NexGen Discovers New High-Grade A5 Shear Zone at Arrow

VANCOUVER, July 27, 2016 /CNW/ - NexGen Energy Ltd. ("NexGen" or the "Company") (TSX:NXE) is pleased to report assay results for one hole from our recently completed winter 2016 drilling program on our 100% owned, Rook I property, Athabasca Basin, Saskatchewan.

Assay results have established that hole AR-16-81c2 has discovered a new zone of high-grade uranium mineralization in what has been named the A5 shear.  The A5 shear is located adjacent southeast of the A4 shear as shown in Figures 1 and 2.  

Highlights:

New A5 Shear Discovery

  • AR-16-81c2 (discovery hole) intersected 9.5 m at 2.08% U3O8 and 4.0 m at 5.18 % U3O8 and 6.5 m at 2.55% U3O8.

Additionally, when not considering internal dilution, AR-16-81c2 intersected 58.5 m at 1.26% U3O8 (848.5 to 907.0 m) in the A5 shear.

The Arrow Deposit is now comprised of five high-grade shear zones; A1, A2, A3, A4 and A5 that are sub-parallel to each other and have a combined thickness of 280 m. The A5 shear is completely untested between hole -81c2 and the unconformity which is approximately 105 m below surface or 685 m above the hole.  The mineralized zone intersected in AR-16-81c2 is open in all directions.

Table 1: Selected A5 Assay Results



Drill Hole

SRC Geoanalytical Results

Hole ID

From (m)

To (m)

Interval (m)

U3O8 (wt%)

AR-16-81c2

848.50

858.00

9.50

2.08


868.50

872.50

4.00

5.18


882.50

889.00

6.50

2.55


901.50

902.50

1.00

11.04


905.50

907.00

1.50

2.24

AR-16-81c2*

848.50

907.00

58.5

1.26

 

Composite parameters:

  • Minimum thickness 0.5 m downhole
  • Cutoff grade 0.01% U3O8
  • Maximum internal dilution 2.00 m downhole (except for 848.5 to 907.0 m)
  • U3O8 analyzed by ICP-OES at SRC Laboratories, Saskatoon, Saskatchewan
  • All depths and intervals are meters downhole, true thicknesses are yet to be determined
  • * - no maximum internal dilution

Arrow, Activities & Financial

  • The land-based and basement hosted Arrow Deposit currently covers an area of 870 m by 280 m with a vertical extent of mineralization commencing from 100 m to 920 m, and remains open in most directions and at depth.

  • The summer 2016 program comprising 35,000 m of drilling is underway with seven drill rigs active.

  • The Company has cash on hand of approximately $100 million.

A plan map and 3-D view of the location of the A5 shear are shown in Figures 1 and 2. Table 2 shows complete assay results.

Garrett Ainsworth, Vice-President, Exploration and Development, commented "The discovery of high grade mineralization in the new A5 shear has now been established with drill hole AR-16-81c2 returning an impressive total composite GT of 74. The mineralization is open in all directions with a completely untested 685m vertical extent from hole -81c2 up to the unconformity."

Leigh Curyer, Chief Executive Officer commented: "The discovery of the A5 shear with strong grade is very exciting for the Arrow Project and NexGen. It presents another objective for this summer's drilling season in testing the A5 shear and for additional parallel shears at Arrow. Figures 1 and 2 highlight the extent of the area that remains untested."

Table 2: 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-16-81c2

145

-69

942.00

111.00

498.00

507.50

9.50

1.40






511.00

534.50

23.50

0.99






570.00

572.50

2.50

0.07






583.00

584.00

1.00

0.03






600.00

600.50

0.50

0.65






607.50

610.00

2.50

0.09






630.50

634.00

3.50

0.01






637.00

644.00

7.00

0.08






647.50

650.50

3.00

0.08






653.00

659.00

6.00

0.05






662.00

663.00

1.00

0.09






671.00

672.00

1.00

1.01






678.00

682.50

4.50

0.06






704.00

715.50

11.50

0.05






721.00

721.50

0.50

0.06






724.00

729.50

5.50

0.05






741.50

748.50

7.00

0.04






758.50

759.00

0.50

0.06






763.00

763.50

0.50

0.01






766.00

778.00

12.00

0.03






781.00

784.50

3.50

0.03






792.50

797.50

5.00

0.05






800.00

811.50

11.50

0.04






819.00

826.50

7.50

0.13






844.50

845.50

1.00

0.04






848.50

858.00

9.50

2.08






868.50

872.50

4.00

5.18






877.00

877.50

0.50

0.08






882.50

889.00

6.50

2.55






893.50

895.00

1.50

1.21






897.50

899.00

1.50

0.03






901.50

902.50

1.00

11.04






905.50

907.00

1.50

2.24

 

Composite parameters:

  • Minimum thickness 0.5 m downhole
  • Cutoff grade 0.01% U3O8
  • Maximum internal dilution 2.00 m downhole
  • U3O8 analyzed by ICP-OES at SRC Laboratories, Saskatoon, Saskatchewan
  • All depths and intervals are meters downhole, true thicknesses are yet to be determined

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. All samples were analyzed using ICP-MS for trace elements on partial and total digestions, ICP-OES for major and minor elements on a total digestion, and fusion solution of boron by ICP-OES. Mineralized samples were analyzed for U3O8 by ICP-OES and selected samples for gold by fire assay.

All assay batches reported herein are subjected to and have passed rigorous internal QA/QC protocols that include, but are not limited to, the blind  insertion of standard reference materials, blank materials and field duplicates into the sample stream at both random and systematic intervals.

Technical Information

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 set forth above please refer to the technical report entitled "Technical Report on the Rook 1 Property, Saskatchewan, Canada" dated effective April 13, 2016 (the "Rook 1 Technical Report") prepared by Mark B. Mathisen and David Ross, 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.

About NexGen

NexGen is a British Columbia corporation with a focus on the acquisition, exploration and development of Canadian uranium projects. NexGen has an 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 discovery in February 2014 and the Bow discovery, 3.7 km along trend and northeast of Arrow, in March 2015 The Arrow Deposit's maiden Inferred mineral resource estimate is 201.9 M lbs U3O8 contained in 3.48 M tonnes grading 2.63% U3O8

Forward-Looking Information

This news release contains "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, including, without limitation, planned exploration activities and preparation and release of an updated mineral resource estimate. 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 connation thereof.

Such forward-looking information and statements are based on numerous assumptions, including among others, that the results of planned exploration activities are as anticipated, the price of uranium, the anticipated cost of planned exploration activities, that general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed and on reasonable terms, and 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 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 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 or statements, including, among others: negative operating cash flow and dependence on third party financing, uncertainty of additional financing, no known mineral reserves or resources, pending assay results may not be consistent with preliminary results, alternative sources of energy, aboriginal title and consultation issues, reliance on key management and other personnel, potential downturns in economic conditions, actual results of exploration activities being different than anticipated, changes in exploration programs based upon results, 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.

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.

Image with caption: "Figure 1: Three-Dimensional View of the A5 Shear Location (CNW Group/NexGen Energy Ltd.)". Image available at: http://photos.newswire.ca/images/download/20160727_C3474_PHOTO_EN_742481.jpg

Image with caption: "Figure 2: Arrow Drill Hole Locations (CNW Group/NexGen Energy Ltd.)". Image available at: http://photos.newswire.ca/images/download/20160727_C3474_PHOTO_EN_742483.jpg

For further information: Leigh Curyer, Chief Executive Officer, NexGen Energy Ltd., +1 604 428 4112, lcuryer@nexgenenergy.ca, www.nexgenenergy.ca; Travis McPherson, Corporate Development Manager, NexGen Energy Ltd., +1 604 428 4112, tmcpherson@nexgenenergy.ca, http://www.nexgenenergy.ca

RELATED LINKS
www.nexgenenergy.ca

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890