UEX Reports Radiometric Probe Results from Five Holes on Paul Bay Deposit at Christie Lake Project

UEX Corporation ("UEX" or the "Company") is pleased to announce radiometric probe results from five holes completed on the Paul Bay Deposit at the Christie Lake Project (the "Project").

The following results are from five targets identified as necessary for the Paul Bay resource estimate. Results from four of the holes drilled to test the margins of the mineralized zone were as expected; however, results from the final hole CB-102 were exceptional and unexpected.

Hole CB-102 tested a large gap in the historic drilling (40-50 m between holes) within the lower section of the Paul Bay Deposit (see Figure 1). CB-102 encountered unexpected high-grade mineralization that included subintervals comprised of semi-massive uranium similar to that observed in holes CB-092 and CB-093 that defined the ultra-high grade subzone described in the UEX news release of September 7, 2016.

Radiometric equivalent grades ("REGs") from CB-102 included:

• 4.23% eU₃O₈ over 11.90 m from 530.15 to 542.05 m, including three high-grade subintervals:
  • 15.26% eU₃O₈ over 1.5 m from 533.05 to 534.55 m,
  • 8.20% eU₃O₈ over 1.0 m from 538.65 to 539.65 m, and
  • 13.60% eU₃O₈ over 0.6 from 541.35 to 541.95 m.

The results from CB-102 suggest that a second high-grade subzone may exist within the Paul Bay Deposit. Room exists around CB-102 to further expand this high-grade mineralization with additional drilling in future programs, once our exploration team has the opportunity to further interpret the geology of this portion of the Paul Bay Deposit.

Holes CB-098 and CB-099 tested the up-plunge trend of the ultra-high grade zone (see Figure 1). Hole CB-098 did not intersect significant radioactivity, whereas CB-099 encountered several narrow zones of weak uranium mineralization (see Table 1). These holes have defined the upper boundary of the ultra-high grade zone.

Hole CB-097 was drilled to test the eastern extension of the Paul Bay Deposit. CB-097 did not encounter anomalous radioactivity or hydrothermal alteration, indicating that this hole marks the eastern boundary of the Paul Bay mineralizing system.

Hole CB-101 was drilled to test a large gap between two mineralized holes west of CB-097. CB-101 encountered several intervals of uranium mineralization, the best of which returned a REG of 0.35% eU₃O₈ over 1.10 m from 536.35 to 537.45 m.

"We are noticing a lot of similarities between the Paul Bay and Ken Pen areas, with respect to the structures that appear to be hosting the high-grade mineralization at both deposits. Applying the Paul Bay blueprint to Ken Pen, which is approximately 200 m along trend and with a fraction of the drilling of Paul Bay, has our geological team very excited." Roger Lemaitre, President & CEO

The $4.0 million 2016 Christie Lake exploration drilling program will continue until late October, with the focus now shifted towards exploring the Ken Pen Deposit.

The eU₃O₈ grades were estimated in-situ within the drill holes using calibrated down-hole radiometric gamma probes. Samples from all holes have been collected for assay analysis to confirm these equivalent grades. The samples will be analyzed at the Geoanalytical Laboratory at the Saskatchewan Research Council in Saskatoon, Saskatchewan, with results expected in the coming weeks. The details on how eU₃O₈ was calculated from the probe grades were outlined in our press release of May 24, 2016.

About the Christie Lake Project
UEX currently holds a 10% interest in the Christie Lake Project and is working under an option agreement to earn up to a 70% interest. The Project is located approximately 9 km northeast and along strike of Cameco's McArthur River Mine, the world's largest uranium producer. The P2 Fault, the controlling structure for all of the McArthur River deposits, continues to the northeast beyond the mine. UEX believes that through a series of en-echelon steps the northeast strike extension of the P2 Fault not only crosses the Project but also controls the two known uranium deposits on Christie Lake, the Paul Bay and Ken Pen Deposits.

The Paul Bay and Ken Pen Deposits are estimated to host a combined 20.87 million pounds of U₃O₈ at an average grade of 3.22% U₃O₈ and were discovered in 1989 and 1993 respectively. This is a historic resource estimation which does not use resource classifications consistent with NI 43-101. The historical resource estimate was presented in an internal report titled Christie Lake Project, Geological Resource Estimate completed by PNC Tono Geoscience Center, Resource Analysis Group, dated September 12, 1997. The historical resource was calculated using a 3 D block model using block sizes of 2 m by 2 m by 2 m, and block grades interpolated using the inverse distance squared method over a circular search radius of 25 m and 1 m height. Specific gravities for each deposit were averaged from specific gravity measures of individual samples collected for assay. UEX plans to complete additional infill drilling on the deposits during the option earn-in period to upgrade these historic resources to indicated and inferred. A qualified person has not done sufficient work to classify the historic estimate as current mineral resources or mineral reserves. UEX is not treating the historic estimate as current mineral reserves or mineral resources.

Qualified Persons and Data Acquisition
Technical information in this news release has been reviewed and approved by Roger Lemaitre, P.Eng., P.Geo., UEX's President and CEO and Trevor Perkins, P.Geo., UEX's Exploration Manager, who are each considered to be a Qualified Person as defined by National Instrument 43-101.