Mineral explorer Aurox Resources Ltd (ASX: AXO) announced on Friday that the company's shareholders gave its overwhelming approval on the proposed merger with Atlas Iron Ltd (ASX: AGO) to the tune of $143 million.

The company reported that all Aurox shareholders present during the shareholders' meeting to discuss the resolution voted in favour of the takeover bid where Aurox shareholders are poised to receive one Atlas share for every three Aurox shares held.

Aurox managing director Charles Schaus said that by giving its go ahead on the proposed merger with Atlas, "Aurox shareholders have recognised the future benefits the board believes such a merger will generate."

Mr Schaus said that the company is upbeat that "the platform and prospects of Atlas following the merger should deliver Aurox shareholders greater value with lower risk," as he added that the Perth Federal Court is set to hear and possibly approve the merger's scheme of arrangement on August 12.