Lithium and uranium hopeful Aurora Energy (ASX: 1AE) rallied 50% to 30 cents as it debuted on the ASX on Wednesday at 11 am.
Aurora successfully raised $8m at 20 cents per share to fund exploration and development activities at its Aurora Energy Metals Project in Oregon, USA.
The company's stock is currently trading at 25.5 cents towards market close.
There is a strong market interest in both lithium and uranium as the world moves towards a net-zero emissions future.
Lithium spot prices have rallied more than 500% in the past 12-months amid an electric vehicle (EV) boom and tight supply
Uranium spot prices recently climbed out of a decade long bear market where prices fell to lows of US$20/lb, now trading around US$50/lb
The Aurora Project is located within close proximity of two well-known lithium explorers, Jindalee Resources’ (ASX: JRL) McDermitt Project and Lithium Americas’ Thacker Pass Project - both of which happen to be sitting on some of the largest lithium deposits in the US.
Lithium isn’t exactly the company’s focal point, as the project has an already a defined uranium resource of 69.3m tonnes, which includes a high-grade portion of 18.4m tonnes.
Though, the success of Jindalee and Lithium Americas supports a potential lithium discovery at Aurora.
In the second-half of 2022, Aurora is targeting:
Drill program to generate core for metallurgical testwork and confirm lithium-bearing sediments
Define lithium exploration targets
Uranium pre-feasibility study
Announce maiden lithium mineral resource
Convert uranium resource to measured status
Aurora has managed to outperform amid a tough market for new listings.
There were 7 IPOs in the week ended May 8 - all of which are currently trading at or below their offer prices.
Aurora is the only recent lithium and uranium-related listing, which goes to show that investors might still be keen for green metal plays.
Finance Writer & Social Media
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