrow has been a priority, and hole RK-14-28 was drilled to 549.0 m to intersect the anomaly, collared approximately 215m SW from that of hole -21. A number of steep structurally-disturbed zones were intersected within the quartz-garnet gneiss host lithologies. Several were radiometrically anomalous (Fig 4 and Table 4), and much of the basement host was haematised and chloritised. Hence a second hole (RK-14-30) was drilled beneath hole 28, along the same direction.

Total barren cover at Arrow is 90-108 m thick, comprising (a) glacial till 50-75 m, (b) Cretaceous black shales 5-33 m, and (3) Athabasca Basin sandstone 6-36 m.

Spectrometer scanning of radiometrically anomalous zones has confirmed that the source is uranium. All mineralized zones at Arrow have been sampled for chemical analysis, and initial results are expected in approximately 6 weeks.


Figure 1 -- Arrow, drill hole locations (gravity background)



Figure 2 -- Arrow, RK-14-30 (gravity target), 2PGA-1000 downhole probe results (capped)


(Hole 30 probe depths levelled against actual core depths)


Figure 3 -- Arrow, RK-14-29, 2PGA-1000 downhole probe results (capped)



Figure 4 -- Arrow, RK-14-28 (gravity target), 2PGA-1000 downhole probe results (uncapped)


Table 1 -- Drill holes, Rook 1 winter 2014

Table 2 -- Radioactively anomalous* zones in RK-14-30 (gravity target)

Table 3 -- Radioactively anomalous* zones in RK-14-29

Table 4 -- Radioactively anomalous* zones in RK-14-28 (gravity target)

Natural gamma radiation in drill core reported in this news release was measured in counts per second (cps) using a Radiation Solutions Inc RS-125 gamma-ray spectrometer, and a Mt Sopris 2PGA-1000 natural gamma probe. 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. All intersections are downhole. Core interval measurements and true thicknesses are yet to be determined.


Figure 5 -- Arrow: pitchblende veins within brecciated shear in RK-14-30, 478.6 m downhole



Figure 6 -- Arrow: pitchblende veins and breccias, RK-14-30, 512.8 m downhole



Figure 7 -- Arrow: schematic 3D representation of the Arrow mineralized system


Qualified Person

Andrew Browne, FAusIMM (CP), NexGen's Vice President, Exploration & Development, is a "qualified person" for the purposes of National Instrument 43-101 -- Standards of Disclosure for Mineral Projects, and has reviewed and approved the contents of this news release.

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 exploration professionals with a track record in the discovery of unconformity-style uranium deposits in Canada.

NexGen owns a portfolio of highly prospective uranium exploration assets in the Athabasca Basin, Saskatchewan, Canada, including a 100% interest in Rook 1, location of the Arrow Discovery, immediately adjacent to the north east of Patterson Lake South, and an option to earn a 70% interest in the Radio Project, immediately adjacent to Rio Tinto's Roughrider Deposit.

Leigh Curyer
Chief Executive Officer
NexGen Energy Ltd.

+1 604 428 4112
lcuryer@nexgenenergy.ca
www.nexgenenergy.ca

For Further Information Please Contact:

Kin Communications
Tel: 604 684 6730

Toll free 1 866 684 6730
Email: NXE@kincommunications.com
Website: http://www.nexgenenergy.ca

The TSXV has neither approved nor disapproved the contents of this press release. Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable Canadian securities laws. Generally, but not always, forward looking information is identifiable by the use of words such as "will" and planned" and similar expressions. Forward-looking information is based on the then current expectations, beliefs, assumptions, estimates and forecasts about the Company's business and the industry and markets in which it operates. Such information is not a guarantee of future performance and undue reliance should not be placed on forward-looking information. Assumptions and factors underlying the Company's expectations regarding forward-looking information contained herein include, among others: that general business and economic conditions will not change in a material adverse manner; that financing will be available if and when needed on reasonable terms; that the Company's current exploration activities can be achieved and that its other corporate activities will proceed as expected; that third party contractors, equipment and supplies and governmental and other approvals required to conduct the Company's planned exploration activities will be available on reasonable terms and in a timely manner.

Although the assumptions made by the Company in providing forward looking information are considered reasonable by management at the time the forward-looking information is given, there can be no assurance that such assumptions will prove to be accurate. Forward-looking information also involves known and unknown risks and uncertainties and other factors, which may cause actual events or results in future periods to differ materially from any projections of future events or results expressed or implied by such forward-looking information, including, among others: risks related to the availability of financing on commercially reasonable terms and the expected use of the proceeds; changes in the market; potential downturns in economic conditions; industry conditions; actual results of exploration activities being different than anticipated; changes in exploration programs based upon results of exploration; future prices of metal; availability of third party contractors; availability of equipment and supplies; failure of equipment to operate as anticipated; accidents, effects of weather and other natural phenomena and other risks associated with the mineral exploration industry; environmental risks; changes in laws and regulations; community relations; and delays in obtaining governmental or other approvals or financing. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated, estimated or intended. NexGen 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. The reader is cautioned not to place undue reliance on forward-looking information.