Aura Energy Seeks Partnership for Tiris Uranium Mine in Mauritania

Aura Energy (ASX: AEE) is looking for an equity partner to make up the shortfall in the USD 230 million budget to operationalize the Tiris uranium mine in Mauritania. Aura secured a 30-year exploitation license in July 2024. The Australian firm plans to output uranium oxide (U3O8) concentrate from Project iris.

The company has also passed the Environmental and Socio-Economic Impact Assessment (ESIA). It intends to manage the mine based on the latest Environmental, Social and Governance (#ESG) framework.

Currently, it is in talks with a commercial to finance up to 60% of the project costs. Based on the feasibility report, the mine has a lifetime of 25 years with production capacity is 2 million pounds per year. The total cumulative revenue over the lifetime of the mine based on current market value is estimated at USD 3.4 billion.

“We are very pleased with the very high levels of support and confidence shown by the Mauritian Government towards Aura and the development of a long term globally significant uranium mining industry in Mauritania, commencing with Tiris.”

Aura Energy CEO Andrew Grove

Based on local laws and regulations, the Government of Mauritania shall keep a 20% stake in the mine. Mauritania has a 3.5% royalty for mining and corporate tax is set at 25%.

After financing is secured, the Finial Investment Decision (FID) will follow. The Tiris project has an NPV of USD 388 million and an IRR of 36% after tax. More recent studies have indicated that production can be ramped up if necessary. Recently, the total reserves has also been revised up to 91.3 million pounds of uranium oxide (U3O8).