Aura Energy Limited (ASX: AEE, AIM: AURA) ('Aura' or the 'Company') is pleased to announce the completion of the previously announced restructure of the uranium offtake agreement with Curzon Uranium Ltd.1 ('Curzon') which materially increased the price receivable for planned uranium production at the flagship Tiris Uranium Project (the 'Project'), while releasing significant value for the Project.
KEY POINTS: The restructured offtake agreement improves the Project NPV8 by US$22M to US$388M and increases the IRR by 2% to 36% compared with Front End Engineering Design ('FEED') study economics delivered in February 20242 The final restructure agreement and new offtake agreement are on the same terms as previously announced1 to the market and were signed on 15/08/2024 Consistent with its previous election, Curzon will receive the US$3.5M (A$5.4M) restructuring fee in 29,914,530 Aura shares priced at A$0.18 per share ('Restructuring Fee Shares'), expected to be issued on or around 18/08/2024 Restructuring Fee Shares will be escrowed until first production from the Project Aura will make a private placement to Curzon of 29,914,530 Aura shares, valued at US$3.5M (A$5.4M) in aggregate ('Placement Shares'), expected to be issued on or around 18/08/24 50% of the Placement Shares will be escrowed until the earlier of 30 June 2025 or Final Investment Decision ('FID') is made on the Project In addition to the previously disclosed terms for the Curzon placement1 , the parties have agreed that Aura will issue 5,982,906 unlisted options('Options') priced at A$0.20 per option and expiring 1 September 2025, to Curzon. The terms of the Options are set out in Annexure 1. In aggregate, Curzon will be issued 59,829,060 new shares in Aura and 5,982,906 Options. Following completion of the share issues, Curzon will hold approximately 7.2% of the undiluted issued shares in the Aura. With the additional funds, Aura is well funded to progress the Project through to FID by Q1 2025 Aura
Aura MD and CEO, Andrew Grove commented: 'We are pleased to conclude the value accretive offtake restructure and we welcome Curzon - a leading global trader in uranium - as a new significant long term Aura shareholder and partner for the development of the Tiris Uranium Project. Curzon's deep market insights and extensive networks will be of significant benefit to the development and successful operation of the Tiris Uranium Mine and will therefore be of enormous benefit to all Aura shareholders and stakeholders.'
The Board of Aura Energy Ltd has approved this announcement.
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').
Contact:
Andrew Grove
Managing Director and CEO
Aura Energy Limited
Tel: +61 414 011 383
Email: agrove@auraee.com
Paul Ryan
Sodali & Co
Investor & Media Relations
Tel: +61 409 296 511
Email: paul.ryan@sodali.com
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 future 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 Haggan Project in Sweden. Haggan 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 (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 forwardlooking statements will be achieved.
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