VANCOUVER, June 13, 2016 /CNW/ - NexGen Energy Ltd.
("NexGen" or the "Company") (TSXV:NXE,
OTCQX:NXGEF) is pleased to announce further results from our
ongoing spring drilling program on our 100% owned Rook I Property,
Athabasca Basin,
Saskatchewan.
Drilling at the area 180 m southwest of Arrow has
intersected significant off-scale radioactivity associated with
extensive visible uranium mineralization. All 3 holes in this
area have intersected off-scale mineralization. A total of 11 drill
holes have now encountered mineralization in this area, which
remains open in all directions and has currently established a
strike length of 76 m. Future drilling will be directed to
determine whether this area which is 180 m southwest of Arrow, is
connected to Arrow to the northeast, and the extent of the area
further to the southwest.
Hole AR-16-90c3, which was drilled 74 m up-dip and
southwest of hole AR-16-77c2 (see press release March 30, 2016) has intersected 8.05 m of
total composite off-scale radioactivity (>10,000 to
>61,000 cps) marked by dense accumulations of massive to
semi-massive pitchblende within 68.0 m of total composite
mineralization. Included as part of the 8.05 m of off-scale
mineralization 1.5 m of minimum-greater-than-61,000 cps
including 1.0 m that was continuous. This is the most
significantly mineralized hole to date at this newly identified
area.
In addition, a highly prospective alteration zone that is host
to locally anomalous radioactivity has been identified 230 m below
surface at this new area 180 m southwest of Arrow which represents
a new target for further drilling (see within figure 2 "alteration
zone"). The alteration zone is marked by intense dravite rich
hydrothermal breccias which appear to be similar to those found in
close proximity to the strong uranium mineralization in the higher
grade sub-zone of the A2 shear. Significantly, the down-hole
gamma probe survey completed after drilling AR-16-82c2 identified a
1.3 m long radiometric anomaly (2PGA-1000 model gamma probe)
measuring greater than 1,000 cps to 26,132 cps within the
alteration zone. Only weakly anomalous radioactivity was measured
in the drill core with a handheld RS-120 scintillometer, which did
not correspond to the strong down-hole radiometric anomaly. This
was potentially a result of the wash out of mineralization within
clay alteration. Further work is planned to explain this
discrepancy.
Highlights:
180 m Southwest of Arrow:
- AR-16-90c3 (74 m up-dip and southwest from AR-16-77c2)
intersected 68.0 m of total composite mineralization
including 8.05 m of total composite off-scale radioactivity
(>10,000 – >61,000 cps) within a 125.0 m section (688.0 to
813.0 m).
- AR-16-82c3 (52 m up-dip and northeast from AR-16-77c2)
intersected 26.5 m of total composite mineralization
including 3.8 m of total composite off-scale radioactivity
(>10,000 – >61,000 cps) within a 205.0 m section (606.5 to
811.5 m).
- AR-16-90c2 (39 m up-dip and southwest from AR-16-77c2)
intersected 87.5 m of total composite mineralization of
including 2.2 m of off-scale radioactivity (>10,000 -
52,000 cps) within a 212.0 m section (613.0 to 825.0 m) before the
hole was terminated at 870 m.
Arrow, Activities & Financial:
- The land-based and basement hosted Arrow zone 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 spring 2016 program comprising 7,500 m of drilling
continues with three drill rigs active. Concurrently,
preparations are almost complete for a large summer drill program
to begin in mid-to-late June.
- The Company has cash on hand of approximately $100M upon closing of the previously announced
financing with CEF Holdings.
A drill hole location map is presented in Figure 1, a schematic
long section is shown in Figure 2, and core photos of high grade
mineralization from drill hole AR-16-90c3 are shown in Figures 3
and 4.
Garrett Ainsworth,
Vice-President, Exploration and Development, commented: "The
intense alteration and dense massive to semi-massive mineralization
encountered in drill holes AR-16-82c3 and -90c3 is analogous to the
holes that signalled the beginning of the higher-grade A2
sub-zone. The structural analysis at this southwest zone
supports the potential that it is an extension of the Arrow Deposit
with potential for the presence of another high-grade zone."
Leigh Curyer, Chief Executive Officer, commented: "The area 180
m southwest of Arrow is developing quickly and significantly
expanding the footprint of mineralization at Arrow. One of the
objectives of the summer drilling program commencing in late June,
will focus on this 180 m area southwest of Arrow in both directions
along trend. We estimate a significant amount of drilling is
required until the full extent of mineralization can
determined."
Table 2: 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-16-82c2
|
140
|
-75
|
873.00
|
93.00
|
243.50
|
244.50
|
1.00
|
<500 -
620
|
608.00
|
609.50
|
1.50
|
<500 -
2900
|
615.50
|
617.00
|
1.50
|
<500 -
1500
|
619.50
|
620.00
|
0.50
|
530 -
3900
|
688.00
|
688.50
|
0.50
|
<500 -
3900
|
698.00
|
698.50
|
0.50
|
<500 -
950
|
709.50
|
717.50
|
8.00
|
<500 -
1600
|
730.50
|
731.00
|
0.50
|
<500 -
3500
|
741.50
|
742.00
|
0.50
|
<500 -
5700
|
756.50
|
758.00
|
1.50
|
<500 -
580
|
775.00
|
775.50
|
0.50
|
<500 -
680
|
780.50
|
782.00
|
1.50
|
<500 -
2300
|
821.50
|
824.00
|
2.50
|
<500 -
1700
|
840.00
|
842.00
|
2.00
|
<500 -
580
|
844.50
|
845.00
|
0.50
|
<500 -
600
|
AR-16-82c3
|
140
|
-75
|
834.00
|
93.00
|
606.50
|
607.00
|
0.50
|
<500 -
1700
|
637.50
|
638.50
|
1.00
|
<500 -
2000
|
643.00
|
643.50
|
0.50
|
<500 -
760
|
648.50
|
651.50
|
3.00
|
<500 -
6000
|
663.00
|
664.00
|
1.00
|
<500 -
9400
|
672.00
|
678.00
|
6.00
|
<500 -
61000
|
711.00
|
711.50
|
0.50
|
<500 -
2100
|
718.00
|
719.50
|
1.50
|
<500 -
8400
|
724.00
|
726.00
|
2.00
|
<500 -
30000
|
730.50
|
732.50
|
2.00
|
<500 -
650
|
737.50
|
738.00
|
0.50
|
600 -
2000
|
752.50
|
758.00
|
5.50
|
<500 -
53000
|
795.00
|
795.50
|
0.50
|
<500 -
1000
|
809.50
|
811.50
|
2.00
|
<500 -
2100
|
AR-16-87
|
140
|
-80
|
327.00
|
N/A
|
224.50
|
227.00
|
2.50
|
<500 -
730
|
AR-16-88
|
140
|
-80
|
291.00
|
N/A
|
No Anomalous
Radioactivity
|
AR-16-89
|
140
|
-80
|
336.00
|
N/A
|
277.50
|
278.00
|
0.50
|
<500 -
520
|
282.00
|
285.00
|
3.00
|
<500 -
1200
|
AR-16-90c1
|
140
|
-75
|
879.00
|
N/A
|
699.00
|
699.50
|
0.50
|
<500 -
970
|
725.00
|
725.50
|
0.50
|
<500 -
550
|
728.00
|
732.00
|
4.00
|
<500 -
2500
|
|
|
|
|
|
738.00
|
738.50
|
0.50
|
<500 -
570
|
743.00
|
749.50
|
6.50
|
<500 -
4700
|
785.50
|
792.50
|
7.00
|
<500 -
4500
|
804.50
|
805.00
|
0.50
|
<500 -
900
|
AR-16-90c2
|
140
|
-75
|
870.00
|
N/A
|
613.00
|
616.00
|
3.00
|
<500 -
20000
|
624.50
|
629.00
|
4.50
|
<500 -
1350
|
632.50
|
647.00
|
14.50
|
<500 -
22500
|
661.00
|
669.00
|
8.00
|
<500 -
8300
|
676.50
|
687.50
|
11.00
|
<500 -
8700
|
690.50
|
705.00
|
14.50
|
<500 -
3600
|
709.50
|
716.50
|
7.00
|
<500 -
1600
|
719.50
|
721.00
|
1.50
|
800 -
3500
|
726.00
|
728.50
|
2.50
|
<500 -
800
|
735.50
|
737.00
|
1.50
|
<500 -
2100
|
741.00
|
751.50
|
10.50
|
<500 -
21000
|
762.50
|
763.50
|
1.00
|
<500 -
800
|
774.00
|
777.00
|
3.00
|
530 -
52000
|
801.00
|
801.50
|
0.50
|
550 -
7400
|
808.50
|
811.00
|
2.50
|
<500 -
1000
|
816.00
|
816.50
|
0.50
|
<500 -
520
|
823.50
|
825.00
|
1.50
|
<500 -
3000
|
AR-16-90c3
|
140
|
-75
|
921.00
|
N/A
|
688.00
|
691.50
|
3.50
|
<500 -
1300
|
698.00
|
698.50
|
0.50
|
<500 -
650
|
702.50
|
723.50
|
21.00
|
<500 -
>61000
|
731.00
|
739.50
|
8.50
|
<500 -
22000
|
744.00
|
756.00
|
12.00
|
<500 -
16000
|
759.00
|
763.00
|
4.00
|
<500 -
1200
|
769.50
|
776.50
|
7.00
|
<500 -
3700
|
786.50
|
793.00
|
6.50
|
<500 -
1750
|
808.00
|
813.00
|
5.00
|
<500 -
2400
|
Parameters:
- Maximum internal dilution 2.00 m downhole
- All depths and intervals are meters downhole
- "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
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. All intersections are downhole.
True thicknesses are yet to be determined.
Split core samples will be taken systematically, and intervals
will be submitted to SRC Geoanalytical Laboratories (an SCC ISO/IEC
17025: 2005 Accredited Facility) of Saskatoon for analysis. All samples sent to
SRC will be 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 are analyzed for U3O8 by ICP-OES and
select samples for gold by fire assay. Assay results will be
released when received and after stringent internal QA/QC protocols
are passed.
The technical information in this news release has been approved
by Garrett Ainsworth, P.Geo., Vice
President – Exploration & Development, a qualified person for
the purposes of National Instrument 43- 101 – Standards of
Disclosure for Mineral Projects. Mr. Ainsworth reviewed the data
disclosed in this news release, including the sampling, analytical
and test data underlying the information contained in this news
release.
The mineral resource at the Arrow Deposit was completed by RPA
Inc. and has an effective date of January 14, 2016. The mineral
resource is reported at a cut-off grade of 0.25% U3O8. The cut-off
is based on a long-term uranium price of USD$65/lb U3O8. The mineral resource is
classified into the inferred category based on the CIM Definition
Standards. For details regarding the geology and mineralization of
the Arrow Deposit, the drilling, sampling and analytical procedures
followed and the estimation methodology used in the preparation of
the mineral resources, please refer to the Company's Amended and
Restated News Release dated March 3, 2016, which is available under
the Company's profile on the SEDAR website at www.sedar.com.
ARROW DEPOSIT DRILLING
AR-16-82c2
Hole AR-16-82c2 was a directional hole that departed pilot hole
AR-16-82c1 at 162 m. It tested the A4 shear 35 m up-dip and
northeast of AR-16-77c2 (2.3 m of off-scale radioactivity in the A4
shear; assays pending). Directional drilling was initiated at 286 m
and the A4 shear was intersected at an inclination of -73°.
Basement lithologies were intersected beginning at the top of
the hole and consisted largely of semipelitic gneiss to granofel,
with relatively narrow intervals of pelitic gneiss and mylonite
(the A2 through A4 shears). The hole successfully intersected
anomalous radioactivity in the A4 shear and to the southeast of the
A4 shear that was associated with locally disseminated and fracture
controlled pitchblende mineralization. A total composite
mineralization of 23.0 m was intersected within a 601.5 m section
(243.5 to 845.0 m) before the hole was terminated at 873 m. Of
important note, an extensive zone of hydrothermal alteration marked
by intermittent dravite breccias and strong clay-chlorite
alteration was intersected between 195 and 275 m. This style
of alteration is equivalent to what has been observed immediately
adjacent to high-grade uranium mineralization in the area of the A2
higher grade sub-zone at Arrow.
AR-16-82c3
Hole AR-16-82c3 was a directional hole that departed pilot hole
AR-16-82c2 at 297 m. It tested the A4 shear 52 m up-dip and
northeast of AR-16-77c2. Directional drilling was initiated at 309
m and the A4 shear was intersected at an inclination of -70°.
Basement lithologies were intersected beginning at the top of
the hole and consisted largely of semipelitic gneiss to granofel,
with relatively narrow intervals of pelitic gneiss and mylonite
(the A2 through A4 shears). The hole successfully intersected
anomalous radioactivity in the A4 shear and to the southeast of the
A4 shear that was associated with stringers, disseminated and
fracture controlled pitchblende mineralization. A total composite
mineralization of 26.5 m including 3.8 m of off-scale radioactivity
(>10,000 to >61,000 cps) was intersected within a 205.0 m
section (606.5 to 811.5 m) before the hole was terminated at 855
m.
AR-16-87
Hole AR-16-87 was collared from surface at a steeply angled
orientation (-80°) to the southeast (140°). It was designed to both
test the area of the unconformity and the projection of the
shallow, extensive and highly prospective dravite - clay - chlorite
breccia style alteration intersected in hole AR-16-82c2.
Basement lithologies were intersected beginning at 93.9 m and
consisted largely of semipelitic gneiss. No Athabasca Group
sandstones were intersected. Intermittent weak to strong hematite,
chlorite and clay alteration was intersected throughout the
basement. A total composite mineralization of 2.5 m was intersected
between 224.5 and 227.0 m. The hole was terminated at 327 m.
AR-16-88
Hole AR-16-88 was collared from surface at a steeply angled
orientation (-80°) to the southeast (140°). It was designed to both
test the area of the unconformity and the projection of the
shallow, extensive and highly prospective dravite - clay - chlorite
breccia style alteration intersected in hole AR-16-82c2.
Basement lithologies were intersected beginning at 95.7 m and
consisted largely of intrusive gneiss. No Athabasca Group
sandstones were intersected. Intermittent weak to strong hematite,
chlorite and clay alteration was intersected throughout the
basement. No anomalous radioactivity was encountered before the
hole was terminated at 291 m.
AR-16-89
Hole AR-16-89 was collared from surface at a steeply angled
orientation (-80°) to the southeast (140°). It was designed to both
test the area of the unconformity and the projection of the
shallow, extensive and highly prospective dravite - clay - chlorite
breccia style alteration intersected in hole AR-16-82c2.
Basement lithologies were intersected beginning at 94.1 m and
consisted largely of semipeltic gneiss. No Athabasca Group
sandstones were intersected. Widespread and highly prospective
dravite alteration was intersected between 99.2 and 285.0 m. A
total composite mineralization of 3.5 m was intersected within a
7.5 m section (277.5 to 285.0 m) before the hole was terminated at
336 m.
AR-16-90c1
Hole AR-16-90c1 was a directional hole collared from surface at
an angled orientation (-75°) to the southeast (140° azimuth). It
tested the A4 shear 50 m down-dip and to the southwest from
AR-16-77c2. Directional drilling was initiated at 126 m and the A4
shear was intersected at an angle of -76°.
Basement lithologies were intersected beginning at 94.2 m and
consisted largely of semipelitic gneiss to granofel, intrusive
gneiss and relatively narrow intervals of pelitic gneiss and
mylonite (the A2 through A4 shears). No Athabasca Group
sandstones were intersected. The hole successfully intersected
anomalous radioactivity in the A4 shear that was associated with
disseminated and fracture-hosted pitchblende mineralization. A
total composite mineralization of 19.5 m was intersected within a
106.0 m section (699.0 to 805.0 m) before the hole was terminated
at 879 m.
AR-16-90c2
Hole AR-16-90c2 was a directional hole that departed pilot hole
AR-16-90c1 at a depth of 349 m. It tested the A4 shear 39 m up-dip
and southwest of AR-16-77c2. Directional drilling was initiated at
381 m and the A4 shear was intersected at an inclination of
-69°.
Basement lithologies were intersected beginning at the top of
the hole and consisted largely of semipelitic gneiss to granofel,
with relatively narrow intervals of pelitic gneiss and mylonite
(the A2 through A4 shears). The hole successfully intersected
anomalous radioactivity in the A4 shear and to the southeast of the
A4 shear that was associated with stringers, disseminated and
fracture controlled pitchblende mineralization. A total composite
mineralization of 87.5 m including 2.2 m of off-scale radioactivity
(>10,000 to 52,000 cps) was intersected within a 212.0 m section
(613.0 to 825.0 m) before the hole was terminated at 870 m.
AR-16-90c3
Hole AR-16-90c3 was a directional hole that departed pilot hole
AR-16-90c2 at a depth of 387 m. It tested the A4 shear 74 m up-dip
and southwest of AR-16-77c2. Directional drilling was initiated at
399 m and the A4 shear was intersected at an inclination of
-69°.
Basement lithologies were intersected beginning at the top of
the hole and consisted largely of semipelitic gneiss to granofel,
with relatively narrow intervals of pelitic gneiss and mylonite
(the A2 through A4 shears). The hole successfully intersected
anomalous radioactivity along strike from the A4 shear and to the
southeast of the A4 shear that was associated with semi-massive to
massive veins, breccias, stringers and disseminated pitchblende. A
total composite mineralization of 68.0 m including 8.05 m of
off-scale radioactivity (>10,000 to >61,000 cps) was
intersected within a 125.0 m section (688.0 to 813.0 m) before the
hole was terminated at 921 m. AR-16-90c3 represents the discovery
of a significant high grade mineralization 180 m southwest of
Arrow.
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 highly 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. 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. Rook I also hosts the Bow
Discovery which is 3.7 km along trend and northeast of Arrow and
was made in March 2015.
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
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, the proposed
use of proceeds and planned exploration activities.
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, discretion
in the use of proceeds, 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.