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Angled drilling intersected one of the best high-grade intervals to date, with 50 meters grading 12.01 percent U3O8 starting at a depth of 435 meters.
Drill Tracker Weekly is not exclusive to Resource Investing News and is published with permission from Mackie Research Capital Corporation. It highlights drilling results in context with our database of over 10,000 drilling and trenching results. The purpose of this report is to highlight drilling and trenching results that stand out from the pack and compare them to their peer group. This report does not constitute initiation of coverage or a recommendation.
NexGen Energy (TSXV:NXE)
Price: $0.71
Market cap:Â $179 million
Cash estimate: $23 million
Project:Â Rook 1
Country:Â Canada
Ownership: 100Â percent
Resources:Â N/A
Project status: Exploration drilling — resource H1/2016
- NexGen Energy announced initial results from the 2015 summer drilling program on the Arrow target on its 100% owned Rook 1 project. The project is located in the southwestern Athabasca Basin, 2.1 kilometres north of Fission Uranium’s (TSX.FCU) Patterson Lake project.
- Angled drilling intersected one of the best high-grade intervals to date with 50.0 metres grading 12.01% U3O8 starting at a depth of 435 metres including 18.0 metres at 20.55% U3O8 and 4.5 metres of 40.64% U3O8. The drilling is clearly defining the centre of gravity of the high-grade core of the deposit. The true width of the steeply dipping zones of basement hosted mineralization in the A2 Shear and A3 shear zone is estimated at 11-27 metres and 30-78 metres respectively.
- The Arrow zone has now been outlined in three separate shear zones with A2 and A3 being the most significant. The total area of the three zones extends over an area of 645 metres by 215 metres with a core strike length of 300 metres. The vertical extent starts at 100 metres depth extending to 920 metres. While drilling to the northeast continues to intersect mineralized intervals, the mineralization to date appears to be pinching out to the northeast. Additional drilling will be required to test the bounds of the zone.
- The Company has expanded its five rig summer program to 30,000 metres drilling program and is now targeting a maiden 43-101 resource by H2/2016. The Company is well financed with $23 million in working capital. Recent drilling at the Bow target 3.7 kilometres to the northeast of Arrow intersected one metre zone of 1.44% U3O8.
- Outside of the key Arrow zone, the summer drill program will include additional drilling in the Bow zone, as well as testing additional EM and radon anomalies. Drilling will also test a ground gravity low at the Spitfire target to the northeast of Bow.
Discovery hole (February 2014): 5.75 metres @ 0.37% U3O8
Current drilling: 50.0 metres @ 12.01% U3O8 including 18.0 metres @ 20.55% U3O8 and 4.5 metres @ 40.64% U3O8
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Risk Analysis
Data contained in DRILL TRACKER WEEKLY is based on early stage exploration activity. The results are obtained at the very early stages of exploration and therefore, individual results may not be reproducible with additional trenching or drilling, nor may the results ultimately lead to the discovery of an economic deposit. Delineation of a resource body requires an extensive data gathering exercise according to guidelines set out in National Instrument 43-101 before investors can be reliably assured of a competent body of mineralization that may be of economic interest. DRILL TRACKER WEEKLY is designed to highlight individual trench or drill results, which stand out as being materially anomalous and are particularly worth of note – a type of early warning flag for a particular property that warrants further attention. Hence, DRILL TRACKER WEEKLY does not provide a recommendation to buy, sell or hold a specific equity – it is an information reference source to help quantify the meaning and relevance of early stage exploration results.
Relevant Disclosures Applicable to: Drill Tracker Weekly
- The research analyst or a member of the research analyst’s household owns and/or has options to acquire shares of the subject issuer. At the date of this release the author, Wayne Hewgill, owns no shares in the companies in this report:
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I, Wayne Hewgill certify that the information in this report is sourced through public documents that are believed to be reliable but accuracy and completeness as represented in this report cannot be guaranteed. The author has not received payment from any of the companies covered in this report. This report makes no recommendations to buy, sell or hold. Each analyst of Mackie Research Capital Corporation whose name appears in this report hereby certifies that (i) the recommendations and opinions expressed in this research report accurately reflect the analyst’s personal views and (ii) no part of the research analyst’s compensation was or will be directly or indirectly related to the specific conclusions or recommendations expressed in this research report.