Snow Lake to Acquire 100% of Global Uranium Shares Following Strong Exploration Results
Global Uranium and Snow Lake Resources have agreed to a binding merger scheme, with Snow Lake acquiring all remaining shares of Global Uranium. This follows a major drilling success at the Pine Ridge Uranium Project and regulatory approvals that pave the way for a combined uranium-focused entity.
- Binding scheme for Snow Lake to acquire 100% of Global Uranium shares
- FIRB grants no objection, clearing regulatory hurdles
- Completion of 38,000m drilling program at Pine Ridge confirms widespread uranium mineralisation
- Urenco secures FIRB approval for investment in uranium enrichment tech company Ubaryon
- Global Uranium to delist from ASX and become Snow Lake subsidiary post-merger
Merger Agreement and Regulatory Clearance
In a significant development for the uranium exploration sector, Global Uranium and Enrichment Limited (GUE) has entered into a binding Scheme Implementation Deed with NASDAQ-listed Snow Lake Resources. Under this agreement, Snow Lake will acquire all outstanding shares of Global Uranium it does not already own, effectively consolidating ownership and streamlining operations. The Australian Foreign Investment Review Board (FIRB) has provided a no objection ruling, clearing a major regulatory hurdle and signalling government support for the transaction.
The scheme was approved by Global Uranium securityholders at meetings held on 27 January 2026, with completion targeted for the first quarter of 2026. Upon completion, Global Uranium will be delisted from the ASX and become a wholly owned subsidiary of Snow Lake, which will continue trading on NASDAQ under the ticker LITM.
Exploration Success at Pine Ridge
The merger comes on the back of a highly successful 38,000-metre drilling campaign at the Pine Ridge Uranium Project in Wyoming’s Powder River Basin, a region renowned for uranium production. The joint venture between Snow Lake and Global Uranium drilled 114 holes targeting eight high-priority zones, confirming widespread and continuous uranium mineralisation across multiple sandstone packages. Notably, the drilling identified at least 25 mineralised roll fronts, reinforcing the project's potential for in-situ recovery (ISR) development.
These results not only validate the geological prospectivity of Pine Ridge but also highlight the operational synergies expected from merging the two companies’ interests in the project. The consolidation is anticipated to reduce duplication and complexity, enabling more efficient capital allocation and an enhanced focus on advancing exploration and development.
Strategic Technology Investment and Portfolio Diversification
Beyond exploration, Global Uranium holds a 21% stake in Ubaryon Pty Ltd, an Australian private company developing next-generation uranium enrichment technology. Urenco Limited, a global leader in uranium enrichment, has received FIRB approval to invest A$5 million over three years into Ubaryon, accelerating technology development. This strategic partnership underscores the combined group’s commitment to innovation within the nuclear fuel value chain.
The merged entity will boast a diversified portfolio spanning key uranium districts in the United States and Canada, including Wyoming, Colorado, Utah, and Saskatchewan’s Athabasca Basin. With a combined JORC Mineral Resource Estimate of approximately 58 million pounds of U3O8 and a strengthened cash position of US$18.5 million, the group is well-positioned to advance exploration and development aggressively.
Financial and Corporate Developments
To support transaction costs and ongoing exploration, Global Uranium issued unsecured convertible notes totaling A$5.3 million across two tranches, with an interest rate of 12% per annum. These notes provide necessary liquidity during the merger process and early-stage exploration activities. The company reported a modest cash balance of A$473,000 at quarter-end, reflecting ongoing investment in exploration and corporate activities.
With the merger, shareholders of Global Uranium will receive Snow Lake shares based on a formula adjusted for currency exchange rates, offering exposure to a larger, NASDAQ-listed uranium developer with enhanced market capitalisation and operational scale.
Bottom Line?
As the merger finalises and exploration momentum builds, the combined group aims to become a leading force in North American uranium development, but investors will watch closely for integration execution and further resource updates.
Questions in the middle?
- How will the merger impact the timeline and funding for advancing the Pine Ridge project to production?
- What are the key technical milestones and commercial prospects for Ubaryon’s uranium enrichment technology?
- How might the convertible notes issuance affect shareholder dilution and capital structure post-merger?
