To view this release as a .pdf
complete with referenced images please click the following
link:
http://www.auraenergy.com.au/announcements-2017.html
31st
JULY 2017
AURA ENERGY
LIMITED
(“Aura” or the “Company”)
JUNE QUARTERLY
REPORT
KEY POINTS:
TIRIS PROJECT (Mauritania)
- Tiris Mining Lease Application submitted – Key Project
Milestone
- Continued strong progress on the Definitive Feasibility Study
(DFS)
- Environmental and Social Impact Assessment (ESIA)
completed
- Tiris Shareholders Agreement with Mauritanian Government
finalised
- Tiris Project Water Study continued with completion of
resistivity profiling and selection of targets for immediate drill
testing
- Tiris Resource upgrade drilling program in progress
- In-house engineering capacity to progress the project
- Discussions with engineering firms underway
- Ultra-detailed radiometric survey highlights Hippolyte South significant uranium
potential
TASIAST SOUTH GOLD PROJECT (Mauritania)
- Exploration of Aura’s gold tenements poised to commence
- Aura secures new western greenstone belts in new tenement
(100%)
LITHIUM AND SODA ASH PROJECT (Mauritania)
- Results from initial sampling encourage continuation of
sampling program
HÄGGÅN PROJECT (Sweden)
- Work continues on the Häggån Community Liaison brief
- Häggån Polymetallic potential under review with ‘green’
metals
- Review has highlighted significant quantities of cobalt,
vanadium, uranium, molybdenum, nickel, zinc and neodymium
CORPORATE
- Aura completed an exercise selling unmarketable parcels of Aura
shares
Quarterly Overview
During the June Quarter, Aura Energy continued to press forward
with the Tiris Definitive Feasibility Study (DFS). The key
deliverable for the period is the submission to the Mauritanian
government of the Tiris Mining Lease application. This is a
critical project milestone and highlights Aura’s drive to get Tiris
into production to coincide with the consensus expectation for the
recovery in the uranium price.
As part of the Mining Lease Application, the ESIA was submitted
which included Flora, Fauna and Archaeology Studies, etc. and
community consultation meetings. This activity forms much of work
required for the permitting of the Tiris Project and places Aura in
an excellent position to progress Tiris to the next stage of
development.
Aura continues to enjoy strong support for the Tiris Project
from the Mauritanian Government and the key ministries of Mining
and also Environment.
Aura remains very positive on its significant Tasiast South gold
and base metal prospects, however, granting of the permits remains
behind schedule. Aura expects this grant shortly, and will commence
field activities immediately after that happens.
The reassessment of the Häggån Project in Sweden to separately consider polymetallic
content of the project gathered some momentum with focus on ‘green’
metals highlighting value upside. Häggån contains significant
quantities of cobalt, vanadium, copper uranium, molybdenum, nickel,
zinc and neodymium. The reassessment highlights the potential
for the project's early development stages to be funded via
metal-streaming transactions.
TIRIS PROJECT, MAURITANIA (Aura 100%)
Tiris Project Overview
Aura is conducting a Feasibility Study on its 100% owned 49
million pound U?O? calcrete uranium project in Mauritania (See Figure 1). The project has low
operating costs and low development capital with strong financial
returns under long-term pricing scenarios.
To view this release as a .pdf complete with referenced images
please click the following link:
http://www.auraenergy.com.au/announcements-2017.html
Figure 1: Location of Aura’s Tiris
Project Uranium Resources
Tiris Project Definitive Feasibility
Study and Mining Lease Application
Following a broad program of evaluation and study over the past
8 months a key milestone for the development and construction of
the Tiris Project was achieved with the submission of the Tiris
Uranium Project Mining Lease Application on the target schedule to
the Mauritanian Government. As part of the application, Aura Energy
completed an exhaustive Environmental and Social Impact Assessment
(ESIA) covering all aspect of the project including community
consultation in the regions close to the project location (See
photos below).
This milestone for Aura’s Tiris Uranium Project brings Tiris
into the next important group of uranium projects that, subject to
financing, will be developed. Due to its low capital cost, the
implementation of Tiris remains achievable to meet the next cycle
of rising uranium prices.
The Mining Lease Application will now be reviewed by various
departments within the Mauritanian Mines Department and Environment
Department over a period of 6 months.
The application documentation included the final agreed term
sheet for the Tiris Shareholders Agreement, which covers the 10%
Government interest in the Tiris Uranium Project and was
successfully negotiated over a 3 week period.
The completion of the Definitive Feasibility Study (DFS) for the
Tiris Uranium Project is targeted for the end of 2017, however as
previously advised, Aura envisages some elements of the Tiris DFS
will still be outstanding at this point with full completion
expected in early in 2018. This is not expected to impact project
implementation and financing, as a number of parallel activities
will be conducted near the end of the Tiris DFS.
The critical areas remaining for the Tiris DFS are;
- The Tiris Project Water Study
- Metallurgical test work
- Tiris Mineral Resource upgrade
- Mining Study
- Detailed Engineering included package cost estimates
- Infrastructure Study
Aura continues to plan for all requirements for the
implementation of the Tiris Uranium Project during 2018 including
construction, potential product offtake and financing review. The
various departments within the Mauritanian Government, including
the Mines and Environment departments remain very supportive of
Aura’s project initiative and are assisting in the project’s
implementation.
Tiris Project Engineering Progress
With the commencement of in-house engineering for Tiris
activities completed to the end of the reporting period
include;
- Review of the 2014 Scoping study, 2017 ESIA and Feasibility
study documentation
- Issue of a Preliminary Project equipment list, General Design
criteria, and the Procurement and Contract Packaging list which
guides the contracting strategy
- Preparation of an engineering schedule for the Tiris
Project
- Reviewed methodologies to control dust emissions in mining with
shielding of mine loading area, sealed conveyors and covered
stockpile
- Issued enquiries for test work to three preferred Rotary
Scrubber drum suppliers. These suppliers have the capability of
turnkey equipment design and supply from ore dumping to crushing
and screening
- Obtained services of Microstation designer to commence Block
Diagrams/PFDs
- Prepared layout sketching of ore dumping, stockpile, retrieval,
crushing and screening, based on nominated plant throughputs
- Held familiarisation discussions with expatriate management
personnel previously stationed in Mauritania regarding local issues, and
obtained logistics study for a major Mauritanian construction
project
- Set up of project briefing sessions with a number of local
engineering companies as possible engineering consultants
Tiris Resource Upgrade Activities.
A program of 50 metre x 50 metre spaced drilling aimed at
upgrading a higher proportion of the Tiris resource to Indicated
and Measured status, commenced late in the quarter and is
continuing. Ten per cent of the holes being drilled are being
triple tube diamond cored to validate down hole gamma logging
results, to provide density data, to provide additional samples for
metallurgical test work, and to enable inspection of the material
below trenching depths.
Tiris Water Search Activities
Water search activities are being focussed in the basal
sedimentary units of the Taoudeni Basin, located 80 to 100 km south
of the Tiris resources. The Taoudeni Basin sediments contain known
aguifers providing water for operations further to the West. A
series of targets have been identified in the El Mreiti formation
sandstones, known to host prolific wells in the region, on which
drill testing is about to commence.
Photo’s from the Tiris Project
Community Consultation Days
To view this release as a .pdf
complete with referenced images please click the following
link:
http://www.auraenergy.com.au/announcements-2017.html
TASIAST SOUTH GOLD PROJECT, MAURITANIA (Aura 100%)
Aura Energy Limited announced in late 2016 that it has secured
rights to acquire 175 km2 covering two under-explored mineralised
greenstone belts in Mauritania
(See Figure 2). The areas lie along strike from Kinross’ giant
Tasiast Gold Mine and from Algold's Tijirit gold deposits.
The Mauritanian government has been keen to ensure strong
activity on the tenements it grants for exploration. The delay in
the granting these gold tenements has been caused by the
requirement for the tenements to be held in a non-Mauritanian
company vehicle. The transfer of these tenements to this vehicle
has caused the delay in grant.
Aura continues to expect these tenements to be granted in the
near future.
As part of this process Aura has restructured these tenements
into a separate vehicle and as part of that process secured an
additional 420 km2 tenement covering +50 kms of
additional greenstone belt. This tenement, Grara Mouchgag, is on
the western greenstone belts in this field and Aura believes the
prospectivity of this tenement is similar to its other gold
tenements. This new tenement is shown below in Figure 2.
To view this release as a .pdf
complete with referenced images please click the following
link:
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Figure 2: Location of Aura
areas in relation to known mineralisation
These highly prospective gold areas represent an excellent
opportunity in lightly explored Archean greenstone belts and will
leverage Aura's extensive operating experience in this part of the
world. The project is favourably located 200 km from Aura’s
Nouakchott office, 60 km from the
coast, and can be managed efficiently within the company’s existing
management resources without distraction from Aura's core uranium
focus.
Future Work Program and Other
Opportunities
Next steps envisaged at Tasiast South are;
- Ground electrical geophysics to locate the strongest zones of
disseminated sulphide development to prioritise drill targets
- Additional bedrock sampling by air-core or auger-drilling to
better define the high nickel ultramafics and zones of
copper/nickel for follow up drilling
- Deep drill testing (RC and DD) of gold and nickel/copper
targets defined
Aura’s timing for this work is dependent on granting of the permits
but will likely commence during the third quarter 2017.
LITHIUM AND SODA ASH PROJECT
(MAURITANIA)
Aura sampled and assayed the two large Sabkhas (salt pans) in
the region of its Tiris Uranium Project with a view to a source of
soda ash for the Tiris Project and other minerals.
Initial sampling of the Amare lithium and soda ash prospect was
undertaken late last year and the results indicated elevated grades
of lithium but not at commercial levels.
This technical success has encouraged Aura to continue the
program and test further parts of these Sabkha’s and to assess
further Sabkha’s in the region.
Soda ash is the leach agent proposed for Tiris and if a source
of sufficient quality can be located, it will provide significant
benefits to the Tiris Project economics.
Sabkha is an Arabic name for a salt-flat that has come into
general use in sedimentology. They are also known as “Salars” in
South America and generically as
salt pans or flats. The valuable salts can occur in the Sabkha
environment either in clays at or near surface or in brine
reservoirs deeper in the lake sediments.
HÄGGÅN POLYMETALLIC PROJECT,
SWEDEN (AURA 100%)
Häggån Development Reassessment
The Häggån Polymetallic Project contains significant quantities
of cobalt, vanadium, copper uranium, molybdenum, nickel, zinc and
neodymium.
Scoping studies previously completed by Aura have indicated that
the Häggån Project has the potential be a very large low-cost
producer with significant base metals and uranium output.
Work and discussions with relevant Swedish groups continued
regarding a community engagement program for the Häggån
Project.
The key aspects of the community liaison program are
twofold;
- Recruitment of an appropriate representative
- Further the education and understanding of Aura’s project in
those areas
- Completion of an economic development study to outline the
benefits of the project in terms of direct and indirect jobs,
capital outlay and broader contribution to the local and regional
economy
Aura continues to press the Häggån project as a unique and
strategic source of metals in Europe.
Aura believes Häggån is a 5-7 year proposition as a development
project and is scoping it work program around that time frame.
Häggån Polymetallic Attributes
Aura conducted a study of Häggån’s gross metal content to
highlight the significant polymetallic potential of the project and
to illustrate the value of these metals at current prices (See
Figure 3 below).
This review has highlighted Häggån’s potential to supply base
metals and the so-called ‘green metals’ to satisfy the growing
demand for battery related metals as part of the electrification of
vehicles.
The potential for base metal streaming transactions from this
deposit to aid the development is under review to reposition future
development focussed on the benefits of base metal production from
Häggån. This approach allows a broader appeal of the project in
Sweden with strong industrial
spin-off benefits for the local community such as local
manufacturing and valued added metal work industries.
This work will continue over 2017.
To view this release as a .pdf
complete with referenced images please click the following
link:
http://www.auraenergy.com.au/announcements-2017.html
Figure 3:
Häggån spread of metal values
CORPORATE
Unmarketable Parcel Sale Process
Aura instituted a Sale Facility for shareholders who hold
unmarketable parcels of shares in the Company.
Under ASX Listing Rules an unmarketable parcel is defined as:
(i) a shareholding with a market value of less than A$500, and therefore
(ii) any shareholding of 13,513 shares or less based on the closing
share price of 3.7 cents on the
Record Date (6 February 2017) is an
unmarketable parcel
At the completion of the process 2,082,606 shares were sold
reducing the number of shareholders by 363.
Aura Energy Directory
ASX Code:
AEE
AIM
Code:
AURA
Shares on issue:
792,808,124
Options on issue:
89,553,189
Board of Directors:
Peter
Reeve
Executive Chairman
Bob
Beeson
Non-Executive Board Member
Brett
Fraser
Non-Executive Board Member
Jules
Perkins
Non-Executive Board Member
Website:
www.auraenergy.com.au
For further information contact:
Aura Energy
Limited
Peter Reeve (Executive Chairman and CEO) |
Telephone: +61
(3) 9516 6500
Email: info@auraenergy.com.au |
WH
Ireland Limited
Adrian Hadden
James Bavister |
Telephone: +44 (0)
207 220 1666 |
Yellow Jersey PR
Limited
Felicity Winkles
Joe Burgess |
Telephone:
+44 (0) 7748 843 871
+44 (0) 7769 325 254 |
Competent Persons
The Competent Person for the Tiris
Metallurgical Test work is Dr Will
Goodall.
The information in the report to which this statement is
attached that relates to the test work is based on information
compiled by Dr Will Goodall.
Dr Goodall has sufficient experience that is relevant to the
test work program and to the activity he is
undertaking. This qualifies Dr Goodall as a Competent
Personas defined in the 2012 edition of the ‘Australasian Code for
Reporting of Exploration Results, Mineral Resources and Ore
Reserves’. Dr Goodall is a Member of The Australasian
Institute of Mining and Metallurgy (AusIMM). Dr Goodall
consents to the inclusion in the report of the matters based on his
information in the form and context in which it appears.
The Competent Person for the Tiris
and Häggån Resources is Mr Neil
Clifford.
The information in the report to which this statement is
attached that relates to the resource is based on information
compiled by Mr Neil Clifford.
Mr Clifford has sufficient experience that is relevant to the style
of mineralisation and type of deposit under consideration and to
the activity he is undertaking. This qualifies Mr Clifford as
a Competent Person as defined in the 2012 edition of the
‘Australasian Code for Reporting of Exploration Results, Mineral
Resources and Ore Reserves’. Mr Clifford is a Member of the
Australasian Institute of Mining and Metallurgy (AusIMM). Mr
Clifford consents to the inclusion in the report of the matters
based on his information in the form and context in which it
appears.
Top 20 Shareholders |
26 July 2017 |
Rank |
Name |
Units |
% of Units |
1. |
COMPUTERSHARE CLEARING PTY LTD
<CCNL DI A/C> |
246,847,839 |
31.14 |
2. |
HSBC CUSTODY NOMINEES (AUSTRALIA)
LIMITED |
99,143,528 |
12.51 |
3. |
CITICORP NOMINEES PTY LIMITED |
63,251,412 |
7.98 |
4. |
PRE-EMPTIVE TRADING PTY LTD |
36,900,000 |
4.65 |
5. |
SAMBOLD PTY LTD <SUNSHINE SUPER
FUND A/C> |
15,364,895 |
1.94 |
6. |
BNP PARIBAS NOMINEES PTY LTD <IB
AU NOMS RETAILCLIENT DRP> |
14,752,355 |
1.86 |
7. |
PASAGEAN PTY LIMITED |
13,094,558 |
1.65 |
8. |
MR MARTY HENG LAU |
10,000,000 |
1.26 |
9. |
MR PETER DESMOND REEVE |
9,718,304 |
1.23 |
10. |
HSBC CUSTODY NOMINEES (AUSTRALIA)
LIMITED-GSCO ECA |
6,750,000 |
0.85 |
11. |
BUSHELL NOMINEES PTY LTD <BUSHELL
SUPER FUND A/C> |
6,292,542 |
0.79 |
12. |
MR PIETER HOEKSTRA + MRS RUTH
HOEKSTRA <HOEKSTRA SUPER FUND A/C> |
5,300,000 |
0.67 |
13. |
YARANDI INVESTMENTS PTY LTD
<GRIFFITH FAMILY NO 2 A/C> |
4,754,793 |
0.60 |
14. |
MS MICHELLE ANNE PAINE |
4,700,000 |
0.59 |
15. |
MRS KERRYN PATRICIA DELEN |
4,104,840 |
0.52 |
16. |
MR LUKE PETER DALE + MRS MARIEANNE
ERIKA DALE |
3,611,468 |
0.46 |
17. |
M & K KORKIDAS PTY LTD
<M&K KORKIDAS P/L S/FUND A/C> |
3,400,000 |
0.43 |
18. |
MS CHUI YING CHAN |
3,327,828 |
0.42 |
19. |
MR SCOTT ANDREW ROBERTS |
3,250,000 |
0.41 |
20. |
DR ROBERT BEESON |
3,129,071 |
0.39 |
|
Total Top 20
Shareholders |
557,693,433 |
70.34 |
|
Remaining
Shareholders |
235,114,691 |
29.66 |
|
GRAND
TOTAL |
792,808,124 |
100.00 |
Top 20 Shareholders |
26 April 2017 |
Rank |
Name |
Units |
% of Units |
1. |
COMPUTERSHARE CLEARING PTY LTD
<CCNL DI A/C> |
245,012,306 |
30.90 |
2. |
HSBC CUSTODY NOMINEES (AUSTRALIA)
LIMITED |
98,750,518 |
12.46 |
3. |
CITICORP NOMINEES PTY LIMITED |
64,094,142 |
8.08 |
4. |
PRE-EMPTIVE TRADING PTY LTD |
36,250,000 |
4.57 |
5. |
SAMBOLD PTY LTD <SUNSHINE SUPER
FUND A/C> |
15,364,895 |
1.94 |
6. |
BNP PARIBAS NOMINEES PTY LTD <IB
AU NOMS RETAILCLIENT DRP> |
13,939,258 |
1.76 |
7. |
PASAGEAN PTY LIMITED |
13,094,558 |
1.65 |
8. |
MR MARTY HENG LAU |
10,000,000 |
1.26 |
9. |
MR PETER DESMOND REEVE |
9,718,304 |
1.23 |
10. |
BUSHELL NOMINEES PTY LTD <BUSHELL
SUPER FUND A/C> |
6,292,542 |
0.79 |
11. |
MR PIETER HOEKSTRA + MRS RUTH
HOEKSTRA <HOEKSTRA SUPER FUND A/C> |
5,300,000 |
0.67 |
12. |
YARANDI INVESTMENTS PTY LTD
<GRIFFITH FAMILY NO 2 A/C> |
4,754,793 |
0.60 |
13. |
MS MICHELLE ANNE PAINE |
4,700,000 |
0.59 |
14. |
MRS KERRYN PATRICIA DELEN |
4,358,840 |
0.55 |
15. |
MS CHUI YING CHAN |
3,600,000 |
0.45 |
16. |
MR LUKE PETER DALE + MRS MARIEANNE
ERIKA DALE |
3,496,659 |
0.44 |
17. |
M & K KORKIDAS PTY LTD
<M&K KORKIDAS P/L S/FUND A/C> |
3,400,000 |
0.43 |
18. |
MR HENDRIK JACOBUS DELEN + MRS
KERRYN PATRICIA DELEN <DELEN FAMILY SUPERFUND A/C> |
3,179,142 |
0.40 |
19. |
DR ROBERT BEESON |
3,129,071 |
0.39 |
20. |
MRS JENNY LEE BUSHELL |
3,091,182 |
0.39 |
|
Total Top 20
Shareholders |
551,526,210 |
69.57 |
|
Remaining
Shareholders |
241,281,914 |
30.43 |
|
GRAND
TOTAL |
792,808,124 |
100.00 |
About Aura Energy’s Projects
TIRIS PROJECT, MAURITANIA (Aura 100%)
The Tiris Uranium Project is based on a major greenfields
uranium discovery in Mauritania,
with 49 Mlb U3O8 in current
resources(1) from 66 million tonnes @ 334 ppm
U3O8. The project has several natural
attributes which result in low capital and operating costs. These
attributes are:
- Shallow flat-lying surface mineralisation (only 1-5 metres
deep) within unconsolidated gravels
- Low cost mining with no blasting and negligible overburden
- Uranium ore can be simply (wash and screen) upgraded by up to
700%; from 335 ppm to 2500ppm
- Leads to a very small plant, small footprint and minimal
supporting infrastructure
- Leach feed grade 2,000-2,500 ppm U3O8
with 94% leaching recovery in 4 hours
The conceptual 1 Mtpa mine and plant project described in the
Scoping Study(2) was designed to take full advantage of
these unusual characteristics, whilst providing a low capital cost
and rapid project development and construction. Significantly, a
water study by Golders has indicated that potential sources of
water in the immediate vicinity will satisfy the demands of the
project.
The Study, which indicates 11 million pounds of uranium will be
produced over an initial mine life of 15 years, only utilises 20%
of the known Global Mineral Resource resulted in the following
outputs;
- Low capital cost – US$45
million
- Low operating cost – A$30/lb
- Easily scalable
- Mining at ~120 tph (1.0 Mtpa)
- Small 25 tph leach facility
- Mined grade >420ppm U3O8 for 15
years
- Produce 0.7-1.1 Mlbs U3O8 per year
- Expand project from cashflow
HÄGGÅN POLYMETALLIC PROJECT,
SWEDEN (Aura 100%)
Häggån is located in central Sweden and is a large undeveloped multi
element project. The project has a resource containing significant
quantities of cobalt, vanadium, uranium, molybdenum, nickel, zinc
and neodymium.
The Häggån project is located in a sparsely populated area of
swamp and forest used mainly for commercial forestry. Sweden’s has
a current and active mining industry, with a clear regulatory
position and a well-established path from exploration to
production.
A Scoping Study(5) suggests that the Häggån Project
has excellent potential to become a major, low cost producer of a
range of metal, a number which could support demand from the
burgeoning electric vehicle battery industry. Aura’s discovery that
the mineralisation is ideally suited to bioleach metal extraction
was the major breakthrough to creating a robust and economic
project. Bioleaching, including bioheap leaching, is a proven
technology widely used in copper and gold industries.
The Häggån Inferred Resource contains 2.35 billion tonnes
at the grades shown in the table below. Metal content is also
shown.
NOTES TO PROJECT DESCRIPTIONS
(1) There is a low level of geological confidence
associated with inferred mineral resource and there is no certainty
that further exploration work will result in the determination of
indicated measured resource or that the production target will be
realised.
(2) The Company released to the ASX the Tiris
Project Scoping Study on 16 July 2014
and the Company believes that no material change to forecast
capital and operating costs and forecast production rates have
occurred since the release.
(3) There is a low level of geological confidence
associated with inferred mineral resource and there is no certainty
that further exploration work will result in the determination of
indicated measured resource or that the production target will be
realised.
(4)
http://www.world-nuclear.org/info/Country-Profiles/Countries-O-S/Sweden
(5) The Company released to the ASX the Häggån
Project Scoping Study on 7 February
2012 and an updated study on 29 May
2014. The Company believes no material change to forecast
capital and operating costs and forecast production rates have
occurred since the releases.