Fission Energy Reports Assay Results of J-Zone to Confirm High-Grade Uranium Mineralization

FISSION ENERGY CORP. (TSX VENTURE:FIS) and its Joint Venture partner, the KEPCO Consortium, announce J-Zone assay results for four previously completed vertical step-out drill holes: WAT10-099, 103-105, in addition to two vertical step-outs at the J-East Zone: WAT10-100 and 102.

The Waterbury Lake summer drill program has successfully expanded the J-Zone uranium discovery to ~120m x 50m. Results obtained at J-East warrant further evaluation and follow-up exploration now that mineralization has been traced over a 45m strike length in 3 holes (WAT10-094A, 100 and 102).

J-Zone

Hole WAT10-103, drilled on Line 075W and collared 10m to the south of WAT10-093A (2m grading 1.12% U₃0₈; see news release dated June 21, 2010), intersected 15.5m of 5.55% U₃0₈ (191.5m-207.0m), including 2.5m grading 32.39% U₃0₈ (193.0m-195.5m). With a grade x thickness (GT) value of 86.0, Hole 103 ranks as the second strongest mineralized hole in the J-Zone to date, after Hole WAT10-071, which is located in the southeast part of the J-Zone. Hole 103 intersected significantly higher grades over much wider widths at the unconformity than previous results on the western part of the J-Zone.

Hole WAT10-099, drilled on Line 045W and collared 10m north of WAT10-079 (7.5m grading 1.89% U₃0₈; see news release dated May 27, 2010), intersected 5.0m grading 2.90% U₃0₈ (195.0-200.0), including 3.0m grading 4.59% U₃0₈ (196.5m-199.5m).

Holes WAT10-104 and 105 are located on the J-Zone's western perimeter. Both holes encountered weak mineralization at the unconformity. Hole 104 was drilled on Line 075W and collared 10m south of hole 103. Hole 105 was drilled on Line 090W, and extended mineralization 15m to the west. Although this hole was found to be only marginally mineralized, it is believed drilling may have missed the main mineralized target evidenced nearby at Hole WAT10-103.

Overall, drilling has confirmed the continuity of high grade uranium mineralization, while extending the mineralized boundary of the J-Zone to the west and north. The J-Zone is now defined by 27 closely spaced drill holes over an area of 120m x 50m, and remains open in all directions.

J-East

The J-East zone is located immediately east of the J-Zone, close to the property boundary. Holes WAT10-100 and 102 both intersected basement uranium mineralization at the J-East zone. The best results were found at Hole WAT10-102, which intersected 8.50m grading 0.38% U₃0₈ (220.00m-228.50m) and 3.5m of 0.67% U₃0₈ (233.00-236.50). Fission believes the J-East Zone is an extension of the Roughrider uranium discovery adjacent to the Company's property boundary. Results to date warrant follow-up drilling.

A summary of the assay results are shown in the accompanying tables below.

All drill intersections at the J-Zone are associated with a broad continuous zone of alteration extending from several meters above the unconformity to greater than 25m below the unconformity, with mineralization occurring within this altered system. All intersections are down-hole, core interval measurements and true thickness is yet to be determined. Given that the mineralization thus far encountered appears to be almost flat-lying, drill intercepts reported herein are approximately true thickness.

Composite Parameters

1. Minimum Thickness: 0.50m
2. Grade Cut-off: 0.05 U₃0₈ (wt%)

An updated map of the J-Zone and J-East Zone showing the location of the six drill holes highlighted in this news release, and a table summarizing all assay results to date can be found on the Company's website at http://www.fission-energy.com/s/WaterburyLake.asp. To view a 3D model of the drilling at Waterbury Lake please visit http://www.corebox.net/properties/waterbury_lake/.

Assays are pending on six remaining drill holes: two at the J-Zone: Holes WAT10-109 and 111D; one at the J-East Zone: Hole WAT10-110 and three at Highland: Holes WAT10-107-108 and WAT10-112. Results will be reported when available.

Continued drilling at the J-Zone, in addition to testing at the J-East and Highland Zones, and other high priority targets is planned for a significantly larger exploration program in the forthcoming winter season. Further details will be provided once all data has been collected and analysed.

Split core samples from the mineralized section of core have been taken continuously through the mineralized intervals and submitted to SRC Geoanalytical Laboratories (an SCC ISO/IEC 17025: 2005 Accredited Facility) of Saskatoon for analysis, which includes U₃O₈ (wt%) and fire assay for gold, platinum and palladium. All samples sent for analysis will include a 63 element ICP-OES, uranium by fluorimetry (partial digestion) and boron. Chemical results will be released when received. Further updates will be provided.

The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43- 101 and reviewed on behalf of the company by Ross McElroy, P.Geol. President and COO for Fission Energy Corp., a Qualified Person.