11:42 AM EDT, 05/29/2024 (MT Newswires) -- NexGen Energy ( NXE ) said Wednesday it discovered additional uranium mineralization at the Patterson Corridor East project in Saskatchewan's Athabasca Basin.

The company said it intersected mineralization from drill hole RK-24-193 over 67.5 meters across various intervals including up to 7,500 counts per second over 1.5 meters.

Assays from drill hole RK-24-183 also confirmed high-grade uranium veins across a 20-meter interval, with several intersections totaling 13.5 meters at 0.78% uranium including 0.5 meters at 10% uranium.

NexGen said it will commence an expanded 22,000-meter drilling program at the property this summer.

"The growing potential of this latest discovery will drive the focus of the summer exploration program to determine the potential size and extent of mineralization," chief executive Leigh Curyer said.

The news comes after NexGen said overnight Tuesday it completed the purchase of 2.7-million pounds of natural uranium concentrate for US$250 million.

To cover the cost, the company issued US$250 million in five-year, 9% per annum unsecured convertible debentures.

"Having access to 2.7 million pounds of uranium at surface in inventory will no doubt prove to be increasingly strategic given the recent passing of the Prohibiting Russian Uranium Imports Act into U.S. law," Curyer said.

NexGen's shares were last seen down $0.22 to $10.62 on the Toronto Stock Exchange.

Price: 10.63, Change: -0.21, Percent Change: -1.94