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NexGen Drills Massive Pitchblende at South Arrow

Corporate Updates

NexGen Drills Massive Pitchblende at South Arrow

Vancouver, BC, October 18, 2017 – NexGen Energy Ltd . (“NexGen” or the “Company”) (TSX:NXE,

NYSEMKT:NXE) is pleased to report radioactivity results for sixteen holes from South Arrow as part of our on-

going summer drilling program on our 100% owned, Rook I property, in the Athabasca Basin, Saskatchewan.

South Arrow

Aggressive step out drilling at the recently discov ered South Arrow has intersected significant off-scale

radioactivity in multiple holes , and has extended the strike length and vertical extent of high grade

mineralization to 240 m and 185 m , respectively . High grade uranium mineralization occurs as accumulations

of semi-massive to massive pitchblende similar to that seen in the High Grade Domains of the Arrow Deposit.

• AR-17-166c1 (250 m up-dip and southwest of discovery hole AR-17-151c1) intersected 41.0 m of total

composite mineralization including 6.2 m of total composite off-scale radioactivity (>10,000 to

>61,000 cps) within a 54.0 m section (182.5 to 236. 5 m). This is the shallowest significant off-scale

mineralization encountered anywhere on the Rook I property .

• AR-17-160c1 (203 m up-dip and southwest of discovery hole AR-17-151c1) intersected 30.0 m of

total composite mineralization including 3.5 m of total composite off-scale radioactivity (>10,000

to >61,000 cps) within a 157.0 m section (192.0 to 349.0 m).

• AR-17-163c1 (190 m up-dip and southwest of discovery hole AR-17-151c1) intersected 23.0 m of total

composite mineralization including 2.2 m of total composite off-scale radioactivity (>10,000 to

>61,000 cps) within a 109.5 m section (162.5 to 272.0 m).

Two diamond drill rigs remain in operation at South Arrow as the Company continues to aggressively and

systematically test this encouraging new zone. A total of eighteen assays remain pending.

A South Arrow longitudinal section and plan map with drill hole locations are shown in Figures 1 and 2.

Garrett Ainsworth, Vice-President, Exploration and Development, commented: “Drill hole AR-17-160c1

represents a highly successful 203 m step out to the southwest from the initial discovery hole at South Arrow.

The ability to hit high grade mineralization on an aggressive step out of this distance has been a com mon

characteristic of the Arrow Deposit, which is locat ed 400 m to the north of South Arrow on a separate

conductor. South Arrow contains a broad alteration halo that surrounds multiple parallel stacked mineralized

zones, which are two important features observed at the Arrow Deposit. Hole AR-17-166c1 at South Arro w

has encountered the shallowest significant high gra de mineralization anywhere on the Rook I property t o

date.”

Leigh Curyer, Chief Executive Officer, commented: “ The scale of these South Arrow results are very exc iting

considering its very early in the discovery stage. They are unprecedented on the Rook I property and highlight

the vast discovery potential of our dominant portfolio in the Southwest Athabasca Basin. An additional 5,000m

of drilling has been allocated to South Arrow before the conclusion of the 2017 drilling program.”

Figure 1: South Arrow Mineralized Long Section

Figure 2: South Arrow Drill Hole Locations

Table 1: South Arrow Drill Hole Data

Drill Hole

Athabasca

Group -

Basement

Unconformity

Depth (m)

Handheld Scintillometer Results (RS-120)

Hole ID

Azimuth

(From

Surface)

Dip

(From

Surface)

Total

Depth

(m)

From (m) To (m) Width (m) CPS Range

AR-17-151c3 327 -70 405.00 103.30 280.5 281.5 1 <500 - 18000

290.5 292.5 2 <500 - 980

AR-17-152c1 327 -70 456.50 96.40 294.5 296 1.5 <500 - 1000

302.5 303 0.5 <500 - 810

AR-17-152c2 327 -70 540.50 96.40 333 337.5 4.5 <500 - 3300

341 342 1 <500 - 860

387.5 388 0.5 <500 - 520

405.5 406 0.5 <500 - 520

470.5 471 0.5 <500 - 540

481 482 1 <500 - 2200

AR-17-153c1 327 -67 546.00 97.80 373 373.5 0.5 500 - 3000

388.5 389 0.5 <500 - 730

391.5 393.5 2 <500 - 1100

414 417 3 <500 - 21000

454.5 455 0.5 <500 - 750

AR-17-153c2 327 -67 558.50 97.80 411 420 9 <500 - 6300

AR-17-157c1 327 -70 597.50 N/A 385 385.5 0.5 <500 - 530

388.5 389 0.5 <500 - 1300

396 396.5 0.5 <500 - 540

488 488.5 0.5 <500 - 530

528 528.5 0.5 <500 - 570

531.5 532 0.5 <500 - 800

AR-17-157c2 327 -70 639.00 N/A 400.5 402 1.5 <500 - 900

535.5 536 0.5 <500 - 700

543 544.5 1.5 <500 - 1800

547 548 1 <500 - 780

561.5 564.5 3 <500 - 680

577.5 579 1.5 <500 - 2690

AR-17-158c1 327 -70 600.00 N/A 438.5 439 0.5 <500 - 610

445 445.5 0.5 <500 - 950

452.5 460.5 8 <500 - 1750

AR-17-158c2 327 -70 579.50 N/A 486.5 488.5 2 <500 - 1450

496 497 1 <500 - 800

522.5 523 0.5 <500 - 600

AR-17-160c1 327 -68 393.00 97.60 192 211 19 <500 - 48000

223.5 233.5 10 <500 - >61000

241.5 242 0.5 <500 - 530

348.5 349 0.5 <500 - 3600

AR-17-162c1 315 -68 442.50 96.80 145 145.5 0.5 <500 - 1100

156 162 6 <500 - 56000

178.5 179 0.5 <500 - 970

199 200 1 <500 - 2200

254.5 256.5 2 <500 - 15000

AR-17-163c1 315 -68 438.00 96.15 162.5 163 0.5 <500 - 810

241.5 262.5 21 <500 - >61000

270.5 272 1.5 <500 - 4650

AR-17-165c1 315 -80 249.00 91.40 116 118 2 <500 - 5800

AR-17-166c1 310 -70 303.00 N/A 182.5 200.5 18 <500 - 42200

213.5 236.5 23 <500 - >61000

AR-17-168c1 315 -68 471.00 N/A 315 316.5 1.5 <500 - 2700

AR-17-169c1 315 -68 345.00 N/A 134.5 135 0.5 <500 - 630

138.5 144 5.5 <500 - >61000

152 153.5 1.5 <500 - 15000

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

South Arrow Drilling

AR-17-151c3

Hole AR-17-151c3 was a directional hole that depart ed pilot hole AR-17-151c1 at a depth of 123 m. It w as

designed to test the South Arrow zone 30 m above AR-17-151c1. Directional drilling was initiated at 144 m and

the mineralized horizons were intersected at an inclination of -61°. Basement lithologies were intersected from

the top of hole and dominantly consisted of semi-pelitic gneiss and orthogneiss of variable composition. Several

broad deformation zones were encountered throughout. Extensive zones of hydrothermal alteration were also

intersected which generally consisted of replacemen t- and hydrothermal breccia-style clay, chlorite an d

silicification. The hole intersected visible disseminated, and foliation-controlled pitchblende mineralization in

close association with deformation and hydrothermal alteration. A total composite mineralization of 3. 0 m

including 0.15 m of off-scale radioactivity (>10,00 0 to 18,000 cps) was intersected within a 12.0 m se ction

(280.5 to 292.5 m) before the hole was terminated at 405 m.

AR-17-152c1

Hole AR-17-152c1 was a directional hole collared from surface at an angled orientation (-70°) to the northwest

(327° azimuth). It was designed to test the South A rrow zone 40 m southwest of AR-17-151c1. Directiona l

drilling was initiated at 132 m and the mineralized horizons were intersected at an inclination of -58°. The hole

intersected Athabasca Group sandstones between 91.3 m and the unconformity at 96.4 m. Basement

lithologies consisted of semi-pelitic gneiss and orthogneiss of variable composition. Several broad deformation

zones were encountered throughout. Extensive zones of hydrothermal alteration were also intersected which

generally consisted of replacement- and hydrotherma l breccia-style clay, chlorite and silicification. The hole

intersected disseminated and fracture-hosted pitchblende mineralization in close association with deformation

and hydrothermal alteration. A total composite mineralization of 2.0 m was intersected between 294.5 m and

303.0 m. The hole was terminated at 456.5 m.

AR-17-152c2

Hole AR-17-152c2 was a directional hole that depart ed pilot hole AR-17-152c1 at 148 m. It was designed to

test the South Arrow zone 50 m below AR-17-152c1. D irectional drilling was initiated at 159 m and the

mineralized horizons were intersected at an inclina tion of -68°. Basement lithologies were intersected from

the top of the hole that included semi-pelitic gnei ss and orthogneiss of variable composition. Several broad

deformation zones were encountered throughout. Exte nsive zones of hydrothermal alteration were also

intersected which generally consisted of replacemen t- and hydrothermal breccia-style clay, chlorite an d

silicification. The hole intersected disseminated a nd fracture-hosted pitchblende mineralization in cl ose

association with deformation and hydrothermal alter ation. A total composite mineralization of 8.0 m wa s

intersected within a 149.0 m section (333.0 to 482.0 m) before the hole was terminated at 540.5 m.

AR-17-153c1

Hole AR-17-153c1 was a directional hole collared from surface at an angled orientation (-67°) to the northwest

(327° azimuth). It was designed to test South Arrow zone 50 m down-dip from AR-17-151c2. Directional drilling

was initiated at 126 m and the mineralized horizons were intersected at an inclination of -61°. The ho le

intersected Athabasca Group sandstones between 94.9 m and the unconformity at 97.8 m. Basement

lithologies consisted of semi-pelitic gneiss and orthogneiss of variable composition. Several broad deformation

zones were encountered throughout. Extensive zones of hydrothermal alteration were also intersected which

generally consisted of replacement- and hydrotherma l breccia-style clay, chlorite and silicification. The hole

intersected visible disseminated, fracture-hosted, foliation-controlled, and mineral replacement style

pitchblende mineralization in close association wit h deformation and hydrothermal alteration. A total

composite mineralization of 6.5 m including 0.55 m of off-scale radioactivity (>10,000 to 21,000 cps) was

intersected within an 82.0 m section (373.0 to 455.0 m). The hole was terminated at 546 m.

AR-17-153c2

Hole AR-17-153c2 was a directional hole that depart ed pilot hole AR-17-152c1 at 294 m. Directional dri lling

was initiated at 126 m and the mineralized horizons were intersected at an inclination of -69°. It was designed

to test the South Arrow zone 50 m down-dip of AR-17-153c1. Basement lithologies were intersected from the

top of the hole that included semi-pelitic gneiss a nd orthogneiss of variable composition. Several bro ad

deformation zones were encountered throughout. Exte nsive zones of hydrothermal alteration were also

intersected which generally consisted of replacemen t- and hydrothermal breccia-style clay, chlorite an d

silicification. The hole intersected disseminated a nd fracture-hosted pitchblende mineralization in cl ose

association with deformation and hydrothermal alteration. Continuous mineralization of 9.0 m was intersected

between 411 and 420 m before the hole was terminated at 558.5 m.

AR-17-157c1

Hole AR-17-157c1 was a directional hole collared from surface at an angled orientation (-70°) to the northwest

(327° azimuth). It was designed to test the South Arrow zone 50 m down-dip of AR-17-152c2. Directional drilling

was initiated at 198 m and the mineralized horizons were intersected at an inclination of -66°. The ho le

intersected Devonian-aged sandstones between 87.9 m and 93.7 m. No Athabasca Group sandstones were

encountered. Basement lithologies consisted of semi -pelitic gneiss and orthogneiss of variable composi tion.

Several broad deformation zones were encountered th roughout. Extensive zones of hydrothermal alteratio n

were also intersected which generally consisted of replacement- and hydrothermal breccia-style clay, chlorite

and silicification. The hole intersected disseminat ed and fracture-hosted pitchblende mineralization i n close

association with deformation and hydrothermal alter ation. A total composite mineralization of 3.0 m wa s

intersected within a 147.0 m section (385.0 to 532.0 m) before the hole was terminated at 597.5 m.

AR-17-157c2

Hole AR-17-157c2 was a directional hole that depart ed pilot hole AR-17-157c1 at 203 m. It was designed to

test the South Arrow zone down-dip of AR-17-157c1. Directional drilling was initiated at 264 m and the

mineralized horizons were intersected at an inclina tion of -70°. Basement lithologies were intersected from

the top of the hole that included semi-pelitic gnei ss and orthogneiss of variable composition. Several broad

deformation zones were encountered throughout. Exte nsive zones of hydrothermal alteration were also

intersected which generally consisted of replacemen t- and hydrothermal breccia-style clay, chlorite an d

silicification. The hole intersected disseminated a nd fracture-hosted pitchblende mineralization in cl ose

association with deformation and hydrothermal alter ation. A total composite mineralization of 9.0 m wa s

intersected within a 178.5 m section (400.5 to 579.0 m) before the hole was terminated at 639.0 m.

AR-17-158c1

Hole AR-17-158c1 was a directional hole collared from surface at an angled orientation (-70°) to the northwest

(327° azimuth). It was designed to test the South A rrow zone 50 m down-dip and northeast of AR-17-153c 2.

Directional drilling was initiated at 150 m and the mineralized horizons were intersected at an inclination of -

65°. The hole intersected Cretaceous-aged mudstone between 71.8 m and 90.8 m. Basement lithologies

consisted of semi-pelitic gneiss and orthogneiss of variable composition. Several broad deformation zo nes

were encountered throughout. Extensive zones of hyd rothermal alteration were also intersected which

generally consisted of replacement- and hydrotherma l breccia-style clay, chlorite and silicification. The hole

intersected disseminated and fracture-hosted pitchblende mineralization in close association with deformation

and hydrothermal alteration. A total composite mineralization of 9.0 m was intersected within a 22.0 m section

(438.5.0 to 460.5 m) before the hole was terminated at 600.0 m.