The Aurora Energy Metals Ltd (ASX: 1AE) is enjoying a strong debut on the ASX today.
The explorer’s share price is swapping hands at 25.56 cents, up 27.5%, nearing the close on its first day of trading. Earlier, the company’s share price surged 35% higher. In comparison, the S&P/ASX 200 Index (ASX: XJO) is currently up 0.81%.
Let’s take a look at this ASX lithium share in more detail.
Uranium and lithium explorer
Aurora is an Australian company exploring uranium and lithium at the Aurora Energy Metals Project in Oregon, USA.
The company raised $8 million in its initial public offering (IPO). A total of 40 million ordinary shares were issued at 20 cents per share.
Aurora will use these funds for more exploration and development activities at the Oregon project. The company hopes to define the lithium resource and grow the uranium mineral resource.
Commenting on the ASX debut, managing director Greg Cochran said:
The Aurora Energy Metals Project offers investors two bites at the clean-energy pie.
We will look to grow the well-defined, shallow uranium resource hosted in the basement and conduct techno-economic studies, whilst following up the significant lakebed sediment-hosted lithium mineralisation that surrounds and overlies it.
We are excited by the strong response that we had to the capital raising from both retail and institutional investors.
The project is located within an area home to two of the biggest lithium deposits in the United States that Jindalee Resources (ASX: JRL) and Lithium Americas (NYSE: LAC) are exploring nearby.
Aurora has a market capitalisation of about $30.6 million based on the current share price.
