- 01BFS: US$500m post-tax NPV, 28% IRR.
- 02Aura targets December FID; production by end-2028.
- 03US$350m capex; funding uncommitted, dilution risk.
Aura Energy (ASX: AEE) has completed a bankable feasibility study (BFS) for its Tiris uranium project in Mauritania, outlining a 26-year operation with a post-tax net present value of US$500.3 million.
The valuation assumes a triuranium octoxide (U3O8) price of US$90 per pound, an 8% real discount rate and a 100% project interest, with US$425.3m attributable to Aura shareholders.
The BFS estimates development capital at US$349.8m, a post-tax internal rate of return of 28%, and payback 3.2 years after production begins.
Aura is targeting a final investment decision in December and first production by the end of 2028, subject to securing finance and completing the remaining development work.
Long Mine Life
Tiris is forecast to produce 46.1Mlb of U3O8 over its mine life, averaging 1.8Mlb annually, with early production expected to run at about 2.0–2.3Mlb a year.
The updated ore reserve has increased 11% to 74.6 million tonnes grading 227 parts per million U3O8, containing 37.3Mlb.
The broader mineral resource stands at 184Mt grading 225ppm for 91.3Mlb, although the BFS mine plan is restricted to the Tiris East resource area.
About 33% of the 111.1Mt production schedule comprises Inferred resources, which carry lower geological confidence and are not guaranteed to be converted to higher-confidence categories.
Shallow Mineralisation
Shallow, free-digging mineralisation allows mining without blasting or crushing, while screening upgrades uranium grades roughly sevenfold before leaching.
The design rejects about 88% of mined ore mass during beneficiation and forecasts an overall uranium recovery of 83.7%.
The BFS puts life-of-mine C1 cash costs at US$32.53/lb and all-in sustaining costs at US$41.25/lb, compared with the assumed US$90/lb uranium price.
Development capital has risen from the US$230m estimate published in 2024, reflecting more detailed plant engineering, purchased mining equipment, updated costs and higher contingency.
Funding Commitments
The funding model assumes US$400m comprising US$220m in senior and subordinated debt and US$180m in equity, royalties or other quasi-equity instruments.
Aura is discussing approximately US$150–170m of senior debt with the US International Development Finance Corporation and has a non-binding strategic investment memorandum with a major nuclear utility.
Neither lender nor investor funding has been committed, and any equity or quasi-equity component could substantially dilute existing shareholders.
“Financing arrangements are well advanced—several strategic investors are working closely with us,” executive chair Philip Mitchell said.
“We aim to select our financing partner and structure by the end of 2026.”
Bir Moghrein Pilot Plant
A continuous pilot plant at Bir Moghrein is scheduled to operate from November to December, processing more than 80t of ore to test the commercial flowsheet across the principal ore types.
The project already holds principal exploitation and environmental approvals, although further operating permits and final power supply arrangements remain outstanding.
Aura expects construction to begin in the first quarter of 2027 and take approximately two years, with commissioning extending into the start of 2029.
“We have a clear path ahead of us and are focused on executing it safely, efficiently, and adopting key technologies of the digital age,” Aura president John Carr said.
The BFS capital estimate has an indicated accuracy of plus or minus 15%, and the production target remains exposed to financing, operating and resource-conversion risks.
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