IsoEnergy: Drilling Uncovers Elevated Radioactivity in a Fault Zone Near the High-Grade Hurricane Deposit

DISCLAIMER: Any written content contained herein should be viewed strictly as analysis & opinion and not in any way as investment advice. No compensation was received for this report. Visitors to this site are encouraged to conduct their own due diligence.

On April 7, IsoEnergy Ltd. (ISO, ISOU) announced results from its winter 2026 drilling campaign conducted at the Larocque East Project, located in the eastern Athabasca Basin. Based on encouraging results, the program was expanded from the initial 13 drill holes (5,200m) to 17 drill holes (6,804m). Highlight drill hole LE26-248 intersected strongly elevated radioactivity returning an average RS-125 spectrometer reading on drill core of 30,050 cps over 1.0m (local off-scale readings of >65,500 cps), within a broader zone of 11,275 cps over 3.5m. The results confirmed elevated radioactivity up to 560m along strike to the east from the Hurricane deposit which currently hosts a high-grade mineral resource of 48.6M lbs at 34.5% U3O8 Indicated.

Given the winter campaign, mineralization has now been intersected in multiple holes along the South Trend up to 540m east of the deposit footprint. In addition to the previously mentioned LE26-248, highlight intercepts intersecting elevated radiation included the following:

• LE26-241 (100m east of LE26-248): Intersected strongly elevated radioactivity in the lower 8m of sandstone above the unconformity at 325.9m, including 3,712 cps over 0.5m.

• LE26-243 (180m east of LE26-248): Intersected an average of 10,000 cps over a 0.5m within an interval of elevated radioactivity in the lower 6m of sandstone above the unconformity at 328.9m.

• LE26-234 (560m east of LE26-248): Intersected two intervals of elevated radioactivity. A 1.5m interval, including 6,450 cps over 0.5m, within altered lower sandstone (moderate to strong clay alteration, quartz dissolution, and faults) located 26m above the unconformity at 358.9m.

• 
  

  

Specifically with LE26-24, the 30,050 cps over 1.0m (with local off-scale peak readings >65,500 cps) was straddling the unconformity at 330.2m within a broader interval that averaged 11,275 cps over 3.5m. Anomalous radioactivity exceeding 400 cps commences within the sooty pyrite zone in the basal sandstone, extending into the graphitic pelite below. Geotechnical results are pending as the company prepares for the summer drilling campaign.

The sandstone column from 143.5m to the unconformity is characterized by strongly pervasive bleaching associated with illitic and kaolinitic clay alteration, indicative of a well-developed hydrothermal system characteristic of unconformity-style uranium deposits in the Athabasca Basin. Two zones of structural disruption were intersected: a 14.3m (drill width) wide fault zone at 251.7m characterized by intermittent broken core and quartz dissolution, preceded above by a weak to moderate pervasive hematite overprint from 143.5m; and a 13.3m (drill width) wide fault zone at 303.7m characterized by broken, blocky and friable sandstone with a strong hydrothermal hematite overprint transitioning to a pervasive sooty pyrite overprint at 312.1m that extends to the unconformity.

CONCLUSION & VALUATION

Ultimately, the winter drilling campaign was successful in identifying additional mineral fault strands across the width of the Hurricane South Trend, highlighting a broader and more prospective corridor than previously interpreted, with potential for additional zones within underexplored areas. Results to date are being used by the project team to reinterpret the faults that control uranium mineralization along the South Trend and suggest potential for additional mineralization in areas that remain underexplored. Upon receipt of assays and further interpretation, follow-up drilling will be conducted. We maintain our 1.0x target NAV multiple which leads to a price objective of C$18.70 per share (rounded). This implies 26% upside from the most recent close on the TSX (April 6). ISO shares currently trade at 0.79x discount to NAV.