home Equities T.NXE intersects high-grade mineralization in all 20 A2 and A3 targets from the 2019 feasibility stage drilling program

T.NXE intersects high-grade mineralization in all 20 A2 and A3 targets from the 2019 feasibility stage drilling program

By SightlineU3O8   Posted in Equities
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NexGen Energy Ltd. (“NexGen” or the “Company”) (TSX: NXE, NYSE MKT: NXE) is pleased to report radioactivity for an additional twenty holes comprising 7,969.5 m from the Company’s Feasibility stage drilling program at our 100% owned, Rook I property in the Athabasca Basin Saskatchewan.

Objective I: Conversion of Indicated Mineral Resources to Measured Category

This current phase of the 2019 drilling program is targeting the A2 and A3 High-Grade Domain mine planning sections at a spacing between 9.0 m and 16.7 m. The target spacing incorporates the results of a geostatistical data spacing report compiled by Clayton V. Deutsch from Resource Modeling Solutions based on 189 drill holes, totaling 121,923.15 m, which forms the basis of the Indicated Mineral Resource of 256.6 M lbs at 4.04 % U3O8. All drill holes are collared at a steep inclination, then shallowed out between -55° and -60° before intersecting the target by utilizing the latest in directional drilling technology.

Highlights:

A2 High-Grade Domains and Sub-zone

  • AR-19-229c2 intersected 46.5 m of total composite mineralization including 12.05 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within an 86.0 m section (602.0 to 688.0 m);
  • AR-19-229c4 intersected 39.0 m of total composite mineralization including 8.55 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within an 88.0 m section (578.0 to 666.0 m);
  • AR-19-230c3 intersected 30.5 m of total composite mineralization including 7.55 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 93.0 m section (564.0 to 657.0 m). Additionally, of the 7.55 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-19-235c1 intersected 43.0 m of total composite mineralization including 7.15 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 93.0 m section (517.0 to 610.0 m). Additionally, of the 7.15 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-19-236c2 intersected 26.0 m of total composite mineralization including 6.35 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within an 89.0 m section (579.0 to 668.0 m.

A3 High-Grade Domains

  • AR-19-231c2 intersected 48.0 m of total composite mineralization including 5.75 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 102.0 m section (469.0 to 571.0 m);
  • AR-19-232c3 intersected 26.0 m of total composite mineralization including 5.1 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within an 89.0 m section (560.0 to 649.0 m).

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

Development, Permitting, Appointments, Activities & Financial

  • Expediting Arrow to Feasibility by a 2-stage (10 rig) high density drilling program focused on mine optimization plans based on Measured and Indicated mineral resources.
  • As reported on April 29, 2019, NexGen received acceptance of the Rook I Project Description (Technical Proposal) by the Canadian Nuclear Safety Commission (“CNSC”) and the Saskatchewan Ministry of Environment (“MOE”). The acceptance marked the commencement of an Environmental Assessment (“EA”) on the Rook I Project (the “Project”) in accordance with the requirements of both The Environmental Assessment Act (Province of Saskatchewan) and the Canadian Environmental Assessment Act, 2012 “CEAA 2012” (Government of Canada). The EA is being conducted through a coordinated process between the MOE and the CNSC, which is the Federal life-cycle regulator for all uranium mine and mill projects in Canada. In addition, NexGen filed an Initial Licence Application with the CNSC under the Nuclear Safety and Control Act in order to obtain a Licence to Prepare Site and Construct for the Project.
  • The Company also announces the appointments of Gillian McCombie, Vice President Human Resources and Arthur Lieu, MSc., P.Eng., Vice President Processing and Metallurgy.  Gillian brings over 25 years of experience in human resources in the international mining and telecommunications sectors. Gillian most recently as Vice President Human Resources at Capstone Mining and prior to that with Telus and Placer Dome. Arthur joins NexGen having spent 20 years in mine processing and metallurgy.  Most recently, he was the Chief Metallurgist at Cameco’s Rabbit Lake mill and Orano’s McClean Lake mill.  Arthur holds a Bachelor of Science degree in Chemical Engineering and a Master of Science degree in Geochemistry, with a focus on source-term characteristic of uranium waste rock piles at Cameco Key Lake uranium mine. Mr. Lieu is also trained in Lean Six Sigma Black Belt process improvement and optimization. Mr. Lieu is a registered Professional Engineer (P. Eng) with the Association of Professional Engineers and Geoscientists of Saskatchewan (APEGS).
  • The Company had cash-on-hand of approximately $90 million which fully funds NexGen for all drilling, feasibility and development programs planned this year.

Leigh Curyer, Chief Executive Officer, commented: “These continuing high grade results received from sections of the ore body focused on the mine plan, highlight the extraordinary high grade and robustness of Arrow.  In parallel, the Feasibility-stage engineering, metallurgical and environmental studies are all advancing extremely well, together with permitting and our community programs. I would like to take the opportunity to also welcome Arthur and Gill to the dedicated NexGen team. Two highly experienced and successful professionals in their respective fields joining NexGen at an incredibly exciting time as we begin to see positive signs emerging in the uranium market.”

Troy Boisjoli, Vice-President, Operations and Project Development, commented: “The continuity of mineralization within the high-grade core of Arrow is remarkable and these results highlight the technical advantages at the Arrow Deposit: mineralization hosted within stacked shear system (allowing holes to intersect multiple targets with one drill hole, minimizing total meterage), stable crystalline basement host rock, and extremely high-grades. These high grade results in all twenty holes will be incorporated into an updated Mineral Resource Estimate which will form the basis of the Feasibility Study, scheduled for release in H1 2020.”

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-19-225c3

327

-65

283

N/A

452.5

454

1.5

<500 –  46000

481

481.5

0.5

<500 –  800

488

490

2

<500 –  700

494.5

498

3.5

<500 –  1050

501

501.5

0.5

<500 –  1200

586.5

602

15.5

<500 –  61000

610

610.5

0.5

<500 –  550

615.5

618.5

3

<500 –  1800

AR-19-229c1

327

-65

693

132.8

473

475

2

<500 –  1200

480.5

481

0.5

<500 –  600

488.5

489

0.5

1000 –  13000

495

495.5

0.5

<500 –  1240

501

502

1

<500 –  41500

504.5

509

4.5

<500 –  20200

511.5

513

1.5

<500 –  4000

516.5

520

3.5

<500 –  19800

522.5

533

10.5

<500 –  61000

535.5

538.5

3

<500 –  49000

543.5

546.5

3

<500 –  61000

549.5

550

0.5

1230 –  61000

570

570.5

0.5

<500 –  540

628.5

634

5.5

<500 –  61000

638

638.5

0.5

<500 –  610

642

645.5

3.5

<500 –  61000

651

675.5

24.5

<500 –  61000

AR-19-229c2

327

-65

309

N/A

494.5

495

0.5

<500 –  700

500.5

501

0.5

<500 –  2150

505

505.5

0.5

<500 –  680

508

508.5

0.5

<500 –  31000

514

514.5

0.5

<500 –  9400

517.5

519

1.5

<500 –  6000

524.5

525.5

1

<500 –  4000

530

536.5

6.5

<500 –  8590

541.5

542.5

1

580 –  52500

545

545.5

0.5

<500 –  3200

550.5

562.5

12

<500 –  61000

574.5

577

2.5

<500 –  2000

625

671.5

46.5

<500 –  61000

AR-19-229c3

327

-65

240

N/A

494.5

496

1.5

<500 –  14900

502

503

1

<500 –  53300

506.5

507.5

1

<500 –  19500

510

510.5

0.5

<500 –  800

513.5

514

0.5

<500 –  1100

517

518

1

<500 –  12100

522

524.5

2.5

<500 –  2800

529

531

2

<500 –  32600

539.5

541.5

2

<500 –  14100

544.5

549.5

5

<500 –  47900

558

561

3

<500 –  61000

563.5

565

1.5

<500 –  14000

571

573

2

<500 –  2100

579

586

7

<500 –  1500

592.5

594.5

2

<500 –  610

629.5

645.5

16

<500 –  61000

648

651.5

3.5

<500 –  4400

654

680

26

<500 –  61000

683

683.5

0.5

<500 –  1350

705

707

2

<500 –  930

711.5

718

6.5

<500 –  1300

AR-19-229c4

327

-65

465

N/A

404

405.5

1.5

<500 –  600

415.5

416

0.5

<500 –  820

464

466

2

<500 –  3150

471.5

472.5

1

<500 –  2300

480

486.5

6.5

<500 –  61000

489

489.5

0.5

<500 –  1300

494

499

5

<500 –  18600

501.5

505

3.5

<500 –  32000

508.5

510.5

2

<500 –  43000

516.5

531.5

15

<500 –  39000

613.5

652.5

39

<500 –  61000

AR-19-230c1

327

-65

651.5

128.35

499

499.5

0.5

<500 –  4800

502

502.5

0.5

<500 –  1200

515.5

522

6.5

<500 –  3200

524.5

532.5

8

<500 –  1700

566

566.5

0.5

<500 –  550

571

572

1

<500 –  1300

577

598.5

21.5

<500 –  61000

603

605.5

2.5

<500 –  1200

608

608.5

0.5

<500 –  1650

611

611.5

0.5

<500 –  1160

622

628.5

6.5

<500 –  1800

631.5

632

0.5

<500 –  6600

AR-19-230c2

327

-65

252.5

N/A

484

484.5

0.5

<500 –  750

496.5

501

4.5

<500 –  50200

522.5

523

0.5

<500 –  575

552

556.5

4.5

<500 –  740

559

563

4

<500 –  1400

570.5

572

1.5

<500 –  620

586

609.5

23.5

<500 –  61000

613.5

614.5

1

<500 –  3200

617

618

1

<500 –  750

621.5

630

8.5

<500 –  15600

636

636.5

0.5

<500 –  970

AR-19-230c3

327

-65

234

N/A

458

458.5

0.5

<500 –  1030

461.5

463.5

2

<500 –  820

474.5

475

0.5

<500 –  680

487

487.5

0.5

<500 –  910

504

504.5

0.5

<500 –  1030

521.5

524

2.5

<500 –  730

561.5

562.5

1

<500 –  1310

567.5

568

0.5

<500 –  510

592

614.5

22.5

<500 –  61000

619.5

623.5

4

<500 –  1280

626.5

628.5

2

<500 –  14500

654.5

655

0.5

<500 –  540

AR-19-231c1

327

-65

564.5

138

466

470.5

4.5

<500 –  14000

487.5

488

0.5

<500 –  500

497

505

8

<500 –  46000

510.5

511

0.5

<500 –  900

515.5

528

12.5

<500 –  58000

AR-19-231c2

327

-65

222.5

N/A

467.5

472.5

5

<500 –  38000

480.5

481

0.5

500 –  7500

485

488

3

<500 –  2700

491

493.5

2.5

<500 –  3100

498.5

499

0.5

500 –  6200

505.5

546.5

41

<500 –  61000

555

555.5

0.5

<500 –  770

AR-19-231c3

327

-65

261.5

N/A

505.5

506

0.5

<500 –  2100

509

523.5

14.5

<500 –  61000

527

528

1

<500 –  650

535.5

557

21.5

<500 –  61000

559.5

560.5

1

<500 –  1400

567.5

568

0.5

<500 –  560

571

571.5

0.5

<500 –  1100

AR-19-232c1

327

-65

642.5

138.8

211.5

212

0.5

<500 –  650

477.5

481.5

4

<500 –  2200

485.5

486.5

1

<500 –  600

493

494

1

<500 –  1700

506.5

507.5

1

<500 –  1450

517

520

3

<500 –  12000

534

537

3

<500 –  24000

544

544.5

0.5

2200 –  51000

548

552

4

<500 –  5300

563.5

565

1.5

<500 –  44000

568

570

2

<500 –  5700

574

574.5

0.5

<500 –  1800

577

577.5

0.5

<500 –  680

580.5

598

17.5

<500 –  23000

601

604

3

<500 –  3600

607.5

609.5

2

<500 –  1200

AR-19-232c2

327

-65

278.5

N/A

454.5

458

3.5

<500 –  2100

486

486.5

0.5

<500 –  660

492

495

3

<500 –  960

516

518.5

2.5

<500 –  7500

531.5

534.5

3

<500 –  14100

539.5

540

0.5

<500 –  5700

550

553

3

<500 –  61000

556

556.5

0.5

<500 –  1350

560.5

564

3.5

<500 –  39000

571

571.5

0.5

<500 –  720

574.5

594

19.5

<500 –  14200

599.5

600

0.5

<500 –  860

AR-19-232c3

327

-65

294.5

N/A

473

473.5

0.5

<500 –  620

483.5

484

0.5

<500 –  840

492

493.5

1.5

<500 –  2100

504.5

505.5

1

<500 –  960

519.5

520

0.5

<500 –  600

530

531.5

1.5

<500 –  31000

552

560.5

8.5

<500 –  61000

563

569.5

6.5

<500 –  17200

572

575.5

3.5

<500 –  15700

580.5

581

0.5

<500 –  690

589

592

3

<500 –  54600

599

599.5

0.5

<500 –  840

606

617.5

11.5

<500 –  61000

620

620.5

0.5

<500 –  1900

AR-19-233c3

327

-65

276.5

N/A

451

456.5

5.5

<500 –  980

459

466

7

<500 –  1500

468.5

469

0.5

<500 –  550

483

490

7

<500 –  43700

498.5

510.5

12

<500 –  17200

514

517.5

3.5

<500 –  1700

520.5

523.5

3

<500 –  3200

536.5

540

3.5

<500 –  1600

542.5

543

0.5

<500 –  600

AR-19-234c1

327

-65

522

127.5

472

491

19

<500 –  61000

AR-19-234c2

327

-65

177

N/A

471.5

503.5

32

<500 –  61000

AR-19-235c1

327

-65

620

132.7

425.5

427

1.5

<500 –  950

440.5

441.5

1

<500 –  4500

452.5

453.5

1

<500 –  660

456.5

462

5.5

<500 –  1300

478.5

479

0.5

<500 –  1400

492.5

509.5

17

<500 –  4500

526

526.5

0.5

<500 –  1200

534

534.5

0.5

<500 –  520

547.5

548

0.5

<500 –  510

563

585

22

<500 –  61000

588.5

590.5

2

<500 –  36000

605.5

606

0.5

<500 –  550

AR-19-236c1

327

-65

660.5

133.95

465

466.5

1.5

<500 –  17500

478.5

479

0.5

<500 –  510

500.5

501

0.5

<500 –  2200

503.5

504

0.5

<500 –  1060

515.5

521.5

6

<500 –  27500

525

525.5

0.5

510 –  1050

529.5

530

0.5

<500 –  630

586.5

587

0.5

<500 –  530

597

597.5

0.5

<500 –  780

600.5

619.5

19

<500 –  61000

624

624.5

0.5

<500 –  850

628.5

629.5

1

<500 –  1200

633.5

634

0.5

<500 –  760

637.5

642

4.5

<500 –  1650

660

660.5

0.5

<500 –  1070

AR-19-236c2

327

-65

321.5

N/A

457

457.5

0.5

<500 –  5000

465

465.5

0.5

<500 –  1170

468.5

469

0.5

<500 –  2650

472.5

474

1.5

<500 –  1300

478

478.5

0.5

<500 –  510

486.5

487.5

1

<500 –  3330

494

494.5

0.5

<500 –  1100

497

497.5

0.5

<500 –  710

502

502.5

0.5

<500 –  1330

509

519

10

<500 –  3770

522.5

530

7.5

<500 –  8900

573

573.5

0.5

<500 –  520

588

589

1

<500 –  610

600

601

1

<500 –  800

608.5

609

0.5

<500 –  510

613

617.5

4.5

<500 –  61000

621

629.5

8.5

<500 –  61000

639

642

3

<500 –  5700

645

650.5

5.5

<500 –  7700

653.5

654

0.5

<500 –  510

669.5

671

1.5

<500 –  5200

* Scroll to the right to see the table data.

 

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

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 discovered in February 2014, the Bow discovery in March 2015, the Harpoon discovery in August 2016 and the Arrow South discovery in July 2017. 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.

Source: NexGen Energy Ltd.