Corporate Presentation - September 2015

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  • Arrow: A Rapidly Growing Uranium Discovery | September 2015

  • Disclaimer Information Contained In This Presentation

    This presentation is a summary description of NexGen Energy Ltd. (NexGen or the

    Company) and its business and does not purport to be complete. This presentation is

    not, and in no circumstances is it to be construed as, a prospectus, an advertisement,

    or a public offering of securities. No securities regulatory authority or similar authority

    has reviewed or in any way passed upon the document or the merits of the Companys

    securities and any representation to the contrary is an offence.

    Except where otherwise indicated, the information contained in this presentation has

    been prepared by NexGen and there is no representation or warranty by NexGen or

    any other person as to the accuracy or completeness of the information set forth

    herein. This presentation includes information on adjacent properties that was

    obtained from various publicly available sources referred to herein and the accuracy

    and completeness of such information has not been verified by NexGen. Except as

    otherwise stated, information included in this presentation is given as of the date

    hereof. Neither the delivery of this presentation nor any sale made under the terms

    described herein shall imply that the information herein is correct as of any date after

    the date hereof.

    All dollar amounts referenced herein, unless otherwise indicated, are expressed in

    Canadian dollars.

    Cautionary Note Regarding Forward-looking Information

    Statements contained in this presentation that are not current or historical factual

    statements may constitute forward-looking information within the meaning of

    applicable securities laws including statements with respect to the properties, a

    concurrent financing, our plans for exploration and development of our properties and

    our financial condition, operations and prospects. The forward-looking information

    reflects current expectations regarding future results, performance or achievements

    and speaks only as of the date of this presentation. When used in this presentation,

    forward-looking information can be identified by such words as may, will, expect,

    believe, plan, project, anticipate, intend, estimate and other similar

    terminology. Such forward-looking information involves known and unknown risks,

    uncertainties and other factors that may cause the actual results, performance or

    achievements of the Company to be materially different from any future results,

    performance or achievements expressed in or implied by such information. Such risks,

    uncertainties and other factors include, but are not limited in any manner to those risks

    set forth in this presentation under the heading Risk Factors, including, the risk that

    no mineralization will be identified on the Radio and Rook I properties; the Companys

    dependence on third party financing; the Companys limited operating history; risks

    inherent in exploration activities; environmental and safety risks including increased

    regulatory burdens; unexpected geological or hydrological conditions; a possible

    deterioration in political support for nuclear energy; changes in government regulations

    and policies, including trade laws and policies; demand for nuclear power; failure to

    obtain necessary permits and approvals from government authorities; weather and

    other natural phenomena; and other exploration, development, operating, financial

    market and regulatory risks. The foregoing list of factors is not exhaustive.

    The forward-looking information contained in this presentation requires management to

    make certain assumptions including with respect to the financing and its ability to

    successfully develop its properties. Although management of the Company believes

    that the assumptions underlying, and the expectations reflected in, the forward-looking

    information are reasonable, significant risks and uncertainties are involved in such

    information. Management can give no assurances that its assumptions, estimates and

    expectations will prove to have been correct. Forward-looking information should not

    be read as guarantees of future performance or results, and will not necessarily be

    accurate indications of whether or not or the times at or by which such performance or

    results will be achieved. Many factors that are beyond the Companys control could

    cause actual results to differ materially from the results discussed in the forward-

    looking statements.

    The technical information in this presentation has been prepared in accordance with

    the Canadian regulatory requirements set out in National Instrument 43-101 and

    reviewed on behalf of NexGen Energy Ltd., by Garrett Ainsworth, P.Geo., Vice

    President Exploration & Development, a qualified person.

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  • 3 Uranium Market (Demand) A Story of Stable Demand Growth and Uncertain Supply

    Nuclear Electricity Growth

    Nuclear energy fuels 11% of the global electricity needs 930 GW needed by 2050 to support existing global decarbonisation mandates Equates to a 2.3 times increase in nuclear energy demand in just 35 years

    Uranium Demand

    Average demand growth estimated at ~4% per year to 2024 Source: International Energy Agency (2015), World Nuclear Association (2015)

  • 4 Uranium Market (Demand) Investment and Reactor Builds

    Currently 437 nuclear reactors in operation globally As of April 2015, 65 nuclear reactors are under construction

    China: 26 currently, 23 under construction, 187 in planning/proposal phase China Nuclear Power Corp. looking to invest in Canada in the near future (Dec. 2014)

    Another 496 reactors are in the planning/proposal phase 1.) Graph: International Energy Agency (2015) 2.) World Nuclear Association (2015)

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  • 5 Uranium Market (Supply) Lack of Economic Deposits

    In 2014 world uranium

    consumption was 155Mlbs while mine supply accounted for 147Mlbs

    +20Mlbs from HEU agreement (now over)

    Estimated supply gap of

    nearly 100Mlbs per year by 2030

    11 of top 15 uranium

    mines are in unstable jurisdictions (Russia, Kazakhstan, Niger)

    End of HEU agreement in 2013 removed the equivalent of McArthur Rivers annual production from supply

    1.) World Nuclear Association (2015) 2.) World Nuclear Association estimate of 97,450tU demand and 53,000 tU supply in 2030

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  • 6 The Athabasca Basin The Source of Future Supply

    1.) World Nuclear Association (2015) 2.) Cameco Corp. 3.) Based on US$45/lb U & US$1,300/oz Au

    Remember: 1.00% U3O8 = 23.50 g/t gold!

    Global average

    resource grades ~0.10% U3O8

    Athabasca Basin mines produce at over 100X global average resource grade

    McArthur River produced 19Mlbs at average grade of 14.87% U3O8 in 2014

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  • 7 Project Overview Focus: High-tonnage, high-grade, technically superior assets in shallow sections of the Athabasca Basin

    Portfolio Characteristics

    Straddles the edge and inside of the Athabasca Basin

    Enables NexGen to find basement-hosted, unconformity-hosted and sandstone-

    hosted mineralization

    Hosts the land-based Arrow discovery

  • 8 Arrow Discovery Rook I Project Location & Conductor Corridors

    Most dominant land position in the Southwest Athabasca Basin

    Arrow discovered Feb 2014 with 1st drill hole and drilling at +90% hit rate

    Land-based discovery

    located straddling and inside the Athabasca Basin boundary

    Basement-hosted high-grade mineralization that grows all directions and at depth

    Rook I hosts all the known uranium bearing conductor corridors in the region

  • 9 Successful Drilling at Arrow +90% of Drill Holes Intersected High-grade Uranium Mineralization

    NexGens Drilling Methodology:

    1. Wide step-outs 2. Angled Holes: 90% of

    holes drilled are angled 3. Efficient capital

    allocation: 8:1 $ in the ground to $ to G&A

    4. Incredible hit rate: +90% of holes hit mineralization

    Results: Current Area of Mineralization:

    Length x width 645 m x 215 m

    Depth 100 m to 920 m

  • 10 Arrow: A2 & A3 Shears Plan view of Arrow

  • 11 A2: Continues to Expand Recently tripled strike length with aggressive step outs

  • 12 A3: Another High-Grade Shear Developing Aggressive 50, 100 and 210m step outs from -44b ALL hit mineralization

  • 13 Arrow: A2 & A3 Cross-Section

    Both A2 and A3

    Zones remain

    open in every

    direction

    NE extent of Arrow

    opened up with

    AR-15-40b (11.5m

    at 0.99% U3O8)

    A2 Dimensions:

    300m strike length

    340m vertical extent

    11-48.3m true width

    A3 Dimensions:

    295m strike length

    420m vertical extent

    30-78.6m true width

    2 High-grade shear zones now identified at Arrow

  • 14

    Athabasca Basin Setting

  • 15 The Eagle Point Analogy Eagle Point is an underground mine operated by Cameco

    - Eagle Point current mineral reserves: 15.2Mlbs at 0.61% U3O8. 2014 annual production of 4.2Mlbs

    - Underground mine using longhole stoping in the competent basement rock

    - Eagle Point deposits are located on the eastern edge of the Athabasca Basin, and are part