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Aura Energy advances uranium project, eyes production

Published 27/11/2024, 09:16

PERTH - Aura Energy Limited (ASX: AEE, AIM: AURA), an Australian-based uranium company, confirmed on Tuesday that all resolutions proposed at its Annual General Meeting (AGM) were passed by shareholders. The meeting, which took place on Monday, focused on the company's progress, particularly on the Tiris Uranium Project in Mauritania and the Häggån Project in Sweden.

Chairman Phillip Mitchell highlighted the transformative year for Aura, with significant advancements in their project portfolio. The company has completed a Front-End Engineering and Design (FEED) study for the Tiris Project, updated in September 2024, showcasing promising economics, including a net present value (NPV) of US$499 million and an internal rate of return (IRR) of 39%. Additionally, a successful exploration campaign led to a 55% increase in Tiris' global Mineral Resources, now totaling 91.3 million pounds of U3O8.

Aura has also restructured an offtake agreement with Curzon Uranium Ltd, which has resulted in a 70% increase in the average fixed contract price for uranium, enhancing potential revenue for the Tiris Project. The company is in the process of securing funding for Tiris, with debt and equity investment discussions underway. Independent (LON:IOG) engineers have commenced due diligence for potential lenders and investors, with the goal of making a Final Investment Decision (FID) on Tiris in Q1 2025.

In Sweden, Aura is actively engaging with government officials as the country considers policy changes that could support the development of nuclear power and potentially lift the ban on uranium mining. The Häggån Project, a significant polymetallic resource, is progressing, with an exploitation permit application lodged in August 2024.

Global demand for uranium is on the rise, with numerous nuclear reactors under construction or planned. The World Nuclear Association's 2023 Nuclear Fuel Report forecasts a substantial increase in uranium demand over the next two decades.

Aura Energy's share price may be influenced by these developments as the company aims to begin Tiris production by late 2026, positioning itself in a market with a growing appetite for clean energy solutions. The information in this article is based on a press release statement from Aura Energy.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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