Fission Energy expands strike length of high grade J-Zone discovery

Fission Energy Corp (CVE:FIS) said Tuesday that it has expanded the east-west strike length of the J-Zone, part of its joint venture Waterbury Lake project, by 56% since drilling resumed in July.

The company's $3.6 million summer exploration program totalled 7,731.4 metres in twenty-one drill holes. In 2008, Fission signed an earn-in deal with a consortium of Korea-based companies, led by Korea Electric Cower Power Corp, to jointly develop the Waterbury Lake property, located in the eastern part of Saskatchewan's Athabasca Basin.

At the J-Zone, 11 of 12 holes intersected uranium mineralization, significantly expanding the strike length to 578 metres, from 370 metres, and up to 50 metres wide.

The best results included hole WAT11-200, which intersected 12.0 metres of variable radioactivity with a maximum of 6,500 counts per second (cps). Hole WAT11-198C, also returned 11 metres of variable radioactivity with a maximum of 8,900 cps; and hole WAT11-204A intersected 6 metres (with a maximum of 8,600 cps. Assays are still pending from these latest holes, the company said.

The results show that the J Zone high grade discovery now extends 75 metres to the west of the merged PKB zone, remaining open laterally in all directions.

At the newly discovered Summit Zone, which has seen limited drilling to date and is located farther west of the J-Zone, saw a wide 12 metre mineralized intersection in hole WAT11-199 of variable radioactivity, with a maximum cps of 7,400. This hole is a 30 metre west step-out of discovery hole WAT11-153A, which returned 1.5 metres of 0.23% uranium last winter.

Mineralization at the Summit zone remains open on all sides, the company said, with the area continuing to be a high priority exploration target.

Meanwhile, although drilling at the Oban corridor intersected no significant mineralization, all holes were characterized by well-developed hydrothermal alteration and favourable rock lithology, the company said. Therefore, follow-up exploration at Oban, which is located north of the J Zone, is warranted, Fission added.

Drilling also took place at Murphy Lake, in the northwest area of the property, with similar results to Oban.

Assay results from the summer program are still being waited on, with planning underway for a winter 2012 program. This new campaign will focus on the continued expansion of the J Zone, as well as further drilling at the Summit, Oban and other targets.

Fission Energy and its joint venture partners, which have the right to earn up to 50% of the project, have budgeted C$30 million for exploration at Waterbury Lake over a three year period, spanning from 2010 to 2012.