VANCOUVER, Sept. 6, 2016 /CNW/ - NexGen Energy Ltd. ("NexGen" or the "Company") (TSX:NXE, OTCQX:NXGEF) is pleased to report radioactivity results from eight holes from our on-going summer drilling program on our 100% owned, Rook I property, Athabasca Basin, Saskatchewan.

Drilling at the Arrow Deposit continues to intersect extensive off-scale radioactivity in the higher grade A2 sub-zone (the "Sub-Zone"). Highlighting this batch of results, scissor hole AR-16-98c2 which was drilled towards the northwest and collared at the southeast, intersected 85.0 m of total composite mineralization including dense accumulations of massive pitchblende largely outside the margin of the A2 High Grade Domain.  This hole intersected 10.05 m of off-scale radioactivity including 5.75 m of minimum-greater-than-61,000 cps radioactivity of which 4.5 m was continuous.

Additionally, holes AR-16-92c3 and -93c2 drilled significant intervals of massive to semi-massive pitchblende in the A2 shear.  These holes, and the others reported in this news release, are expected to provide for further definition of the A2 High Grade Domain.   

Furthermore, drilling in the new high grade zone within the A1 shear continues to return strong visible uranium mineralization where AR-16-98c1 intersected 44.5 m of total composite mineralization including 9.45 m of off-scale radioactivity making it the most strongly mineralized hole drilled into the A1 shear to date.

Highlights:

A2 Sub-Zone

• Scissor hole AR-16-98c2 (70 m up-dip from AR-15-44b) intersected 85.0 m of total composite mineralization including 10.05 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 128.0 m section (414.0 to 542.0 m), and featured 5.75 m of minimum-greater-than-61,000 cps in the Sub-Zone, 4.5 m of which was continuous.
• Scissor hole AR-16-93c2 (109 m up-dip and northeast from AR-15-44b) intersected 69.5 m of total composite mineralization including 11.15 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 98.0 m section (427.0 to 525.0 m) and featured 1.5 m of minimum-greater-than-61,000 cps in the Sub-Zone.
• AR-16-92c3 (91 m down-dip and southwest from AR-15-44b) intersected 49.5 m of total composite mineralization including 10.8 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 109.0 m section (531.0 to 640.0 m), and featured 2.3 m of minimum-greater-than-61,000 cps in the Sub-Zone.

A1 Shear

• Scissor hole AR-16-98c1 (16 m southwest of AR-16-84c1) intersected 44.5 m of total composite mineralization including 9.45 m of total composite off-scale radioactivity (>10,000 to >61,000 cps) within a 134.0 m section (570.5 to 704.5 m) in the A1 shear.

Table 1: Higher Grade A2 Sub-Zone Angled Drill Holes

Activities & Financial

• The land-based and basement hosted Arrow Deposit currently covers an area of 870 m by 300 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 continuing with seven drill rigs active.  
• The Company has cash on hand of approximately $90 million.

A drill hole location map and an A2 long section featuring the A2 High Grade Domain are shown in Figures 1 and 2.

Garrett Ainsworth, Vice-President, Exploration and Development, commented: "These latest drill results show that Arrow continues to develop at a rapid pace with infill drilling confirming the strength of the mineralizing system across the Arrow deposit. The Sub-Zone continues to deliver strong results with scissor hole -98c2 providing the second largest amount of minimum-greater-than-61,000 cps radioactivity which is only surpassed by the best hole at Arrow; hole AR-16-63c2.  Furthermore, the high-grade area of the A1 shear continues to develop rapidly with hole -98c1 being our best hole in the A1 to date."

Leigh Curyer, Chief Executive Officer, commented: "Infill drilling at Arrow continues to both confirm the continuity of grade and thickness of the deposit, especially within the A2 High Grade Domain as well as expanding the known area of mineralization.  In addition to Arrow, regional drilling this summer has already successfully led to a significant new mineral discovery 4.7 km northeast of Arrow called Harpoon which we continue to drill test along with regional targets to the southwest of Arrow along the Patterson Corridor."

Table 2: Arrow Deposit Drill Hole Data

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

ARROW DEPOSIT DRILLING

AR-16-92c2

Hole AR-16-92c2 was a directional hole that departed pilot hole AR-16-92c1 at a depth of 213 m. It tested the A2 shear 21 m down-dip and northeast of AR-16-92c1 (9.5 m of off-scale radioactivity in the A2; assays pending) and the A3 shear 26 m down-dip and northeast of the same hole. Directional drilling was initiated at 228 m. The A2 and A3 shears where intersected at inclinations of -63° and -69°, respectively.

Basement lithologies were intersected beginning at the top of the hole and consisted largely of semipelitic gneiss to granofel and relatively narrow intervals of pelitic gneiss and mylonite (the A2 through A5 shears).  Anomalous to strongly anomalous radioactivity was intersected in the A2 through A5 shears in association with semi-massive veins, stringers, disseminated and fracture-controlled pitchblende mineralization. A total composite mineralization of 126.0 m including 3.95 m of off-scale radioactivity (>10,000 to >61,000 cps) was intersected within a 448.0 m section (562.0 to 1010.0 m). In the A2 shear, 40.0 m of composite mineralization including 2.9 m of off-scale radioactivity was intersected. In the A3 shear, 23.0 m of composite mineralization was intersected. In the A4 shear, 40 m of composite mineralization including 0.3 m of off-scale radioactivity was intersected. In the A5 shear, 23.0 m of composite mineralization including 0.75 of off-scale radioactivity was intersected. The hole was terminated at 1050 m.

AR-16-92c3

Hole AR-16-92c3 was a directional hole that departed pilot hole AR-16-92c3 at a depth of 231 m. It tested the A2 shear 27 m southwest of AR-16-92c1 and the A3 shear 38 m northeast of the same hole. Directional drilling was initiated at 243 m. The A2 and A3 shears where intersected at inclinations of -61° and -62°, respectively.

Basement lithologies were intersected beginning at the top of the hole and consisted largely of semipelitic gneiss to granofel and relatively narrow intervals of pelitic gneiss and mylonite (the A2 through A5 shears). Anomalous to strongly anomalous radioactivity was intersected in the A2 through A5 shears in association with semi-massive veins, stringers, disseminated and fracture-controlled pitchblende mineralization. A total composite mineralization of 87.25 m including 11.05 m of off-scale radioactivity (>10,000 to >61,000 cps) was intersected within a 369.0 m section (531.0 to 900.0 m). In the A2 shear, 49.5 m of composite mineralization including 10.8 m of off-scale radioactivity was intersected featuring 2.3 m at a minimum exceeding 61,000 cps. In the A3 shear, 21.75 m of composite mineralization including 0.05 m of off-scale radioactivity was intersected. the A4 shear, 12.0 m of composite mineralization including 0.1 m of off-scale radioactivity was intersected. the A5 shear, 4.0 m of composite mineralization including 0.1 m of off-scale radioactivity was intersected. The hole was terminated at 900 m.

AR-16-92c4

Hole AR-16-92c4 was a directional hole that departed pilot hole AR-16-92c3 at a depth of 246 m. It tested the A2 shear 44 m down-dip of AR-16-92c1 and the A3 shear 51 m down-dip of the same hole. Directional drilling was initiated at 307 m. The A2 and A3 shears were intersected at inclinations of -65° and -64°, respectively.

Basement lithologies were intersected beginning at the top of the hole and consisted largely of semipelitic gneiss to granofel and relatively narrow intervals of pelitic gneiss and mylonite (the A2 through A5 shears). Anomalous to strongly anomalous radioactivity was intersected in the A2 through A5 shears in association with semi-massive veins, stringers, disseminated and fracture-controlled pitchblende mineralization. A total composite mineralization of 138.5 m including 5.6 m of off-scale radioactivity (>10,000 to >61,000 cps) was intersected within a 473.5 m section (538.0 to 1011.5 m). In the A2 shear, 39.5 m of composite mineralization including 2.25 m of off-scale radioactivity was intersected. In the A3 shear, 44.5 m of composite mineralization including 1.45 m of off-scale radioactivity was intersected. In the A4 shear, 33.0 m of composite mineralization was intersected. In the A5 shear, 21.0 m of composite mineralization including 1.90 m of off-scale radioactivity was intersected. The hole was terminated at 1041 m.

AR-16-93c1

Hole AR-16-93c1 was a directional hole collared from surface at an angled orientation (-69°) to the northwest (327° Azimuth). It was designed as a scissor hole to both verify the thickness of near vertically dipping mineralization in the A2 shear and to test the A1 shear in an area of very little drilling. Directional drilling was initiated at 201 m. The A1 and A2 shears were both intersected at an inclination of -67°.

The hole intersected heavily bleached and desilicified Athabasca Group sandstones between 123.0 m and the unconformity at 138.0 m. Basement lithologies consisted largely of semipelitic gneiss to granofel and relatively narrow intervals of pelitic gneiss and mylonite (the A1 through A3 shears). The hole successfully intersected highly anomalous radioactivity in the A1 and A2 shears that was associated with semi-massive to massive veins, chemical solution fronts, blebs and flecks of pitchblende. A total composite mineralization of 96.0 m including 6.75 m of off-scale radioactivity (>10,000 to >61,000 cps) was intersected within a 329.5 m section (420.0 to 749.5 m). In the A1 shear, 29.5 m of mineralization was intersected. In the A2 shear, 63.0 m of composite mineralization including 6.75 m of off-scale radioactivity was intersected. In addition, 3.5 m of mineralization was intersected to the northwest of the A1 shear. The hole was terminated at 849 m.

AR-16-93c2

Hole AR-16-93c2 was a directional hole that departed pilot hole AR-16-93c1 at a depth of 204 m. It was designed as a scissor hole to both verify the thickness of near vertically dipping mineralization in the A2 shear and to test the A1 shear in an area of very little drilling. Directional drilling was initiated at 216 m. The A1 and A2 shears were intersected at inclinations of -68° and -69°, respectively.

Basement lithologies were intersected beginning at the top of the hole and consisted largely of semipelitic gneiss to granofel and relatively narrow intervals of pelitic gneiss and mylonite (the A1 through A3 shears).  The hole successfully intersected highly anomalous radioactivity in the A1 through A3 shears that was associated with semi-massive to massive veins, chemical solution fronts, blebs and flecks of pitchblende. A total composite mineralization of 109.5 m including 14.6 m of off-scale radioactivity (>10,000 to >61,000 cps) was intersected within a 335 m section (400.5 to 736.5 m). In the A1 shear, 35.5 m of mineralization including 3.45 m of off-scale radioactivity was intersected. In the A2 shear, 69.5 m of composite mineralization including 11.15 m of off-scale radioactivity was intersected. In the A3 shear, 2.5 m of composite mineralization was intersected. In addition, 2.0 m of mineralization was intersected to the northwest of the A1 shear. The hole was terminated at 834 m.

AR-16-96c1

Hole AR-16-93c1 was a directional hole collared from surface at an angled orientation (-73°) to the southeast (147° Azimuth). It tested the A2 shear 25 m down-dip of AR-16-78c4 (17.60% U3O8 over 37.5 m in the A2 shear) and the A3 shear 22 m down-dip and southwest of AR-15-43a. Directional drilling was initiated at 291 m. The A2 and A3 shears were intersected at inclinations of -70° and -71°, respectively.

The hole intersected bleached Athabasca Group sandstones between 105.0 m and the unconformity at 108.0 m. Basement lithologies consisted largely of semipelitic gneiss to granofel and relatively narrow intervals of pelitic gneiss and mylonite (the A1 through A4 shears). Anomalous to strongly anomalous radioactivity was intersected in the A1 through A4 shears in association with semi-massive veins, stringers, disseminated and fracture-controlled pitchblende mineralization. A total composite mineralization of 131.5 m including 10.2 m of off-scale radioactivity (>10,000 to >61,000 cps) was intersected within a 566.5 m section (398.5 to 965.0 m). In the A1 shear, 10.5 m of composite mineralization was intersected. In the A2 shear, 106.5 m of composite mineralization including 10.2 m of off-scale radioactivity was intersected. In the A3 shear, 13.5 m of composite mineralization was intersected. In the A4 shear, 1.0 m of composite mineralization was intersected. The hole was terminated at 1026 m.

AR-16-98c1

Hole AR-16-98c1 was a directional hole collared from surface at an angled orientation (-73°) to the northwest (327° Azimuth). It was designed as a scissor hole to both verify the thickness of near vertically dipping mineralization in the A2 shear and to test the A1 shear in the area of AR-16-84c1 (2.13% U3O8 over 28.5 m and 0.98% U3O8 over 18.0 m). Directional drilling was initiated at 249 m. The A1 and A2 shears were intersected at -69° and -72°, respectively.

The hole intersected heavily bleached and desilicified Athabasca Group sandstones between 110.6 m and the unconformity at 130.6 m. Basement lithologies consisted largely of semipelitic gneiss to granofel and relatively narrow intervals of pelitic gneiss and mylonite (the A1 and A3 shears). The hole successfully intersected highly anomalous radioactivity in the A1 and A2 shears that was associated with semi-massive to massive veins, chemical solution fronts, blebs and flecks of pitchblende. A total composite mineralization of 125.0 m including 15.85 m of off-scale radioactivity (>10,000 to >61,000 cps) was intersected within a 492.5 m section (386.5 to 747.5 m). In the A2 shear, 80.0 m of composite mineralization including 6.4 m of off-scale radioactivity was intersected. In the A1 shear, 43.0 m of composite mineralization including 9.45 m of off-scale radioactivity was intersected. In addition, 2.0 m of mineralization was intersected northwest of the A1 shear. The hole was terminated at 804 m.

AR-16-98c2

Hole AR-16-98c2 was a directional hole that departed pilot hole AR-16-98c1 at a depth of 255 m. It was designed as a scissor hole to both verify the thickness of near vertically dipping mineralization in the A2 shear and to test the A1 shear in the area of AR-16-84c1. Directional drilling was initiated at 273 m. The A1 and A2 shears were both intersected at an inclination of -72°.

Basement lithologies were intersected beginning at the top of the hole and consisted largely of semipelitic gneiss to granofel and relatively narrow intervals of pelitic gneiss and mylonite (the A1 through A3 shears).  The hole successfully intersected highly anomalous radioactivity in the A1 and A2 shears that was associated with semi-massive to massive veins, chemical solution fronts, blebs and flecks of pitchblende. A total composite mineralization of 110.0 m including 10.05 m of off-scale radioactivity (>10,000 to >61,000 cps) was intersected within a 394.5 m section (414.0 to 808.5 m). In the A1 shear 18.5 m of composite mineralization was intersected. In the A2 shear, 85.0 m of composite mineralization including 10.05 m of off-scale radioactivity was intersected. Mineralization in the A2 featured dense accumulations of massive pitchblende and 5.75 m at a minimum radioactivity exceeding 61,000 cps, 4.5 m of which was continuous. In addition, 6.5 m of mineralization was intersected to the northwest of the A1 shear. The hole was terminated at 923 m.

Technical Information

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.

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 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, Bow Discovery in March 2015 and Harpoon Discovery in August 2016. 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.

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.

Image with caption: "Figure 1: Arrow Deposit Drill Hole Location (CNW Group/NexGen Energy Ltd.)". Image available at: http://photos.newswire.ca/images/download/20160906_C3331_PHOTO_EN_765569.jpg

Image with caption: "Figure 3: A2 Mineralized Shear Long Section (Close Up of the A2 High Grade Domain) (CNW Group/NexGen Energy Ltd.)". Image available at: http://photos.newswire.ca/images/download/20160906_C3331_PHOTO_EN_765571.jpg