Azarga Uranium Provides Update on Permitting Process

GREENWOOD VILLAGE, COLORADO--(Marketwired - Feb. 24, 2017) - AZARGA URANIUM CORP. (TSX:AZZ)(FRANKFURT:P8AA)(OTC PINK:PWURF) ("Azarga Uranium" or the "Company") has received notice that the Oglala Sioux Tribe has filed a petition for review of the decision made by the Commission of the United States Nuclear Regulatory Commission (the "NRC") pertaining to the 30 April 2015 partial initial decision of the Atomic Safety and Licensing Board (the "ASLB") regarding the Company's NRC license for the Dewey Burdock Uranium Project. The Company has not received notice of a petition for review filed by the consolidated intervenors (the consolidated intervenors and the Oglala Sioux Tribe are collectively referred to as the "Intervenors").

As disclosed in the Company's press release dated 28 December 2016, the ASLB ruled in favor of the NRC Staff and the Company on five contentions for the Dewey Burdock Uranium Project pertaining to groundwater usage, groundwater quality, ability to contain fluid migration, mitigation measures, and connected actions. The ASLB also ruled inadmissible two new contentions that were filed by the Intervenors after the evidentiary hearing. Subsequent to the ASLB decision on the above contentions, the NRC Commission decision denied the Intervenors petitions for review of the ASLB decision on these contentions or affirmed the ASLB's decision and dismissed the contentions.

"The previous decisions of the ASLB and NRC Commission support the technical merits of the Dewey Burdock Uranium Project and the Company believes that the decisions made by these agencies will be upheld," said Blake Steele, President of the Company.

The NRC license for the Dewey Burdock Uranium Project continues to remain in good standing and the Company will defend against any petitions for review filed by the Intervenors to the fullest extent possible. In addition, the Company will continue to work with its stakeholders to resolve the outstanding two contentions pertaining to the identification and protection of historic and cultural resources. The NRC Staff is continuing their consultation efforts with the Oglala Sioux Tribe in accordance with the ASLB directive so that the remaining two contentions may be resolved in a timely manner and the Company continues to facilitate this process to the fullest extent possible.

About Azarga Uranium Corp.

Azarga Uranium is a mineral development company that controls six uranium projects, deposits and prospects in the United States of America (South Dakota, Wyoming and Colorado) and the Kyrgyz Republic. The Dewey Burdock Uranium Project in South Dakota (the "Project"), which is the Company's initial development priority, has received its Nuclear Regulatory Commission License and the Company is in the process of completing other major regulatory permit approvals necessary for development of the Project, including those from the Environmental Protection Agency.

For more information please visit www.azargauranium.com.

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Disclaimer for Forward-Looking Information

Certain statements in this news release are forward-looking statements, which reflect the expectations of management regarding its disclosure and amendments thereto. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements may include, but are not limited to, statements with respect to the Company's belief that the decisions made by the ASLB and NRC Commission will be upheld, ongoing consultation efforts between the Oglala Sioux Tribe and the NRC Staff may resolve the outstanding two contentions in a timely manner or at all, the Company will continue to support the consultation efforts of the Oglala Sioux Tribe and the NRC Staff, the Company will defend against any petitions for review filed by the Intervenors and the Company's continued efforts to obtain major regulatory permit approvals necessary for development of the Project. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain expectations, estimates and assumptions, which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including without limitation: (1) the risk that the outstanding two contentions are not resolved in a timely manner, (2) the risk that the outstanding two contentions are not resolved, (3) the risk that the Company cannot continue to support the consultation efforts of the Oglala Sioux Tribe and the NRC Staff, (4) the risk that the Oglala Sioux Tribe's petition for review is successful and the decisions of the ASLB and NRC Commission are not upheld, (5) the risk that the Company cannot defend against petitions for review filed by the Intervenors, (6) the risk that such statements may prove to be inaccurate and (7) other factors beyond the Company's control. These forward-looking statements are made as of the date of this news release and, except as required by applicable securities laws, the Company assumes no obligation to update these forward-looking statements, or to update the reasons why actual results differed from those projected in the forward-looking statements. Additional information about these and other assumptions, risks and uncertainties are set out in the "Risks and Uncertainties" section in the Company's most recent MD&A filed with Canadian security regulators.

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