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Fission Energy Plans to Start Winter 2011 Drill Program at Highland and J Zone

FISSION ENERGY CORP. (TSX VENTURE:FIS) and its Joint Venture Partner the KEPCO Consortium announce that final assays from the remaining six drill holes: two completed at the J-Zone, three holes from Highland and one hole from J-East have been received.

In addition, planning is underway for an approximate $8 million winter 2011 drill program to commence in January.

Summary of results from the two remaining J-Zone holes (WAT10-109 and 111D), three Highland holes (WAT10-107A, 110 and 112) and drill hole WAT10-110A at J-East. At the J-Zone, drill hole WAT10-111D, which extended mineralization approximately 15m to the east of hole WAT10-066, (12.0m grading 3.64% U308, including 1.50m of 27.38% U308; see news release dated February 22, 2010), intersected 6.00m (209.5m-215.5m) grading 4.45% U308 at the unconformity, including 3.00m (209.50m-212.5m) at 8.54% U308. This hole has extended high grade mineralization further to the east in the southeast area of the J-Zone on line L015E, which was previously identified as weakly mineralized as evidenced by Hole WAT10-096 located 10m to the north. Hole WAT10-109, located in the north-central part of the J-Zone intersected 5.50m grading 0.44% U308, including 2.00m at 1.08% U308.

J-Zone/J-East/Highland Assays

At Highland, Hole WAT10-107A encountered weak mineralization at the unconformity, while Hole WAT10-108 intersected weak mineralization in the basement rocks. No significant mineralization was found in Hole WAT10-112. The drill core indicates that the clay alteration and graphitic lithology encountered in all 3 holes appears similar to that seen within the J-Zone. Highland remains a highly prospective target area for identifying high grade mineralization.

Hole WAT10-110A at the J-East target, was not mineralized and alteration was weak.

Composite Parameters

  1. Minimum Thickness: 0.50m
  2. Grade Cut-off: 0.05 U308 (wt%)
  3. Maximum Internal Dilution: 1.00m

All holes reported herein were terminated within unaltered basement rocks. Given that the mineralization thus far encountered in the J-Zone appears to be almost flat-lying, drill intercepts reported from vertical holes are approximately true thickness.

Since discovery hole WAT-063A was announced in January, Fission has successfully defined the J-Zone over an approximate 120m X 50m area by intersecting high grade uranium mineralization at the unconformity in 28 of 31 closely spaced drill holes, most of which were vertically drilled, for an overall drilling success rate of 90%. In addition, the J-East and Highland targets, located on strike 70m east and 130m west of the J-Zone respectively warrant follow-up drilling. Fission believes that the potential for multiple mineral occurrences exists along the East-West Corridor, which continues for approximately 2km to the west of the J-Zone.

With the completion of the Waterbury Lake summer drill program, plans are being finalized for an $8 million winter 2011 exploration program to begin in January. Further details will be provided when available.

Split core samples from the mineralized section of core were 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. All samples sent for analysis also included a 63 element ICP-OES, uranium by fluorimetry (partial digestion) and boron. All assays from the summer drill program have been received and disclosed.

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.



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