Issue of Equity

4 January 2018

AURA ENERGY LIMITED

(“Aura” or the “Company”)

Issue of Shares on Exercise of Options and Settlement of Obligations

Aura wishes to inform the market of the following change in the number of fully paid ordinary shares on issue of no par value:

Number of ordinary shares to be issued:

Exercise of options over ordinary share with a maturity on 15 November  2018 at 2 cents per option over ordinary share made by sophisticated and professional shareholders	333,333
Settlement of outstanding obligations to consultants and contractors	4,424,423
Total number of ordinary shares on issue	854,318,646
Ordinary shares held in Treasury	NIL
Expected Admission date	10 January 2018

In relation to the settlement of outstanding obligations to consultants and contractors, the Company agreed to settle a number of outstanding obligations due to consultants and contractors in December 2017 with 2,653,934 fully paid ordinary shares issued to a contractor at 2.04 cents per share and 1,770,489 fully paid ordinary shares issued to consultants and contractors at 2.40 cents per share.

The total number of ordinary shares on issue following the issue of the above shares will be 854,318,646 Ordinary Shares and this figure may be used by Shareholders, from the appropriate time, as the denominator for the calculations by which they will determine whether they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Financial Conduct Authority's Disclosure Guidance and Transparency Rules. As disclosed above, the Company holds no Ordinary Shares in treasury.

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

Aura Energy Limited Peter Reeve (Executive Chairman and CEO)	Telephone: [phone] Email: [e-mail]
WH Ireland Limited Adrian Hadden Katy Mitchell James Sinclair-Ford	Telephone: [phone]
Yellow Jersey Charles Goodwin Joe Burgess	Telephone: [phone]

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014.