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NexGen Intersects Continuous and Strong High-Grade Mineralization in all of the Initial A2 Sub-Zone Targets from Feasibility Stage Drilling

VANCOUVER , March 28, 2019 /CNW/ - NexGen Energy Ltd. ("NexGen" or the "Company") (TSX: NXE, NYSE MKT: NXE) is pleased to report radioactivity results for the first twenty holes comprising 8,216.5 m from the Company's first phase of Feasibility-stage drilling program at our 100% owned, Rook I property in the Athabasca Basin Saskatchewan .

Highlights:

Objective I: Conversion of Indicated to Measured in the A2 Sub-Zone

Nineteen targets have been successfully intersected within the A2 Sub-Zone. This current phase of the program focuses on targets intersected at a spacing between 9.0 m and 16.7 m (based on geostatistical data spacing report compiled by Clayton V. Deutsch from Resource Modeling Solutions) for Indicated Mineral Resources to be elevated to a Measured Mineral Resource classification.  All drill holes intersected the target between -55° and -60° utilizing the latest in directional drilling technology.  

The highlights below include composite and off-scale radioactivity results from the A2 Shear only, for radioactivity results for the entire hole see Table 1: Arrow Deposit Drill Hole Data.

  • AR-19-225c1 intersected 38.0 m of total composite mineralization including 10.15 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 91.0 m section (529.0 to 620.0 m ) in the A2 Sub-Zone. Additionally, of the 10.15 m of off-scale mineralization intersected in the hole 7.0 m of massive-to-semi massive pitchblende with minimum-greater-than-61,000 cps.
  • AR-19-224c1 intersected 37.5 m of total composite mineralization including 10.8 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 97.0 m section (496.0 to 593.0 m ) in the A2 Sub-Zone. Additionally, of the 10.8 m of off-scale mineralization intersected in the hole 4.0 m of massive-to-semi massive pitchblende with minimum-greater-than-61,000 cps.
  • AR-19-224c2 intersected 47.0 m of total composite mineralization including 12.55 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 98.0 m section (453.0 to 551.0 m ) in the A2 Sub-Zone. Additionally, of the 12.55 m of off-scale mineralization intersected in the hole 3.0 m of massive-to-semi massive pitchblende with minimum-greater-than-61,000 cps.
  • AR-19-225c2 intersected 35.0 m of total composite mineralization including 11.05 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 92.0 m section (540.0 to 632.0 m ) in the A2 Sub-Zone. Additionally, of the 11.05 m of off-scale mineralization intersected in the hole 1.5 m of massive-to-semi massive pitchblende with minimum-greater-than-61,000 cps.
  • AR-19-223c2 intersected 43.5 m of total composite mineralization including 5.5 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 97.0 m section (486.0 to 583.0 m ) in the A2 Sub-Zone. Additionally, of the 5.5 m of off-scale mineralization intersected in the hole 1.5 m of massive-to-semi massive pitchblende with minimum-greater-than-61,000 cps.
  • AR-19-227c2 intersected 54.0 m of total composite mineralization including 9.75 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 98.0 m section (419.0 to 517.0 m ) in the A2 Sub-Zone. Additionally, of the 9.75 m of off-scale mineralization intersected in the hole 0.5 m of massive-to-semi massive pitchblende with minimum-greater-than-61,000 cps.
  • AR-19-228c1 intersected 36.0 m of total composite mineralization including 4.25 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within an 87.0 m section (569.0 to 656.0 m ) in the A2 Sub-Zone. Additionally, of the 4.25 m of off-scale mineralization intersected in the hole 0.5 m of massive-to-semi massive pitchblende with minimum-greater-than-61,000 cps.
  • AR-19-226c1 intersected 46.0 m of total composite mineralization including 6.4 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 100.0 m section (447.0 to 547.0 m ) in the A2 Sub-Zone.
  • AR-19-233c2 intersected 49.0 m of total composite mineralization including 9.45 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 99.0 m section (414.0 to 513.0 m ) in the A2 Sub-Zone.


Drill hole locations and schematics are shown in Figures 1 and 2. Drill hole descriptions can be found at www.nexgenenergy.ca

Development, Activities & Financial

  • Expediting Arrow to Feasibility by initiation of a 2-stage 125,000m (10 rig) high density drilling program that commenced in mid-December 2018 to focus on mine optimization plans based on Measured and Indicated mineral resources.   
  • The Company has approximately $100 million in the treasury which fully funds NexGen for all drilling, feasibility and development programs planned this year.


Leigh Curyer, Chief Executive Officer, commented: "This development focused drilling continually highlights the incredible nature and strength of Arrow in terms of the continuity of high grade uranium.  Intersecting the type of mineralization reported in today's release with such regularity is simply unique and continually increases the technical strength of Arrow.  We look forward to delivering the results of the 10 rig program throughout 2019."

Troy Boisjoli , Vice-President, Operations and Project Development, commented: "These results demonstrate the confidence in the continuation of high-grade uranium mineralization within the A2 Sub-Zone. This initial release is just the beginning of what will surely be another highly successful 2019 program as the Company moves towards completing the Feasibility Study which will incorporate an updated mineral resource estimate based on the 2019 drill campaign which is the largest in the Company's history."  

Figure 1: Arrow and South Arrow Drill Hole Locations (CNW Group/NexGen Energy Ltd.)


Figure 2: Target Area for Objective I of the 2019 Feasibility Stage Drill Program (CNW Group/NexGen Energy Ltd.)

Table 1: Arrow Deposit Drill Hole Data

Drill Hole

Athabasca Group -
Basement Unconformity
Depth (m)

Handheld Scintillometer Results (RS-120)

Hole ID

Azimuth

Dip

Total
Depth
(m)

From
(m)

To
(m)

Width
(m)

CPS Range

AR-19-221c1

327

-65

576

129.5

432.5

433.5

1

<500 -  990






442.5

446

3.5

<500 -  1100






448.5

449

0.5

<500 -  620






478.5

479.5

1

<500 -  580






485

486

1

<500 -  780






495.5

497.5

2

<500 -  1340






506.5

507

0.5

<500 -  670






511

517.5

6.5

<500 -  2200






524.5

549

24.5

<500 -  61000






554.5

555

0.5

<500 -  1180

AR-19-221c2

327

-65

597.5

N/A

426.5

430.5

4

<500 -  2100






437.5

438

0.5

<500 -  680






484

484.5

0.5

<500 -  1100






495.5

501

5.5

<500 -  1000






506

522.5

16.5

<500 -  1500






540

559.5

19.5

<500 -  61000






562

562.5

0.5

<500 -  1200






591.5

592

0.5

<500 -  550

AR-19-222c1

327

-65

597.5

133.45

401.5

404

2.5

<500 -  1400






422

425.5

3.5

<500 -  2600






437.5

439

1.5

<500 -  10800






447

447.5

0.5

<500 -  1000






450.5

482

31.5

<500 -  7400






494.5

551

56.5

<500 -  61000






557.5

559

1.5

<500 -  3720






577

577.5

0.5

<500 -  560

AR-19-222c2

327

-65

594

N/A

412.5

413

0.5

<500 -  1100






417.5

418

0.5

<500 -  2800






433

437.5

4.5

<500 -  1350






443.5

453.5

10

<500 -  32000






456

457.5

1.5

<500 -  2100






461.5

463

1.5

<500 -  3000






466

471

5

<500 -  6900






474.5

478

3.5

<500 -  1600






480.5

490

9.5

<500 -  1150






492.5

493

0.5

<500 -  1250






497

523

26

<500 -  61000






528.5

538.5

10

<500 -  37000






543.5

546.5

3

<500 -  18600

AR-19-223c1

327

-65

588

133.6

435

438.5

3.5

<500 -  1300






446

449.5

3.5

<500 -  2700






453

460

7

<500 -  6900






464.5

468

3.5

<500 -  3800






474

476.5

2.5

<500 -  1400






485.5

486

0.5

900 -  1280






490

495.5

5.5

<500 -  5500






498.5

503.5

5

<500 -  1380






509.5

519.5

10

<500 -  3000






522.5

528.5

6

<500 -  1300






532

549

17

<500 -  61000






553

556.5

3.5

<500 -  3800






559

560.5

1.5

<500 -  4300






569

570.5

1.5

<500 -  1600

AR-19-223c2

327

-65

615.5

N/A

434.5

438

3.5

<500 -  640






444.5

446

1.5

<500 -  1000






451.5

453

1.5

<500 -  1700






455.5

462

6.5

<500 -  17000






466.5

467.5

1

<500 -  2800






473

475

2

<500 -  740






479

483.5

4.5

<500 -  560






488

491

3

<500 -  1500






499

502

3

<500 -  1000






508.5

515

6.5

<500 -  3300






539.5

552.5

13

<500 -  61000






555

558

3

<500 -  34200






565

572

7

<500 -  31000






574.5

576

1.5

<500 -  870

AR-19-223c3

327

-65

586.5

N/A

417.5

418

0.5

<500 -  700






425

426

1

<500 -  920






435

444.5

9.5

<500 -  6900






452

459.5

7.5

<500 -  3300






462.5

465

2.5

<500 -  1100






468.5

470.5

2

<500 -  660






473

476

3

<500 -  5300






485

490.5

5.5

<500 -  2400






493

495

2

<500 -  1450






498.5

517.5

19

<500 -  7000






520

523.5

3.5

<500 -  1000






527

551

24

<500 -  61000






559.5

566

6.5

<500 -  61000






570.5

573

2.5

<500 -  670

AR-19-224c1

327

-65

597.5

129.45

404

404.5

0.5

<500 -  640






443.5

446.5

3

<500 -  1100






449

449.5

0.5

<500 -  1080






452

452.5

0.5

<500 -  640






455

456

1

<500 -  2050






465

465.5

0.5

<500 -  1370






469.5

473.5

4

<500 -  1650






497.5

500.5

3

<500 -  820






503

506.5

3.5

<500 -  1040






510

511

1

<500 -  540






524.5

525

0.5

<500 -  560






530

533

3

<500 -  710






536.5

538

1.5

<500 -  2340






543.5

544.5

1

<500 -  1270






548

551

3

<500 -  3610






554.5

575.5

21

<500 -  61000

AR-19-224c2

327

-65

612.5

N/A

441

442.5

1.5

<500 -  1850






445

447.5

2.5

<500 -  1220






450

453.5

3.5

<500 -  2350






470

470.5

0.5

<500 -  520






476

478.5

2.5

<500 -  4100






494

503

9

<500 -  2800






518

518.5

0.5

<500 -  600






524

524.5

0.5

<500 -  530






538

571.5

33.5

<500 -  61000






582

585.5

3.5

<500 -  13000

AR-19-225c1

327

-65

627.5

128.7

474

474.5

0.5

<500 -  630






494.5

495

0.5

<500 -  520






501

505

4

<500 -  4500






520.5

525

4.5

<500 -  1280






531

531.5

0.5

<500 -  980






545

546

1

<500 -  1180






566.5

598.5

32

<500 -  61000

AR-19-225c2

327

-65

636.5

N/A

473.5

474.5

1

<500 -  900






479.5

480.5

1

<500 -  2000






563.5

593.5

30

<500 -  61000






596

598

2

<500 -  21000






602

605

3

<500 -  650

AR-19-226c1

327

-65

564.5

131.5

446.5

447

0.5

<500 -  740






457

468.5

11.5

<500 -  1350






472.5

473.5

1

<500 -  2040






482.5

483

0.5

<500 -  560






491.5

503.5

12

<500 -  2240






506

508.5

2.5

<500 -  3540






512.5

527.5

15

<500 -  61000






536.5

539.5

3

<500 -  9300

AR-19-226c1a

327

-65

177

144.15

No Anomalous Radioactivity

AR-19-226c2

327

-65

567

N/A

453.5

454

0.5

<500 -  740






457.5

458

0.5

<500 -  600






463

466.5

3.5

<500 -  730






474.5

475

0.5

<500 -  510






489.5

492

2.5

<500 -  860






497.5

522.5

25

<500 -  61000






527.5

528.5

1

<500 -  1050






547

548

1

<500 -  2200

AR-19-227c1

327

-65

525.5

138.3

442

442.5

0.5

<500 -  680






445

446.5

1.5

<500 -  1200






463

502.5

39.5

<500 -  61000

AR-19-227c2

327

-65

540.5

N/A

439

439.5

0.5

<500 -  720






454.5

455

0.5

<500 -  860






460

508.5

48.5

<500 -  61000






513

517.5

4.5

<500 -  22000

AR-19-228c1

327

-65

663.5

134

249

249.5

0.5

<500 -  750






458

477.5

19.5

<500 -  23000






480

483.5

3.5

<500 -  3510






487

487.5

0.5

<500 -  3300






492

492.5

0.5

<500 -  1750






505

505.5

0.5

<500 -  800






512

523.5

11.5

<500 -  55300






551

551.5

0.5

<500 -  650






575.5

581

5.5

<500 -  1130






600.5

603

2.5

<500 -  590






605.5

624.5

19

<500 -  61000






629.5

632.5

3

<500 -  61000






635

638

3

<500 -  680






646.5

649

2.5

<500 -  890






660

660.5

0.5

<500 -  700

AR-19-228c2

327

-65

672.5

N/A

459.5

469.5

10

<500 -  40000






472

476

4

<500 -  4400






478.5

481.5

3

<500 -  1500






509.5

510.5

1

<500 -  9600






515

534

19

<500 -  50000






598

599

1

<500 -  750






602

603

1

<500 -  970






605.5

610

4.5

<500 -  1300






616.5

627

10.5

<500 -  61000






630

634

4

<500 -  8500






638

639

1

<500 -  1600






641.5

654.5

13

<500 -  53000






658.5

659.5

1

<500 -  700

AR-19-233c1

327

-65

534.5

133.7

447.5

450.5

3

<500 -  3300






453.5

491.5

38

<500 -  61000






495.5

501.5

6

<500 -  920

AR-19-233c2

327

-65

537.5

N/A

457

465

8

<500 -  2000






467.5

481.5

14

<500 -  61000






484

510.5

26.5

<500 -  61000






522.5

523

0.5

<500 -  920

 

Parameters:

  • Maximum internal dilution 2.00 m downhole
  • All depths and intervals are metres downhole, true thicknesses are yet to be determined
  • "Anomalous" means >500 cps (counts per second) total count gamma readings by gamma scintillometer type RS-120
  • "Off-scale" means >10,000 cps (counts per second) total count gamma readings by gamma scintillometer type RS-120
  • Where "Min cps" is <500 cps, this refers to local low radiometric zones within the overall radioactive interval
  • Directional drilling has often resulted in mineralization intersected at a more favourable and shallower dip
  • Hole AR-19-226c1a was terminated due to deviation in the overburden


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 100% interest in Rook I, location of the Arrow Deposit in the Athabasca Basin, Saskatchewan, Canada and a portfolio of prospective uranium exploration projects throughout northwest Saskatchewan . NexGen is the recipient of the PDAC's 2018 Bill Dennis Award and the 2019 Environmental and Social Responsibility Award.

Technical Disclosure

The technical information in this news release with respect to the PFS has been reviewed and approved by Paul O'Hara , P.Eng. of Wood., David Robson , P.Eng., M.B.A., and Jason Cox , P.Eng. of RPA, each of whom is a "qualified person" under National Instrument 43-101 – Standards of Disclosure for Mineral Projects ("NI-43-101"). 

The Mineral Resource Estimate was completed by Mr. Mark Mathisen , C.P.G., Senior Geologist at RPA and Mr. David Ross , P.Geo., Director of Resource Estimation and Principal Geologist at RPA.  Both are independent Qualified Persons in accordance with the requirements of National Instrument (NI) 43-101 and they have approved the disclosure herein. All other technical information in this news release has been approved by Mr. Troy Boisjoli , Geoscientist Licensee, Vice President – Operations & Project Development for NexGen.  Mr. Boisjoli is a qualified person for the purposes of 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.  All other technical information in this news release has been approved by Mr. James Hatley , a Professional Engineer, Senior Vice-President – Project Development for NexGen.  Mr. Hatley is a qualified person for the purposes of NI 43-101 and has reviewed the underlying the information or opinions contained herein on mine design.

A technical report in respect to the PFS is filed on SEDAR (www.sedar.com) and EDGAR (www.sec.gov/edgar.shtml) and is available for review on NexGen Energy's website (www.nexgenenergy.ca).

SEC Standards

Estimates of mineralization and other technical information included or referenced in this news release have been prepared in accordance with NI 43-101. The definitions of proven and probable mineral reserves used in NI 43-101 differ from the definitions in SEC Industry Guide 7. Under SEC Industry Guide 7 standards, a "final" or "bankable" feasibility study is required to report reserves, the three-year historical average price is used in any reserve or cash flow analysis to designate reserves and the primary environmental analysis or report must be filed with the appropriate governmental authority. As a result, the reserves reported by the Company in accordance with NI 43-101 may not qualify as "reserves" under SEC standards. In addition, the terms "mineral resource", "measured mineral resource", "indicated mineral resource" and "inferred mineral resource" are defined in and required to be disclosed by NI 43-101; however, these terms are not defined terms under SEC Industry Guide 7 and normally are not permitted to be used in reports and registration statements filed with the SEC. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Investors are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted into reserves. "Inferred mineral resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian securities laws, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies, except in rare cases. Additionally, disclosure of "contained pounds" in a resource is permitted disclosure under Canadian securities laws; however, the SEC normally only permits issuers to report mineralization that does not constitute "reserves" by SEC standards as in place tonnage and grade without reference to unit measurements. Accordingly, information contained or referenced in this news release containing descriptions of the Company's mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements of United States federal securities laws and the rules and regulations thereunder.

Technical Information

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 "Arrow Deposit, Rook I Project Saskatchewan NI 43-101 Technical Report on Pre-feasbility Study" dated effective 5 November, 2018 (the "Rook 1 Technical Report") prepared by Paul O'Hara , P.Eng., Jason J. Cox , P.Eng., David M. Robson , P.Eng., M.B.A., Mark B. Mathisen , C.P.G. 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 and EDGAR (www.sec.gov/edgar.shtml) providing 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 and is available on NexGen Energy's website (www.nexgenenergy.ca).

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 4, 2019 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.

NexGen Energy Ltd. (CNW Group/NexGen Energy Ltd.)
Cision

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SOURCE NexGen Energy Ltd.


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