AURA ENERGY - A TIRELESS URANIUM AND VANADIUM DEVELOPER & - PowerPoint PPT Presentation

AURA ENERGY - A TIRELESS URANIUM AND VANADIUM DEVELOPER & EXPLORER 2018 AGM PRESENTATION 1 M r P E T E R R E E V E – E X E C U T I V E C H AI R M A N N o v 1 4 t h 2 0 1 8

AURA’S 2018 SNAPSHOT Pressed forward well with our two high margin development projects;   Tiris Uranium – Mauritania Häggån Vanadium & Battery Metals – Sweden  Both with attractive economics and resource upside  Established Aura firmly in the Vanadium and Battery Metals sector  Both Uranium & Vanadium price rises have been exceptional  Uranium Offtake and Tiris Financing underway  Gold and base metals on Mauritanian greenstone belts a great opportunity  Häggån Vanadium IPO – Potential strong value accretion – progress slower  2

TWO HIGHEST PERFORMING COMMODITIES Price change from recent lows; VANADIUM +1030% V 2 O 5 - US$3/lb to US$33.90/lb URANIUM +60% U 3 O 8 - US$18.5/lb to US$29/lb 3

PROJECT PORTFOLIO A L L 1 0 0 % O W N E D D E V E L O P M E N T P R O J E C T S H Ä G G Å N VA N A D I U M - S W E D E N T I R I S U R A N I U M - M A U R I TA N I A D F S – 2 0 1 9 ; C A S H F L O W - 2 0 2 0 B A T T E R Y M E T A L S D E V E L O P M E N T 15.1 billion lb Vanadium Resource  C1 Cash costs US$19.40/lb U ₃ O ₈ [1]  Higher-Grade Zone Defined  17 Mlbs Measured & Indicated Resource  Capex/Opex est complete (METS)  ★ 52 Mlbs Total Resource ★  Vanadis Battery Metals IPO proposed  US$45m capital cost [1]  G O L D , B A S E A N D B AT T E R Y M E TA L S – M A U R I TA N I A Archean Greenstone Belt – Kalgoorlie / Tasiast look-a-like  High-Grade Drilling Results – Gold, Nickel, Cobalt  4 [1] Tiris Scoping Study 16 July 2014 - optimised Sept 2017

AURA’S STRATEGY AND INVESTMENT PROPOSITION Aura’s clear strategy is as follows; Tiris Uranium Project into production 2019/20  Häggån Vanadium IPO to create value  Gold and base metals exploration to bridge Tiris development phase   Aura’s Position in 2019/20; Cashflow from Tiris as uranium price recovers   Exploration success - new gold/ base metal projects Häggån Vanadium Project adds significant asset value  5

TIRIS URANIUM PROJECT  DFS underway – completion 2018  Scoping Study August 2014 results: M A U R I TA N I A  Initial production 1 million lbs p.a.  Capex US$45 million / Opex US$19.40/lb U ₃ O ₈  Key to low cash costs are : • Shallow Mining - 5 metres max • Ore Upgrades – 500% • Recovery - 94% Resulting project : • Small physical footprint • No grinding – huge construction and operating savings • Expansion cases studied to 3 Mlbs pa 6

SHALLOW TRENCHING R E V E A L S M I N E R A L I S AT I O N C A L C R E T E D E P O S I T W I T H C A R N O T I T E U R A N I U M I N A W E AT H E R E D G R A N I T E H O S T F R E E D I G G I N G M I N I N G , N O D R I L L A N D B L A S T P E R M I T T I N G I N A U R A N I U M M I N E R A L I S AT I O N R E M O T E D E S E R T A S C A R N O T I T E R E G I O N 7 S I M P L E , C O M PA C T P R O C E S S P L A N T 7

TIRIS DFS WORK & FINANCIALS P R O J E C T [1] Resource upgrade successfully completed May 2018  Global Inferred Resource increased 6% to 52 million lbs U ₃ O ₈  Measured and Indicated Resource increased to 17 million lbs U ₃ O ₈  K E Y F I N A N C I A L S Conservative Study - 10.8 Mlbs U ₃ O ₈ included in model - only 20% of 52 Mlb resource  A$360M Pre tax cashflow (15 years) using US$65/lb U ₃ O ₈ LT  IRR of 78% before tax and royalties  L O O K I N G F O R W A R D DFS completion 2018  Project go ahead post DFS - subject to funding and regulatory approvals  Expand project from cashflow  [1] 2014 Tiris Scoping Study 8

TIRIS TECHNICAL TWIST VANADIUM U 3 O 8 V 2 O 5 Carnotite Heated alkaline Ion K 2 (UO 2 ) 2 (VO 4 ) leach Exchange  Uranium host mineral, carnotite, also contains vanadium  Alkaline leach process dissolves both uranium and vanadium 9

2018 Tiris Progression • DFS nearing completion • Test work advancing • In-house estimates completed • Engineering underway • Country study in detail • Modifying water program • Tangibly closer to construction • Production in a rising market? 10

Bulk Sampling in the Sahara 11

Bulk Sampling in the Sahara 12

HÄGGÅN VANADIUM & BATTERY METALS  15.1 billion lb Global Vanadium Resource (Inferred) High-Grade Vanadium Resource (HGV) defined  HGV Zone – 90 million tonnes @ 0.42% V 2 O 5  HGV within 20 metres of surface and to 100 m depth  Other Battery Metals in ore - Co, Ni, Cu, Mo, V, Nd  2012 scoping study included much development  Aura to spin out Vanadis Battery Metals AB (100%)  Swedish Government driving Green Metal transition  as a key economic plank 13

HÄGGÅN – NEAR SURFACE CONCENTRATED HIGH GRADE ZONE  Near-surface high-grade zone will boost early years project economics  49MT contiguous HG zone @ 0.42% V 2 O 5  Contains over 430 Mlbs V 2 O 5  Extends approx 1,000 metres laterally  Equates to 15-20 years mining if producing 5% of current V market 14

HÄGGÅN – HIGH GRADE ZONE PLAN VIEW View of High Grade Zone Area 15

ADVANCED DEVELOPMENT Vanadium test work Innovative Flow sheet Capex and Opex estimates Completed August 2018 Completed 2018 2012 Scoping Study METS Engineering METS Engineering • Vanadis Battery Metals Current Resource Drilling • IPO planned Q1 2019 Enables Scoping Study release 2019 WWW.VANADISBM.COM 16

VANADIUM MARKET DRIVERS 17

GLOBAL ENERGY STORAGE  Predicted global growth of energy storage is material, with market set to double six times between 2016 and 2030 (Bloomberg Energy Finance) Global cumulative energy storage deployments 2016 - 2030  Assuming Vanadium energy storage technology accounts for 10% of this growth, the vanadium market will need to triple from today’s supply 18

DEVELOPMENT TIMELINE Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2018 2019 2019 2019 2019 2020 2020 2020 2020 2021 TIRIS DFS CONSTRUCTION FIRST URANIUM PRODUCTION VANADIUM IPO SCOPING STUDY PREFEASIBILITY STUDY FEASIBILITY STUDY 19

HÄGGÅN VANADIUM IPO - VANADIS BATTERY METALS Aura intends to IPO Vanadis as a separate listing on AIM or TSXV  Maximise value to Aura shareholders and give greater project focus in Sweden  Swedish holding vehicle renamed Vanadis Battery Metals AB - 100%-owned  20-30% to be offered to new investors in IPO with Aura retaining 70-80%  Funds raised will be used to progress the Häggån Project  Aura shareholders will have a priority offer in the IPO  Aura will reduce its stake over time as value accrues  Post-IPO Current Structure Aura Aura New ASX: AEE ASX: AEE AIM:AURA Energy AIM:AURA Energy Shareholders 20-30% 70-80% 100% Vanadis Vanadis Battery AIM (or) Battery TSXV Metals AB Metals AB 100% 100% Häggån Häggån Project Project 20

VANADIUM REDOX FLOW BATTERIES PROPOSED SWEDISH MANUFACTURING Vanadis Battery Metals is examining manufacture of VRFB’s in Sweden  Europe is likely to be a key growth market for battery storage  Aura will make a vanadium pentoxide product suitable for battery use  Sweden has significant technical capacity  Sweden has a strong mining and manufacturing culture  21

VANADIUM REDOX FLOW BATTERIES  Vanadium Redox Flow Batteries are the key LT storage battery  Favourable properties compared with lithium and other battery technologies; Lifespan 20+ years with high cycle life – 20,000 cycles at full capacity   Lower overall cost per kWh, 100% discharge with no battery degradation  Safe, no thermal risk  VRBF Technology – long life at 100% capacity 2017 levelised cost comparison Lithium-ion vs. VRFB, US$/kWh Source: Lazard, via SP Angel 22

VANADIUM REDOX FLOW BATTERIES  Grid-scale energy storage Intermittent power (wind & solar) needs  battery storage to compete with base load Redox Flow Batteries provide this storage  Ability to scale to very high capacity power  23

TASIAST SOUTH GOLD & BASE METALS 24

TASIAST SOUTH GOLD Vs ALGOLD Aura adjacent to Algold (TSX)  Algold structures cross directly  into Aura tenements  Nearest drill section is +1 km away Recent results are excellent;   T16RC071 - 6 m @ 39.9 g/t Au  T16RC070 - 3 m @ 30.0 g/t Au Structures extend to  T16RC045 - 5 m @ 6.64 g/t Au Aura tenements  T16RC035 - 7 m @ 3.20 g/t Au  T16RC024 - 6 m @ 4.23 g/t Au  T16RC083 - 2 m @ 5.47 g/t Au  T16RC027 - 6 m @ 16.4 g/t Au  T16RC031 - 6 m @ 9.64 g/t Au  T16RC024 - 6 m @ 4.23 g/t Au Salma recent sampling;   100 g/t, 89 g/t, 80 g/t, 72 g/t Au 25

BELLA NICKEL & COBALT RESULTS Very strong Nickel values over entire 1.6 km drill line  Cobalt tested 1 in 10 samples - Significant results up to 0.581% Cobalt  Strongest magnetics (white zones) not tested  Nickel intersections at Bella. Red dots: RC holes, yellow dots: vertical AC. 26 All RC holes returned intersections of + 0.5% Ni. (Background image is total mag intensity RTP HG)