Mauritania : Aura Energy raised 2.24 million £ and forecasts on Tiris uranium

Aura Energy Ltd, with Mauritanian lithium and uranium assets in its global portfolio, raised 2.24 million £ and bets on promising nuclear energy market by the end of the decade.

Funding has been raised, by way of a placing of 196,883,849 new ordinary shares at £0.0114 per share, as part of its listing on AIM to be effective on September 12, the ASX listed company disclosed on September 9.

Aura Energy said subscription agreements have been executed, in conjunction, with sophisticated Australian investors to raise a further £ 466,990 at £0.0114 per share. 

The Australian subscriptions will be completed on or around 16 September 2016.

“This is an outstanding outcome for the Aura Energy and we have always believed that, given our European and African focus, dual listing on AIM was both an attractive option for Aura and a natural marketplace for us,” Mr. Peter Reeve, Executive Chairman of Aura said.

Peter Reeve believes this a “transformational period” for Aura which is likely to generate significant traction for shareholders.

“In addition Aura received exceptionally strong support from existing and new shareholders for its recent Mauritanian gold transaction where it has secured a vast underexplored tract of greenstone belt just south of the 21 million ounce Tasiast Gold Mine owned by Kinross Gold Corporation”, he explained.

All these occur at a time when separate application of the company for lithium and soda ash permits in Mauritania was also well received.

Peter Reeve is confident this now well funded phase positions Aura ideally over the coming years as its is turning into a leading uranium developer and is advancing its projects towards high margin, profitable production in the near to medium term.

“We believe there is a substantial uranium market opportunity ahead of us as there has been little new investment into the uranium sector, despite the world’s energy needs growing exponentially”, he said.

Mr. Reeve underscored that there are currently an increasing number of nuclear reactors being built and coming back on line globally.

More precisely, he stated : “China, for example, is expected to double its nuclear generation capability by 2020”.

Executive Chairman of Aura strongly hopes substantial increases in pricing by the end of the decade will coincide with the first production from Tiris of which the feasibility study is targeted for completion in late 2017.

Scoping study, on 20% of the known global mineral resource of the project, indicates 11 million pounds of uranium production over an initial mine life of 15 years.

Aura Energy Ltd wholly owns Tiris, a project with 49Mlbs uranium in current resources from 66 million tonnes at 334 ppm U3O8 in Mauritania.