Avira Energy Ltd. said April 3 that it will not proceed with the proposed joint venture with Paladin Energy Ltd. over the Manyingee uranium leases in Western Australia.

Due to challenging conditions in the uranium market, investors who were previously committed to supporting Avira's capital raising have withdrawn, due to which the company will no longer be able to satisfy the financing conditions within the timeframe of the agreement.

The companies entered the deal over Manyingee in November 2016, pursuant to which Avira secured the right to earn a 75% interest in the project.

Paladin and Avira, however, remain in discussions regarding the Manyingee project.

Avira will also continue to seek out other worthwhile uranium and resources projects that potential investors will find compelling.