Desert Energy closes IPO oversubscribed

The uranium spin-off of Perth-based gold explorer Aurora Minerals Ltd, Desert Energy Ltd, has raised the full $8 million in offer and oversubscriptions to fund exploration of its projects.

The company issued 30 million shares at 20 cents each to Aurora shareholders to raise $6 million, with oversubscriptions of up to a further 10 million shares at 20 cents each raised, giving the company an additional $2 million under the public offer.

Desert Energy will acquire 100 per cent of an Aurora Minerals Ltd portfolio of 14 granted exploration licences and 60 exploration licence applications covering 12,579 km2 in the Murchison and Gascoyne regions of Western Australia.

In addition it has entered into a separate agreement with Aurora to acquire 100 per cent of the rights to calcrete-hosted uranium mineralisation on a group of one granted exploration licence and 7 exploration licence applications which together form the Glenburgh Project in the southern Gascoyne Province, covering a further area totalling 1,266 km2.

The full text of a company announcement is pasted below

Aurora Minerals is pleased to announce that the Desert Energy IPO (Aurora 50%) has raised the full $8 million maximum subscription amount, and has closed heavily oversubscribed.

The offer received strong support from Aurora shareholders, clients of the sponsoring broker, Hartleys Limited and the general public.

Allocation of shares via Computershare is in process and all excess monies are anticipated to be returned next week.

We will advise investors of the planned ASX listing date once confirmation from the ASX is received.