RE:Longs - Do the Dundee Math... Note that Quakes insists on citing Dundee, the one firm covering NexGen who has an exisiting relationship with Fission (therefore is very biased) and has been consistently way off the mark relative to other analysts (credited Arrow with just 60Mlbs... Absurd!).
From the same Dundee report so Quakes can't obfuscate things as he's so fond of doing:
We recommend NexGen Energy with a BUY and institute a new C$2.70/sh target price (C$2.32/sh f/d) after incorporating Arrow deposit's new inferred resource of 202 MM lbs U3O8 at a grade of 2.63%. We apply an in situ value of US$3/lb U3O8 to account for its ultra-high grade in the Athabasca Basin. We also upgrade our risk rating to Speculative from Venture. NXE remains our top exploration pick in the sector with a $0.13/lb U3O8 discovery cost. Arrow takes a top spot as a high grade, world-class uranium deposit in preferred basement rocks with excellent growth potential. But it's still the early days; NXE is cashed up and eager to expand and advance Arrow. Winter drilling has already rendered this resource a low ball estimate, thus an upgrade is planned for H2/16. A Pre-Feasibility Study is now due in 2017. We suggest investors Buy NXE. This estimate exceeded expectations and further success is likely to come. The stock jumped ~28% today on the news to trade at US$1.21/lb, versus Fission Uranium (FCU-T, BUY, C$2.50 Target) at US$1.63/lb. Despite Fission Energy's massive treasury, and PLS being near surface and 75% M&I, we'd expect NXE to close some ground.
Arrow - Athabasca Basin's new largest undeveloped uranium deposit. Inferred resources total 3.48 MMt grading 2.63% U3O8 for 202 MM lbs using a 0.25% cut-off. The zone measures 645m long, 245m wide, and from 100m to 920m depth. It is defined by mineralization on A1, A2, A2 High Grade Core, A3 and A4 shears (Tables 1 and 2).
Overall, contained pounds are almost twice as large as nearby Triple R Deposit (105.5 MM lbs; 1.58% grade, 75% M&I), with grades ~1% higher.
Not sensitive to cut-off grades. Contained pounds do not fall off significantly. The deposit remains at 178.3 MM lbs at a 1% cut-off. Even a 10% cut-off returns 101.3 MM lbs at 20.8%. That alone puts Arrow in line with the highest grade deposits in the world - Triple R's high grade core, Phoenix being the highest grade uranium deposit in the world, and reserve grades for McArthur and Cigar Lake Mines.
A2 Shear High Grade Core sticks out: US$9,500/t rock! It hosts 120.5 MM lbs at 13.26% U3O8, equivalent to 7.64 oz/t gold. It's continuous, consistent, and massive to semi-massive pitchblende represents ~ 60% of contained pounds. Arrow could ultimately prove economic as it undergoes further study. With in-situ value of US$3.9 B within the core alone, at a low current spot of US$32.15/lb, we expect potential sales to carry even a high Capex, stand-alone operation.