Aura Energy is eyeing extensions to the known main uranium resource at Tiris. Pic via Getty Images
Uranium developer Aura Energy is glowing after raising more than $18m for project development and exploration
Mining
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- $16.2m raised to progress development of Tiris and Haggan projects
- A further $2m in shares offered to eligible shareholders at an 18% discount to last closing price
- Through a FEED study, Tiris is shown to be a near-term and low-cost uranium project in Mauritania
Special Report: Aura Energy is raising more than $18 million to advance pre-development activities at its 58.9Mlb Tiris uranium project in Mauritania and support further work at Haggan in Sweden.
Aura Energy (ASX:AEE) believes it can bring Tiris to life within 1.5 years of a final investment decision – earmarked for later this year – to produce 1.9Mlb per annum at just US$34.5/lb.
It comes after the company recently defined high-grade U3O8 mineralisation over a 6km2 area from recent Phase 1 drilling across almost 10,000m.
Grades at its Hippolyte South prospect show mineralisation extending east and northwest and include up to 4.8m @ 1,170ppm U3O8 from 0.5m, while drilling at the Sadi prospect extended a further 1.2km from the current resource with up to 3.2m @ 363ppm U3O8 from 0.6m.
Some of the 13,000km2 of new tenement applications also overlie large radiometric anomalies adjacent to the current resource at Tiris East, further demonstrating the huge potential of the region.
Cap raise has skin in the game
Firm commitments from professional and sophisticated investors to raise $16.2 million through a share placement of 90.2 million shares at 18c per share have been received to advance its flagship Tiris uranium project, representing an 18.2% discount to the last closing price of 22c.
AEE is also allowing other eligible shareholders to participate in a share purchase plan for a further $2 million at the same price.
New CEO Andrew Grove is putting his money where his mouth is and will also pour in $100,000 of his own funds.
Grove says the company is delighted with the support for the placement which saw a number of highly credentialled investors join the AEE register.
“Existing shareholders can participate in this exciting period of growth on the same terms as the placement through the share purchase plan,” he says.
This article was developed in collaboration with Aura Energy, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
