Uranium explorer and developer Aura Energy Ltd has advised that its initial public offer will close today substantially oversubscribed.
The Aura IPO is to raise $4.0 million, with a provision for an oversubscription of 5 million shares raising $1 million.
Having secured shareholder approval at the General Meeting held on Tuesday 15th May, North Perth resources explorer Drake Resources Ltd will sell its uranium tenements to Aura, obtaining equity in Aura upon listing in addition to receiving a cash payment of $100,000 in reimbursement for its expenditure on the tenements.
Aura now holds 12 uranium exploration tenements in Western Australia. These include the Wondinong Prospect, where uranium mineralisation exists over an area of eight square kilometres; the Altona uranium project which has 115 kilometres of prospective drainage channel immediately to the south of BHP Billiton's Yeelirrie deposit, and a number of other highly prospective uranium projects in the Yilgarn Craton.
Aura will provide details on despatch of holding statements to successful applicants and the expected date of quotation for the shares on the ASX within the next week.
On the 4th April, Drake entered into a conditional agreement with Aura to sell the company's uranium tenements.
