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CVV.V ·

TSX Venture Exchange: CVV {00110144;1}

Corporate Updates

TSX Venture Exchange: CVV

{00110144;1}

NEWS RELEASE

Cameco to Drill West McArthur Project under Option from CanAlaska

Two target areas to be drilled this summer with $1.9 million budget

Vancouver, Canada, May 4, 2017, – CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB:

CVVUF; Frankfurt: DH7N) (“CanAlaska” or the “Company”) is pleased to announce receipt of a

budget from Cameco Corporation (TSX: CCO; NYSE: CCJ) (“Cameco”) for drilling at the West

McArthur uranium project (“Project”). Geophysics and drilling, estimated to cost $1.9 million, will

be carried out this summer on both the Grid 1 and Grid 5 targets using a helicopter supported

team based at Cameco’s nearby majority-owned McArthur River mine.

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May 4, 2017

The Grid 5 program will include a geophysical progr am which will consist of approximately 17

kilometres of grid establishment in advance of 42.2 kilometres of Time Domain

Electromagnetics (TDEM), focused on defining and characterizing potential graphitic conductors

located within the ZTEM conductivity high between L12450E and L13250E (see Figure 1). The

primary objective of the proposed drilling program is to utilize up to three drill-holes and one

offcut (3,400 metres) along Grid 5 to follow-up the results of the TDEM survey.

The second target to be tested this summer is located at Grid 1. This target is a linear magnetic

low that correlates with high conductivity in the ZTEM survey in the vicinity of CanAlaska’s

historical drill hole WMA002. It is planned that at least two new drill holes will be carried out to

test for mineralization at and below the unconformity for a total of approximately 1,900 metres of

drilling. In this area CanAlaska and its former partner MC Resources Canada Ltd (Mitsubishi)

carried out 16,900 metres of drill testing, and identified basement offsets clay alteration and

anomalous uranium mineralization in the sandstone and basement, typical of near known

unconformity uranium deposits.

Cameco is carrying out the current work as part of an option to earn a 60% interest in the West

McArthur project. Cameco has paid CanAlaska an initial $725,000 and has the right to earn a

first stage 30% interest for a $5 million explorati on program within 3 years ($1.1 million to date)

on two separate target areas: Grid 1 and Grid 5. Cameco will then have the right, after a

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May 4, 2017

$500,000 payment, to carry out a further $6.275 million of work on the Project over the following

3 years to earn a further 30% interest and form a Joint Venture (JV) with CanAlaska.

The West McArthur Uranium Project covers 35,830 hectares (88,536 acres) commencing 15

kilometres (9 miles) west of Cameco’s majority-owned McArthur River uranium mine. More

importantly, the Project is immediately adjacent to Cameco’s Fox Lake uranium discovery with

reported inferred resources of approximately 68.1 million lbs based on 387,000 tonnes at 7.99%

U3O8. The Fox lake discovery is within the Read Lake project operated by Cameco (Cameco

78.2%, Areva 21.8%). Further information on Project is available at

http://www.canalaska.com/s/West_McArthur.asp?ReportID=560713.

CanAlaska president Peter Dasler comments, “In this second year of exploration by Cameco on

the West McArthur property, we expect to finally close in on the source of the mineralization that

we identified in past programs. Both of the target areas appear to host large mineralizing

systems and it is encouraging to see the priority that Cameco’s team has given this Project

during challenging times. We are looking forward to the results of this significant drill program.”

About CanAlaska Uranium

CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) holds interests in

approximately 500,000 hectares (1.2 million acres), one of the largest land positions in Canada’s

Athabasca Basin region – the "Saudi Arabia of Uranium.” CanAlaska’s strategic holdings have attracted

major international mining companies Cameco, Deni son, KORES, and KEPCO. CanAlaska is a project

generator positioned for discovery success in the world’ s richest uranium district. For further information

visit www.canalaska.com.

About Cameco Corporation

Further information on Cameco can be found at www.cameco.com.

The qualified technical person for this news release is Dr Karl Schimann, P. Geo, CanAlaska director and

VP Exploration.

On behalf of the Board of Directors

“Peter Dasler”

Peter Dasler, M.Sc., P.Geo.

President & CEO

CanAlaska Uranium Ltd.

Contacts:

Peter Dasler, President

Tel: +1.604.688.3211 x 138

Email: [email protected]

John Gomez, Corporate Development

Tel: +1.604.484.7118

Email: [email protected]

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX

Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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May 4, 2017

Forward-looking information

All statements included in this press release that address activities, event s or developments that the Company

expects, believes or anticipates will or may occur in the future are forward-looking statements. These forward-looking

statements involve numerous assumptions made by the Comp any based on its experience, perception of historical

trends, current conditions, expected future developments and other factors it believes are appropriate in the

circumstances. In addition, these statements involve s ubstantial known and unknown risks and uncertainties that

contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will prove

inaccurate, certain of which are beyond the Company’s control. Readers should not place undue reliance on forward-

looking statements. Except as required by law, the Company does not intend to revise or update these forward-

looking statements after the date hereof or revise them to reflect the occurrence of future unanticipated events.