High-Grade Basement Uranium Intersections At West McArthur Joint Venture Project

VANCOUVER - CanAlaska Uranium Ltd. reported on the successful completion of the summer drilling program at its West McArthur project. The drill program is highlighted by WMA082-2 that intersected 6.5 metres at 0.73% eU3O8, including 1.8 metres at 1.91% eU3O8. WMA082-2 has confirmed high-grade basement mineralization immediately below the unconformity at the Pike Zone. Basement-hosted uranium mineralization has now been confirmed over 160 metres into the basement along the controlling fault structures and remains completely open in multiple directions. Step out drill targets 200 and 800 metres to the northeast of the Pike Zone intersected alteration and fault structures in the basement and lower sandstone column, respectively. The West McArthur project, a Joint Venture with Cameco Corporation, is operated by CanAlaska that currently holds a 79.4% ownership in the Project. CanAlaska is sole funding the 2023 West McArthur program, further increasing its majority ownership in the Project.

During the summer drill program, the Company focused on testing extents of the high-grade, basement-hosted Pike Zone in the upper basement and at the unconformity with four drill holes for a total of 2,546 metres. Each of the holes completed around the Pike Zone intersected alteration and faults in the lower sandstone and basement related to faulting along the C10 South conductor corridor. The C10 and C10 South corridors are also host to CanAlaska's nearby 42 Zone discovery, as well as Cameco and Orano's high-grade Fox Lake uranium deposit (68.1 million pounds uranium at 7.99% U3O8 average grade. At the conclusion of the summer drill program, the Pike Zone basement mineralization has been successfully extended in the upper basement and the mineralization has now been defined over 160 metres along the controlling faults (Figure 2). Uranium mineralization was intersected in all four drill holes completed in the Pike Zone, highlighted by WMA082-2 that intersected 6.5 metres at 0.73% eU3O8, including 1.8 metres at 1.91% eU3O8. In addition, a wide and strong alteration zone consisting of clay replacement of the host basement rocks continues to be defined in the immediate footwall of the Pike Zone mineralization indicating the presence of a major hydrothermal mineralizing event.

In addition to drilling at Pike Zone, the Company completed four drill holes totalling 3,809 metres up to two kilometres away from Pike Zone to evaluate the corridor for alteration, structure, and mineralization. The extension drilling 200 metres northeast of the Pike Zone intersected basement fault structures and alteration below the unconformity target. In addition, a further step out 800 metres northeast of the Pike Zone intersected dravitic structures in the lower sandstone with associated alteration, which are interpreted to be the C10 South corridor faults. The ideal unconformity target and basement targets remain untested. A third and more regional drill test two kilometres away from the Pike Zone along the C10 South corridor did not explain the conductor target.

Results from the summer drill program indicate that priority targets exist both at the Pike Zone and as extensions along the C10 South corridor. Priority target areas: 1) Immediately below the Pike Zone mineralization envelope in the basement along the controlling fault structures. 2) To the southwest of the Pike Zone, where the mineralization remains open and completely untested by any drillholes. 3) To the northeast of the Pike Zone, underneath mineralization intersected at the unconformity during the 2023 winter drill program. 4) At the unconformity target along strike to the northeast and southwest of the Pike Zone.

The Company is completing additional processing on the recent 3D DCIP Resistivity survey, in conjunction with the 2022 SWML TDEM data, to refine drill targets near Pike Zone and along the C10 South conductive corridor. The 15-kilometre-long corridor remains completely untested to the southwest of the Pike Zone and only sparsely tested to the northeast between the Pike Zone and 42 Zone mineralization. Based on the very positive 2023 summer drill program results, the Company believes significant potential for unconformity-related mineralization exists at Pike Zone and along the C10 South corridor.

The Company is working with its Joint Venture partner, Cameco Corporation, to prepare a program and budget for 2024.

CEO, Cory Belyk, said, "The high-grade Pike Zone discovery was expanded and remains open in all directions following the summer drilling program. In addition, the CanAlaska team was able to demonstrate the incredible discovery potential for several kilometres along the C10 South mineralized corridor with the successful intersection of fault structures and associated alteration in the lower sandstone column similar to what has been observed within and adjacent to Pike Zone and the nearby large Fox Lake uranium deposit. The C10 South corridor is continuing to deliver results that indicate this is a major mineralizing event and that the Pike Zone may be just the tip of the iceberg. We look forward to developing the next exploration steps for the joint venture to move this project to the next level in 2024."