Aura Silver Resources Inc. (TSX VENTURE:AUU) ("Aura Silver" or the "Company")
announces that it has closed its brokered private placement financing issuing a
total of 6,200,000 flow-through units (the "Units") for gross proceeds of
$1,550,000 (the "Offering"). Union Securities Ltd. ("Union") acted as agent for
the Offering.


Each Unit consists of one flow-through common share and one non-flow-through
common share purchase warrant (a "Warrant"). Each Warrant entitles the holder to
acquire, upon exercise, one common share at a price of $0.30 per share for a
period of 24 months from the closing date of the Offering. Additionally, the
Warrants are callable during the 24 month period, at the option of the Company,
should the Company's common shares trade above $0.60 for twenty consecutive
trading days on the TSX Venture Exchange. Subscribers will be notified of the
call provision being triggered and will have a 30 day period to exercise the
Warrants.


In consideration for its services as agent, Union was paid an 8% commission
totaling $124,000. In addition, Union has been provided non-transferrable
agent's compensation options to acquire 620,000 non-flow-through units. The
agent's compensation options are exercisable for a period of 24 months from the
closing date at a price of $0.25 per unit. Union has also been reimbursed for
legal and other direct costs of the Offering.


All securities issued in the Offering are subject to a four month hold period
expiring October 11, 2011. This brokered private placement is subject to final
acceptance of the TSX Venture Exchange.


Aura Silver intends to use the proceeds of the Offering to fund drilling
programs and related exploration costs for its 100% owned Greyhound, Nunavut
project. The Company has completed additional ground geophysical surveys and has
initiated the 2011 drilling program at the Greyhound project (See Press Release
#11-04, May 26, 2011). The flow-through share proceeds will be used to incur
Canadian exploration expenses prior to December 31, 2012 at the latest. The
Company intends to renounce the qualifying expenditures to subscribers for the
year ended December 31, 2011.


About Aura Silver

Aura Silver is a TSX Venture listed company engaged in the acquisition,
exploration and development of precious metal prospects in Canada (100% owned
Greyhound project) and in Oaxaca, Mexico at the Taviche project. Including the
shares issued in this offering, Aura Silver has 87,853,590 common shares
outstanding. 


FORWARD-LOOKING STATEMENTS

This press release may contain forward looking statements that are made as of
the date hereof and are based on current expectations, forecasts and assumptions
which involve risks and uncertainties associated with our business including the
uncertainty as to whether further exploration will result in the target(s) being
delineated as a mineral resource, capital expenditures, operating costs, mineral
resources, recovery rates, grades and prices, estimated goals, expansion and
growth of the business and operations, the private placement financing
activities of the Company, plans and references to the Company's future
successes with its business and the economic environment in which the business
operates. All such statements are made pursuant to the 'safe harbour' provisions
of, and are intended to be forward-looking statements under, applicable Canadian
securities legislation. Any statements contained herein that are statements of
historical facts may be deemed to be forward-looking statements. By their
nature, forward-looking statements require us to make assumptions and are
subject to inherent risks and uncertainties. We caution readers of this news
release not to place undue reliance on our forward-looking statements as a
number of factors could cause actual results or conditions to differ materially
from current expectations. Please refer to the risks set forth in the Company's
most recent annual MD&A and the Company's continuous disclosure documents that
can be found on SEDAR at www.sedar.com. Aura Silver does not intend, and
disclaims any obligation, except as required by law, to update or revise any
forward-looking statements whether as a result of new information, future events
or otherwise.
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