Aura Energy (ASX: AEE) will place 17,229,000 shares at $0.23 per share to raise about A$3.96 million.
The funds raised will be used to further the development of the company’s Swedish and Mauritanian projects.
Shaw Corporate Finance Pty Limited acted as lead manager to the placement.
Last month the company announced plans to define its first calcrete uranium resource in Mauritania in early 2011, after completing an extensive drilling campaign.
In late November Aura also commissioned stage 2 bioleaching at the Häggån project, located in Sweden’s Alum Shale Province, one of the largest uranium deposits in the world.
AEE is currently trading at 24 cents.