Admission to AIM and first day of dealings

12 September 2016

AURA ENERGY LIMITED
(“Aura” or the “Company”)
ADMISSION TO AIM AND FIRST DAY OF DEALINGS

AURA ENERGY COMPLETES SUCCESSFUL LONDON AIM LISTING

PLACEMENT TO INSTITUTIONAL AND SOPHISTCIATED INVESTORS TO RAISE APPROXIMATELY £2.70 MILLION (AUD$4.75 MILLION)

(Includes Notice of Potential Subscription)

Aura Energy Limited (ASX:AEE / AIM:AURA) is pleased to advise that it has successfully gained admission to the London Stock Exchange (AIM), and will be listing on AIM today. Aura is a uranium development company with gold, soda ash and lithium exploration projects. Its projects are in Africa and Europe.

As part of the AIM listing the Company has raised £2.24 million (AUD$3.94 million) before expenses by way of a placing of 196,883,849 new Ordinary Shares at £0.0114 (AUD$0.02) per share giving it a market capitalisation of £7.45 million (A$13.1 million) on Admission.

In conjunction with this AIM placement Aura confirms it has executed subscription agreements with sophisticated Australian investors, to raise a further £466,990 (AUD$820,000) at £0.012 (AUD$0.02) per share. It is anticipated the Australian subscriptions will be completed on or around 16 September 2016; the company is confident of this completion however this cannot be guaranteed. Further announcements will be made in due course.

“This is an outstanding outcome for the Aura Energy and we have always believed that, given our European and African focus, dual listing on AIM was both an attractive option for Aura and a natural marketplace for us. This is a transformational period for Aura, and as only the second quoted uranium company on AIM, we believe the Company will generate significant traction for our shareholders as we progress our strategy of phased development and low capital cost projects to allow early cashflow generation particularly from the Tiris Uranium Project,” Mr Peter Reeve, Executive Chairman of Aura said.

“The success of this dual listing process is a vindication of Aura’s uranium assets in Mauritania and Sweden and its gold, soda ash and lithium tenements in Mauritania. This package of development and exploration assets has gained broad market appeal with investors and has been the subject of a full technical review by an independent Competent Person.

“In addition Aura received exceptionally strong support from existing and new shareholders for its recent Mauritanian gold transaction where it has secured a vast underexplored tract of greenstone belt just south of the 21 million ounce Tasiast Gold Mine owned by Kinross Gold Corporation. The separate application for lithium and soda ash permits in Mauritania was also well received.

“We believe this now well-funded phase positions Aura ideally over the coming years as we build ourselves into a leading uranium developer, advancing our projects towards high-margin, profitable production in the near to medium term.

“We believe there is a substantial uranium market opportunity ahead of us as there has been little new investment into the uranium sector, despite the world’s energy needs growing exponentially. We believe the resultant supply deficit in nuclear energy will be significant.  Nuclear power is a growing industry as it is low-carbon, reliable and long-lasting energy supply and acts as base load capacity. There are currently an increasing number of nuclear reactors being built and coming back on line globally, China, for example, is expected to double its nuclear generation capability by 2020. We expect substantial increases in pricing by the end of the decade to coincide with the first production from Tiris.”

The funds raised will be utilised towards completing Aura’s Tiris uranium project Feasibility Study in Mauritania ("Tiris"), and associated corporate costs.  Aura also owns 100% of the HäggÃ¥n uranium project in Sweden (“HäggÃ¥n”) and has exploration tenements in gold, lithium and soda ash in Mauritania.

Dealings in the Company's ordinary shares are expected to commence at 8.00 BST / 17:00 AEST today under the ticker code AURA. WH Ireland Limited is acting as Nominated Advisor and Sole Broker to the Company in relation to Admission.

Aura AIM placement Statistics

Placing price	1.14 pence (A$0.02)
Number of Existing Ordinary Shares on issue 9th Sept 2016	457,048,412
Number of Placing Shares being issued Number of commission shares being issued to WH Ireland	196,883,849 3,937,677
Percentage of Enlarged Issued Share Capital being placed	29.93 %
Number of Ordinary Shares immediately following Admission	657,869,938
Estimated gross proceeds of the Placing receivable by the Company	£2.24 million (A$3.94 million)
Estimated net proceeds of the Placing receivable by the Company	£1.76 million
Market capitalisation of the Companyat Placing Price following Admission	£7.49 million A$13.1 million
Estimated proceeds pursuant to the Subscription*	£0.47m
Estimated number of Ordinary Shares issued pursuant to the Subscription*	41,000,000
Estimated number of Ordinary Shares in issue following Admission and the admission of Ordinary Shares pursuant to the Subscription*	698,869,938
ISIN	AU000000AEE7
Sedol	BD1RHP4
ASX Code	AEE
AIM Symbol	AURA

* There can be no guarantee that the Subscription will complete, in part or in full, or by what time the Subscription will complete.

About Aura Energy

Aura has a simple development approach as it looks to build itself into a cash-generative uranium producer in the near to midterm.  Its immediate growth strategy is focused on development of its 49Mlbs Tiris uranium project in Mauritania ("Tiris"), a Feasibility Study of which is targeted for completion in late 2017.. The Company is also advancing its longer-term 803Mlbs HäggÃ¥n uranium project in Sweden (“HäggÃ¥n”). In addition, the Company is exploring potential opportunities in gold, lithium and soda ash in Mauritania.

Company Key Strengths

• 100% ownership of a portfolio of the following prospective uranium projects where scoping studies ⁽¹⁾ indicate:
  • Tiris, Mauritania: shallow open-pit mining project with a 49Mlbs U?O? Indicated and Inferred Resource, 94% recovery rates and simple processing allowing a potential 500% grade uplift, C1 Cash costs of US$30/lb U?O? and low-capex costs of US$45m and an MOU signed with a Chinese engineering group for project and equipment financing.
  • HäggÃ¥n, Sweden: a 803Mlbs U?O? Indicated and Inferred Resource, C1 Cash costs US$13.50/lb U?O? (including associated metal credits) and US$537m capital cost. The information was prepared and first disclosed under the JORC Code 2004. It has not been updated since to comply with the JORC Code 2012 on the basis that the information has not materially changed since it was last reported.
  • Summaries of the relevant Scoping Studies are available on the Company’s website (www.auraenergy.com.au).
• Uranium market opportunity: the directors believe there will be increased uranium demand and price growth due to the increasing nuclear energy supply deficit (World Nuclear Association, March 2016).
• Management has extensive resource experience (including Rio Tinto, Shell-Billiton, Newcrest and Ivanhoe Australia)

(1)    A scoping study is an order-of-magnitude technical and economic study of the potential viability of Mineral Resources.  The studies were completed by both management and consultants.  The outcomes of the studies were then verified by Tenova Mining (Tiris project) and RMDSTED (Haggan project).

For more information please visit www.auraenergy.com.au or contact the following:

Aura Energy Limited Peter Reeve (Executive Chairman)	Telephone: [phone] [e-mail]
WH Ireland Limited Adrian Hadden Katy Mitchell James Bavister	Telephone: [phone]
Yellow Jersey PR Limited Felicity Winkles Joe Burgess	Telephone:  [phone] [phone]