PERTH (miningweekly.com) – Dual listed Aura Energy will raise A$8.8-million in a share placement to advance its Tiris uranium project, in Mauritania.

Shareholders approved the issue of 35.2-million shares, at a price of 25c each, at the company’s annual general meeting in December. The offer price represented a 20% discount to Auris’ five-day volume weighted average share price.

CEO Dr Will Goodall said on Monday that he was pleased with the support shown for the capital raise from existing and new shareholders.

“The uranium market is strong, reflecting the rapidly emerging understanding of the critical role that nuclear energy will play in the energy mix of a net zero emission world. The geopolitical situation will continue to introduce some volatility, however, the fundamental lack of primary supply in the uranium market should continue to underpin a strengthening position for near-term development projects, such as Aura’s Tiris project.”

Goodall said that the funds raised would allow Aura to complete the resource enhancement programme at Tiris and would allow the company to start the engineering phase of the project, securing an engineering consultant and initiating the front-end engineering design study, progressing towards a decision to mine in the fourth quarter of this year.

“The remainder of this year will see Aura rapidly progress the low capital cost, low operating cost Tiris uranium project. We plan to enhance and expand the Tiris resource, finalise regulatory discussions with the Mauritanian government, progress marketing and financing conversations and take engineering to a point where we can move into procurement and construction through 2023.

“We are excited about the journey and look forward to bringing the Tiris project to a stage where we are producing uranium, supporting the global push to minimise carbon emissions,” said Goodall.

A 2019 definitive feasibility study estimated that Tiris would require a capital investment of $62.9-million and would produce 12.4-million pounds of uranium oxide over a 15-year mine life.