Q1 2024 HIGHLIGHTSCorporateDuring the quarter, the Company...

Q1 2024 HIGHLIGHTS

CorporateDuring the quarter, the Company issued 13,000,800 Shares under the ATM Program (as defined below) which raised gross proceeds of $135.0 million and paid commission fees of $1.4 million and other transaction costs of $3.4 million for net proceeds of $130.2 million.Subsequent to March 31, 2024, the Company entered into a placement agreement dated April 30, 2024 (as amended, the “Placement Agreement”) with a lead manager and bookrunner to arrange and manage an offering of 20,161,290 Shares at a price of $11.11 for aggregate gross proceeds of approximately $224 million (the “Offering”) with settlement to occur through newly listed CDIs on the ASX (all based on the daily average exchange rate of A$1.00 = C$0.8963 published by the Bank of Canada on April 29, 2024).
Closing of the Offering is expected to occur on or about May 15, 2024 and is subject to customary closing conditions, including receipt of regulatory approvals.Concurrent with and to facilitate the Offering, the Company also agreed with the Agents (as defined below) to amend the December Sales Agreement (as defined below) to reduce the aggregate value of the Shares that may be offered and sold from up to $500 million to up to approximately $276 million (the “Amended Sales Agreement”). As a result of the Amended Sales Agreement and taking into account the 13,000,800 Shares sold to date, the maximum amount available that may be offered and sold will be approximately $141 million.

On May 7, 2024, NexGen entered into a binding term sheet with MMCap International Inc. SPC (“MMCap”) for the Company to issue US$250 million aggregate principal amount of 9.0% unsecured convertible debentures (the “2024 Debentures”), as consideration for the purchase (the “Acquisition”) of approximately 2.7 million pounds of natural uranium concentrate.
The Company will pay a 3% establishment fee to the debenture holders through the issuance of Shares.In connection with the Acquisition, the Company will enter into an investor rights agreement with MMCap, containing voting alignment, standstill, and sale and transfer restriction covenants.Operational

On February 12, 2024, NexGen received the results of the Canadian Nuclear Safety Commission (the “CNSC”) technical review of NexGen’s responses to Federal technical comments received on the Draft Environmental Impact Statement (the Federal “EIS”) through the Federal Environmental Assessment (the Federal “EA”) review process.

On March 11, 2024, the Company announced the discovery of new intense uranium mineralization on its 100% owned SW2 Property, 3.5 kilometers east of the Arrow Deposit. The new mineralized occurrence in RK-24-183 is located on a previously untested conductor segment of Patterson Corridor East. Localized uranium mineralization was intersected for 19.8 meters between 347.7 and 367.5 meters, ranging from <500 to >61,000 counts per second. Exploration is predominantly open in all directions including over 1.5 kilometers along strike.

During the quarter, NexGen further advanced the front end engineering and design (“FEED”) for the Rook I Project, while continuing to progress the Rook I Project through the critical path detailed engineering and procurement phases.