Funding and Technical Hurdles Loom as Aura Advances Uranium Projects

Sweden’s Uranium Ban Lifted – A New Chapter for Häggån

In a landmark development effective 1 January 2026, the Swedish Government overturned its longstanding ban on uranium mining, reclassifying uranium as a concession mineral under the Minerals Act. This regulatory shift breathes new life into Aura Energy’s Häggån Polymetallic Project, located in Sweden’s Jämtland region, which hosts a significant polymetallic deposit including uranium, vanadium, and nickel, critical metals for the clean energy transition.

Following this change, Aura secured a C$10 million investment from strategic partners, valuing Häggån at C$50 million. The project is being transferred to SIU Metals Corp, a Canadian entity in which Aura will retain majority ownership. This move aims to facilitate a TSX Venture Exchange listing by mid-2026, unlocking further capital and development opportunities.

Progress at Tiris Uranium Project in Mauritania

Meanwhile, Aura continues to advance its flagship Tiris Uranium Project in Mauritania, targeting a Final Investment Decision (FID) in the third quarter of 2026. The company is completing critical test work focused on optimizing the uranium extraction process, particularly the dewatering of slurry post-leaching, a key technical hurdle. Four dewatering methods are under evaluation to ensure operational efficiency and cost-effectiveness.

Engineering studies are underway to refine the project’s flowsheet, with the Basic Engineering study expected to conclude in Q2 2026. Despite a missed FID deadline tied to a major US nuclear utility offtake partner, Aura and its partner remain committed to maintaining their strategic agreement, underscoring the project’s long-term value.

Funding and Market Context

Funding discussions are progressing with the U.S. International Development Finance Corporation (DFC), which recently expanded its investment capacity and authority to take equity stakes. Aura is also in the midst of a capital raising to support ongoing development activities, holding A$4.2 million in cash at the end of December 2025.

The uranium market backdrop remains favourable, with spot prices rising to over US$83 per pound by year-end and futures trading above US$100 per pound. This price momentum is driven by increasing demand from data centre operators and technology giants partnering with nuclear energy providers to secure reliable, low-emission power sources.

Corporate and Operational Updates

The quarter saw significant leadership changes, with Managing Director Andrew Grove resigning and Executive Chair Phil Mitchell assuming day-to-day operational control. The company is appointing a Lead Independent Director to maintain governance balance during this transition.

Exploration activities in Sweden expanded with the granting of a new 1,000-hectare tenement adjacent to Häggån, enhancing the project’s resource potential and operational efficiency. In Mauritania, Aura continues to defend its farm-in agreement amid legal challenges but remains confident following a favourable court ruling.

Outlook

Aura Energy’s dual focus on advancing Tiris towards production and unlocking value in Sweden’s revitalised nuclear sector positions it well amid a tightening uranium supply landscape. The company’s disciplined approach to engineering, funding, and strategic partnerships will be critical as it navigates the next phases of development and capital markets engagement.