REG - Aura Energy Limited - Swedish Uranium Collaboration Agreement

Aura EnergyAnnouncement

02/06/2025 07:45

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RNS Number : 9742K  Aura Energy Limited  02 June 2025

 

 

                                                                                                                 2 June 2025

Swedish Uranium Collaboration Agreement
KEY HIGHLIGHTS

§ Swedish government progresses towards lifting the uranium mining ban

§ Aura Energy and Neu Horizon Uranium Ltd plan to enter into a strategic
collaboration agreement

§ Aura Energy to make a minority investment in Neu Horizon Uranium Ltd - an
Australian based unlisted public company focused on advancing Sweden's uranium
resources

§ Planned joint initiatives include government engagement, technical
collaboration, and a 2025 investor symposium in Stockholm

§ Aura's Häggån deposit Swedish asset is the fourth largest uranium deposit
in the world 1  (#_ftn1)

§ Aura Energy holds constructive discussions with Swedish parliament to
support uranium mining reform, reinforcing Sweden's nuclear energy ambitions

Aura Energy Limited (ASX: AEE, AIM: AURA) ('Aura' or the 'Company') is pleased
to report that Aura executives recently visited Stockholm, engaging in
productive discussions with members of the governing coalition in Parliament
to discuss the benefits of reversing the prohibition on uranium mining in
Sweden.

Sweden currently generates one-third of its electricity from nuclear power but
relies entirely on imported uranium 2  (#_ftn2) . The Swedish Government has
planned to double the production of low-cost, reliable nuclear power by at
least twice the current capacity 3  (#_ftn3) . Allowing uranium extraction
from Sweden's natural resources will enhance energy security, create jobs, and
promote economic growth.

Aura welcomes the clear direction of government policy in removing the ban and
the strong commitment shown by politicians to attract investment into the
country's mining industry. These engagements underscore Sweden's commitment to
leverage its significant geological endowment of uranium, positioning the
nation as a leader in energy production.

The Swedish governing coalition has expressed strong support for overturning
the uranium mining ban. The next steps include a referral process before the
proposal is brought to Parliament for approval. A parliamentary vote is
expected for this and is fully supported by the Swedish government in 2025.

The Swedish government has expressed their support for the Swedish uranium
mining industry for the export to the European Union and consumption for
domestic energy production.

Collaboration Agreement Details

Aura Energy's Häggån deposit is one of the largest undeveloped uranium
resources globally with an Inferred Mineral Resource of 800Mlbs of contained
U(3)O(8) 4  (#_ftn4) (.) Sweden's current uranium consumption is estimated at
1,500tpa (3.3Mlbspa) 5  (#_ftn5) . To advance strategic development in
Sweden's uranium sector, Aura Energy and Neu Horizon Uranium Ltd have agreed
to enter into a collaboration agreement.

 

Under this agreement:

§  Aura Energy will invest A$100,000 for a minority stake in Neu Horizon
Uranium Ltd

§  The two companies will collaborate on key initiatives, including:

§ Government and regulatory engagement

§ Technical cooperation on uranium extraction and processing

§ Administrative synergies to enhance operational efficiency

§ Joint participation in a 2025 investor symposium in Stockholm

About Neu Horizon Uranium

Neu Horizon Uranium Ltd is an Australian based unlisted public company focused
on advancing Sweden's uranium resources. The company holds a portfolio of high
potential uranium projects in key mineralised regions including:

§  Vilhelmina Shale-Hosted Uranium Project - Adjacent to District Metals'
Tåsjö Project, this deposit hosts uranium grades significantly higher than
Sweden's Alum Shale Formation and contains critical and battery metals such as
rare earth elements (REEs), vanadium, nickel, and cobalt

§  Ravenberget Shear-Hosted Uranium Project - Located in Norrbotten County
spanning over 12,000 hectares. This project contains high-grade uranium
mineralisation discovered by the Swedish Geological Survey (SGU) in the 1970s
with rock chip samples grading of up to 1.88% U(3)O(8) 6  (#_ftn6) . The area
remains underexplored using modern techniques

§  Gillberget Shear-Hosted Uranium Project - Covering over 12,000 hectares
in central Sweden, this project targets uranium-rich boulder and outcrop
occurrences identified in the early 1980s. The mineralisation is controlled by
major deformation zones, similar to other uranium-rich districts in Sweden

Neu Horizon Uranium Ltd plans to apply modern exploration methods to advance
these assets and intends to list on the ASX in Q4 2025 or early 2026.

Swedish Government Advances Uranium Mining Reform

On 20th December 2024, the Swedish Government announced the results of an
inquiry recommending uranium be classified as a concession mineral under the
Minerals Act which would allow uranium mining in Sweden. The government is
working through legislative process to change the legislation which is
expected to be presented to Parlement for enactment on the 1(st) January 2026.
This aligns Sweden's mining regulations with its energy policy, which supports
nuclear power expansion.

Sweden currently generates one-third of its electricity from nuclear power but
relies entirely on imported uranium. Swedish government has planned to double
the production of low-cost, reliable nuclear power Allowing uranium extraction
within Sweden's natural resources will enhance energy security, create jobs,
and promote economic growth.

Sweden's Uranium Market and Export Potential

Sweden is positioning itself as both a secure domestic supplier and a future
exporter of uranium to support global nuclear energy growth. The alignment of
mining policy with energy objectives enhances the nation's ability to
contribute to the European Union's expanding nuclear energy programs.

Aura Energy's Häggån uranium Mineral Resources 7  (#_ftn7) contains over
800M lbs of U(3)O(8) Inferred Resources and offers very significant economic
and strategic potential for Sweden as a major uranium producer while ensuring
energy security for both Sweden and the European Union. This does not include
additional upside potential from Neu Horizon Uranium's exploration projects.

Note: While the current Swedish government has committed to removing the
uranium mining ban, the policy change remains subject to parliamentary
approval and there is no guarantee it will be enacted.

 

Chair of Aura Energy, Phil Mitchell said:

"The Swedish Government's step towards lifting the uranium mining ban mark a
transformational moment for the country's energy future. Aura Energy is proud
to playing a leadership role in advancing Sweden's uranium sector. Our
collaboration with Neu Horizon Uranium positions us to capitalise on the
country's exceptional geological endowment and support its uranium ambitions."

Chair of Neu Horizon Uranium, Martin Holland said:

"Every now and again, along comes an incredible opportunity in mining. This is
happening in Sweden with uranium in 2025. Our collaboration with Aura Energy
is a strategic step towards unlocking Sweden's uranium potential. Sweden holds
large quantities of Uranium resources, and this collaboration will facilitate
progress in regulatory engagement and technical advancements, aligning with
Sweden's vision for energy security."

ENDS

This announcement is authorised for release by the Board of Aura Energy Ltd.

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                                   SP Angel Corporate Finance LLP  Tamesis Partners LLP

 Managing Director and CEO

                                              Nominated Adviser               Broker
 Aura Energy Limited

 agrove@auraee.com (mailto:agrove@auraee.com)   David Hignell                   Charlie Bendon

 +61 414 011 383

                                              Adam Cowl                       Richard Greenfield

                                                Devik Mehta                     +44 203 882 2868

                                                +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.

Aura owns 100% of the Häggån Project in Sweden. Häggån contains a
global-scale 2.0Bt vanadium, sulphate of potash (SOP) 8  (#_ftn8) and
uranium 9  (#_ftn9) resource. Utilising only 3% of the resource, a 2023
Scoping Study 10  (#_ftn10) outlined a 17-year mine life based on a 3.6Mtpa
production rate.

Note there is a low level of geological confidence associated with Inferred
Mineral Resources and there is no certainty that further exploration work will
result in the determination of Indicated Mineral Resources or that the
production target itself will be realised.

The Company is focused on developing a uranium mine at the Tiris Uranium
Project, a major greenfield uranium discovery in Mauritania. The 2024 FEED
Study 11  (#_ftn11) and Production Target Update 12  (#_ftn12) demonstrates
Tiris to be a near-term low-cost uranium mine producing 2Mlbspa U(3)O(8) over
a 25-year mine life with excellent economics and optionality to expand and to
accommodate future exploration success.

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.

Disclaimer Regarding Forward-Looking Statements

This ASX announcement (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.

The Company has concluded that it has a reasonable basis for providing the
forward-looking statements and production targets included in this
announcement and that material assumptions remain unchanged. The detailed
reasons for this conclusion are outlined throughout this announcement, and in
the ASX and AIM announcement:

1.   5 September 2023 - Scoping Study Confirms Scale and Optionality of
Häggån

The Company confirms that it is not aware of any new information materially
affecting the information included in the ASX and AIM announcements:

1.   22 Aug 2012 - Outstanding Häggån Uranium Resource expands to 800
million pounds

2.   10 Oct 2019 - Häggån Battery Metal Project Resource Upgrade Estimate

All material assumptions and technical parameters underpinning the Tiris and
Häggån Project Mineral Resources Estimates continue to apply. The Company
confirms that the form and context in which the Competent Person's findings
are presented have not been materially modified from the original market
announcements.

 1  (#_ftnref1)
https://www.miningvisuals.com/post/key-uranium-projects-and-deposits-around-the-world/

 2  (#_ftnref2)
https://www.iaea.org/newscenter/news/swedens-plan-to-expand-nuclear-power-in-focus-during-first-visit-by-director-general-grossi/

 3  (#_ftnref3)
https://world-nuclear.org/information-library/country-profiles/countries-o-s/sweden/

 4  (#_ftnref4) ASX and AIM Release: 22 August 2012 - Outstanding Häggån
uranium resource expands to 800 million pounds

 5  (#_ftnref5) https://thenorthern-explorer.com/2024/03/uranium-in-sweden/

 6  (#_ftnref6) https://neuhorizonsuranium.com/projects/

 7  (#_ftnref7) ASX and AIM Release: 22 Aug 2012 - Outstanding Häggån
Uranium Resource expands to 800 million pounds

 8  (#_ftnref8) ASX and AIM Release: 10 Oct 2019 - Häggån Battery Metal
Project Resource Upgrade Estimate

 9  (#_ftnref9) ASX and AIM Release: 22 Aug 2012 - Outstanding Häggån
Uranium Resource expands to 800 million pounds

 10  (#_ftnref10) ASX and AIM Release: 5 Sept 2023 - Scoping Study Confirms
Scale and Optionality of Häggån

 11  (#_ftnref11) ASX and AIM Release: 28 Feb 2024 - FEED study confirms
excellent economics for the Tiris Uranium Project

 12  (#_ftnref12) ASX and AIM Release: 11 Sept 2024 - Updated Production
Target Improves Economics at Tiris

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