REG - Aura Energy Limited - Oversubscribed Share Purchase Plan

Aura EnergyAnnouncement

30/05/2024 08:15

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RNS Number : 4341Q  Aura Energy Limited  30 May 2024

 
                                                                                                30 May 2024

 

 Oversubscribed Share Purchase Plan

 KEY POINTS:

 ·    Share purchase plan heavily supported and oversubscribed

 ·    The share purchase plan raised approximately A$2 million (before
 costs)

 ·    Funds raised will assist Aura for pre-development activities at the
 Tiris Uranium Project with FID expected in 2024 and production expected in
 2026. The raising will also support development of the Häggån Project in
 Sweden and provide additional working capital

 

Aura Energy Limited (ASX: AEE, AIM: AURA) ("Aura" or "the Company") advises
that the share purchase plan ("SPP") offered under the prospectus lodged with
ASIC and released to the ASX on Tuesday, 23 April 2024 ("Prospectus") closed
on Thursday, 23 May 2024.

The Company advises that it received valid applications for 19,325,000 fully
paid ordinary shares in the Company ("SPP Shares") to raise A$3,478,500
(before costs) under the SPP, substantially exceeding the targeted amount of
A$2 million. The SPP was priced at A$0.18 (£0.0936) per SPP Share and also
includes three (3) free attaching options ("SPP Options") for every four (4)
SPP Shares to be issued, with the SPP Options exercisable at a price of A$0.30
(£0.156) per SPP Option and expiring two (2) years from the date of issue.

Due to the overwhelming support of shareholders for the offer and the terms of
the SPP not allowing for over subscriptions, the Company has undertaken a pro
rata scale back of applications, as allowed for in section 2.11 of the
Prospectus. All applicants will therefore receive less than the parcel of SPP
Shares for which they applied. Excess application monies after the completion
of the scale back will be refunded to applicants without interest in
accordance with the terms and conditions of the Prospectus.

The SPP was announced on 18 March 2024, in connection with a A$16.2 million
placement to professional and sophisticated investors ("Placement"). Together
with the Placement, the Company has raised a total of A$18.2 million (before
costs).

Funds raised under the SPP and the Placement are indicatively proposed to be
used towards:

·    assisting the Company with pre-development activities at the Tiris
Project in Mauritania, with a final investment decision expected in 2024 and
production expected in 2026;

·    supporting development of the Häggån Project in Sweden; and

·    providing additional working capital.

The Company received shareholder approval for (amongst other matters) the
issue of the SPP Shares, SPP Options and the shares and options to certain
Directors under the second tranche of the Placement at the general meeting
held on Tuesday, 21 May 2024.

Securities under the SPP, together with the Placement Options (as defined in
the Prospectus), will be issued on Thursday, 30 May 2024. The SPP Shares
issued under the SPP Offer will be admitted to trading on ASX and AIM. The SPP
Options will not be admitted to trading on AIM, only to ASX (subject to
satisfying the ASX quotation requirements).

The Board of Aura would like to thank shareholders for their strong support of
the SPP offer.

Cleansing Notice

The Company has today also issued a Cleansing Notification under section
708A(5)(e) of the Australian Corporations Act 2001. The full version of the
Company's ASX announcement can be viewed via the following link:
http://www.rns-pdf.londonstockexchange.com/rns/4341Q_1-2024-5-30.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/4341Q_1-2024-5-30.pdf)

 

 

ENDS

This announcement is approved for release by the Managing Director & CEO.

This Announcement contains inside information for the purposes of the UK
version of the market abuse regulation (EU No. 596/2014) as it forms part of
United Kingdom domestic law by virtue of the European Union (Withdrawal) Act
2018 ("UK MAR").

For further information, please contact:

 Andrew Grove                                   Paul Ryan                                                  SP Angel Corporate Finance LLP

 Managing Director and CEO                      Citadel-MAGNUS                                             Nominated Advisor and Broker

 Aura Energy Limited                            Investor & Media Relations                                 David Hignell

 agrove@auraee.com (mailto:Agrove@auraee.com)   pryan@citadelmagnus.com (mailto:pryan@citadelmagnus.com)   Kasia Brzozowska

 +61 414 011 383                                +61 409 296 511                                            Grant Barker

                                                                                                           +44 203 470 0470

About Aura Energy (ASX: AEE, AIM: AURA) 

Aura Energy is an Australian-based mineral company with major uranium and
polymetallic projects in Africa and Europe.

The Company is focused on developing a uranium mine at the Tiris Uranium
Project, a major greenfield uranium discovery in Mauritania. The February 2024
FEED study demonstrated Tiris to be a near-term low-cost 2Mlbs U3O8 pa near
term uranium mine with a 17-year mine life with excellent economics and
optionality to expand to accommodate resource growth.

Aura plans to transition from a uranium explorer to a uranium producer to
capitalise on the rapidly growing demand for nuclear power as the world shifts
towards a decarbonised energy sector.

Beyond the Tiris Project, Aura owns 100% of the Häggån Project in Sweden.
Häggån contains a global-scale 2.5Bt vanadium, sulphate of potash ("SOP")
and uranium resource. Utilising only 3% of the resource, a 2023 Scoping Study
outlined a 27-year mine life based on mining 3.5Mtpa.

 

Disclaimer Regarding Forward-Looking Statements

This ASX announcement contains various forward-looking statements. All
statements other than statements of historical fact are forward-looking
statements. Forward-looking statements are inherently subject to uncertainties
in that they may be affected by a variety of known and unknown risks,
variables and factors which could cause actual values or
results, performance or achievements to differ materially from the
expectations described in such forward-looking statements. The Company does
not give any assurance or guarantee that the anticipated
results, performance or achievements expressed or implied in those
forward-looking statements will be achieved.

Not an offer of securities

This announcement has been prepared for publication in Australia and may not
be released to US wire services or distributed in the United States. This
announcement does not constitute an offer to sell, or a solicitation of an
offer to buy, securities in the United States or any other jurisdiction. Any
securities described in this announcement have not been, and will not be,
registered under the US Securities Act of 1933 and may not be offered or sold
in the United States except in transactions exempt from, or not subject to,
the registration requirements of the US Securities Act and applicable US state
securities laws.

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