Aurora Energy Metals Limited · ASX:1AE
Aurora Energy Metals — Investor Presentation (January 2024)
28 slides from Aurora Energy Metals's investor presentation, January 2024
Slide 1: Advancing the USA's largest measured uranium deposit
Advancing the USA’s largest measured uranium deposit Investor Presentation January 2024
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by and issued by Aurora Energy Metals Limited, to assist it in “Measured Resources”, “Indicated Resources” and “Inferred Resources” are to those terms as defined informing interested parties about the Company and its progress. It should not be considere
Slide 3: Overview
Overview • The Global Nuclear Renaissance • Constrained Uranium Supply • US Nuclear Resurgence • Aurora can play an important role in US supply AURORAENERGYMETALS.COM 3
Slide 4: Nuclear power renaissance gathering momentum
Nuclear power renaissance gathering momentum Increasingly recognised as the only reliable pathway to net zero and increased energy security • COP28 – US and UK lead pledge to triple nuclear power by 2050 • US to triple nuclear to 300GW by 2050 • UK to quadruple nuclear (25% of projected electricity
Slide 5: Nuclear power renaissance gathering momentum
Nuclear power renaissance gathering momentum Increasingly recognised as the only reliable pathway to net zero and increased energy security • Germany’s attempt at decarbonisation has come at great cost and a major decline in industrial output • France decarbonised its electricity supply in 10 years
Slide 6: Overview
Overview • The Global Nuclear Renaissance • Constrained Uranium Supply • US Nuclear Resurgence • Aurora can play an important role in US supply AURORAENERGYMETALS.COM 6
Slide 7: Spot uranium price at second highest level ever
Spot uranium price at second highest level ever AURORAENERGYMETALS.COM 7
Slide 8: Spot uranium price at second highest level ever
Spot uranium price at second highest level ever Spot doubled in a year whilst contracting volumes are at decade long high Source: Cameco • UxC projected a 66 Mlb deficit for 2023, a 34% shortfall compared to forecast demand of 195 Mlbs • 2022’s shortfall was 39 Mlbs, a 24% shortfall Source: Cameco,
Slide 9: Spot uranium price at second highest level ever
Spot uranium price at second highest level ever But supply is more uncertain than ever Source: Cameco AURORAENERGYMETALS.COM 9
Slide 10: Inventory Depletion
Inventory Depletion The inventory overhang is now depleted, and production shortfalls are the future’s reality Since 1990, net inventory depletion estimated at 1.357 billion lbs U3O8 And the shortfall will continue for at least the next decade That is ~40 Mlbs U3O8 / annum (~25%) 1. UxC Presentation
Slide 11: Reliable Future Supply?
Reliable Future Supply? Uranium production forecasts are notoriously difficult and often unreliable In October 2023, Kazatomprom projected increased production from 55 Mlbspa U3O8 in 2023 to 82 Mlbspa U3O8 in 2025 Source: Company Analysis AURORAENERGYMETALS.COM 11
Slide 12: Overview
Overview • The Global Nuclear Renaissance • Constrained Uranium Supply • US Nuclear Resurgence • Aurora can play an important role in US supply AURORAENERGYMETALS.COM 12
Slide 13: Why is US domestic uranium production so important?
Why is US domestic uranium production so important? The world’s largest uranium consumer imports almost all its requirements1 • World’s largest nuclear power fleet – hence the world’s largest uranium consumer. Where does the USA get its uranium? • Well established nuclear power sector with 2021 2022
Slide 14: US Uranium Boom & Bust
US Uranium Boom & Bust Supply is almost nonexistent in the world’s largest consumer of uranium Weapons Inventory Megatons to Inventory Procurement Accumulation Megawatts Depletion Mlbs U3O8 Source: Company Analysis, WNA AURORAENERGYMETALS.COM 14
Slide 15: And why there's a resurgent US Uranium Mining Sector
And why there’s a resurgent US Uranium Mining Sector Aggressive plans to re-establish a reliable, domestic nuclear fuel supply chain1 H.R. 1042 Bi-Partisan Support Civil Nuclear Credit Program Prohibiting Russian Uranium Imports Act • Inflation Reduction Act – US$368Bn Financial support for nuclear
Slide 16: High level of public support for nuclear
High level of public support for nuclear Public support for nuclear in the US is at an all-time high Public support for nuclear translates into policy support for nuclear expansion and re- establishment of all aspects of the nuclear supply chain, including uranium mining Source: Bisconti Research, I
Slide 17: Overview
Overview • The Global Nuclear Renaissance • Constrained Uranium Supply • US Nuclear Resurgence • Aurora can play an important role in US supply AURORAENERGYMETALS.COM 17
Slide 18: The Aurora Uranium Deposit is unique in the US
The Aurora Uranium Deposit is unique in the US Sound fundamentals underpin the Project Resource Quality Aurora Energy Metals Project: • Large, well-defined deposit The USA’s largest mineable, measured and indicated uranium deposit Great Infrastructure • Direct access to hydroelectricity • Sealed and
Slide 19: One of the largest US Uranium Deposits
One of the largest US Uranium Deposits 107.3 Mt @ 214 ppm U33O88 for 50.6 Mlb U33O88 – focussed on the shallow high-grade core: 18Mt @ 485 ppm U3O8 for 19.2 Mlb U3O8 Aurora’s focus is on the shallow high-grade core: 18Mt @ 485 ppm U3O8 for 19.2 Mlb U3O8 The largest mineable, measured and indicated u
Slide 20: Aurora Uranium Project
Aurora Uranium Project The Project has inherent competitive advantages • Historical mining district – excellent infrastructure. • 1970’s discovery, extensively drilled. • Large, well-defined resource (50.6 Mlb U3O81). • Focused on shallow, high-grade core: • 18Mt @ 485 ppm U3O8 for 19.2 Mlb U3O81. •
Slide 21: Established, Clear Pathway to Development
Established, Clear Pathway to Development Use existing infrastructure, roads and most importantly, available hydroelectricity supply Power mine with emissions free, low-cost hydro-electricity • Mine in Oregon Process plant in Nevada, on private land. • Excellent infrastructure for Plant: • Existin
Slide 22: Corporate Snapshot
Corporate Snapshot Advancing the USA’s largest measured uranium deposit Capital Structure (on an undiluted basis, as at 18 January 2024) 1AE 179m 11% 11% ASX Code Shares on Issue (inc. 19.9m escrowed) 48% 10% A$30.3M 30m Market Cap (at A$0.17 per share) Options (21.2m @ $0.15, 6m @ $0.20, 2.85m @ $0
Slide 23: Concluding Remarks
Concluding Remarks US Jurisdiction: Asset Quality: Infrastructure: Attractive valuation: Reasons to invest in The world’s largest Largest mineable Will enable accelerated Significant upside Aurora Energy Metals uranium consumer, M&I uranium development, with given current trying to revitalise resour
Slide 24: Appendices
Appendices Appendices AURORAENERGYMETALS.COM 24
Slide 25: Well Defined Mineral Resource
Well Defined Mineral Resource Well understood, with over 600 holes drilled, but still some exploration upside1 High Grade Core: 18Mt @ 485 ppm U3O8 for 19.2 Mlb U3O81 1. ASX 23 November 2022 – 34% Increase in Total Uranium Resource to 50.6 Mlbs Maiden Measured Resource Declared at Aurora Uranium Dep
Slide 26: Low Geological Risk
Low Geological Risk Global resource ~82% Measured and Indicated, High grade core ~99.5% Measured and Indicated1 100m 1. ASX 23 November 2022 – 34% Increase in Total Uranium Resource to 50.6 Mlbs Maiden Measured Resource Declared at Aurora Uranium Deposit AURORAENERGYMETALS.COM 26
Slide 27: Uranium Resource Summary
Uranium Resource Summary1 1. High grade zone estimated using a 300 ppm U3O8 cut-off 2. Low grade zone estimated using a 100 ppm U3O8 cut-off 3. Appropriate rounding applied JORC Disclaimer: Information in this announcement relating to Exploration Results and Mineral Information in this announcement
Slide 28: Greg Cochran, Managing Director & CEO
Greg Cochran Managing Director & CEO E: info@auroraenergymetals.com Suite 1, 245 Churchill Avenue SUBIACO WA 6008 P: 08 6465 5500 www.auroraenergymetals.com 28
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