Cantor Fitzgerald on Fission News

Source.: Rob Chang, Cantor Fitzgerald

New third fourth fifth zone discovered at PLS – Is it really just one?

Event: Fission Uranium and Alpha Minerals announced that they have identified a fifth zone at the world-class Patterson Lake South discovery located in the south-western portion of the Athabasca Basin.

Bottom line: Very Positive. In just its first year of exploration, the Patterson Lake South project has grown significantly with the identification of five mineralized zones over a one kilometer strike length. This recently identified zone is located at about the midpoint between the R390E and R780E zones and fills the gap between the two previously identified zones. Given the current summer drilling program’s 100% drilling success rate and the fact that the geology across all zones is similar, we believe we may be looking at one large mineralized zone instead of five discrete ones.

· Hole PLS13-098, which is located on line 585E, intersected 76m of total mineralization including 7.62m that registered off-scale radioactivity.

· As is characteristic of the PLS project, mineralization was encountered at a shallow depth. For hole PLS13-098, it was 62.5m below surface.

· The 7.62m of off-scale radioactivity is comprised of several narrower intervals ranging from 0.15m to 2.21m.

· The hole is located 150m grid east of the easternmost edge of the R390E Zone and is about midway between zones R390E and R780E. As such, it has been suitably named the “R585E Zone”.

· The geologic setting of the R585E zone is similar to other zones in that it consists of mineralization primarily associated with sequences of steeply south dipping pelitic lithology with localized mylonites and cataclasites.

· In the less than one year exploration history of Patterson Lake South, the exploration “hit rate” at PLS has been extremely high. In particular, this summer’s drill program has encountered mineralization in 100% of the holes drilled. This type of exploration success is usually either the mark of great skill on the part of management or evidence that the mineralization area is very large – or perhaps both.