Global Uranium and Enrichment Limited (ASX:GUE) Secures A$10.0m Placement for Pine Ridge Uranium Project
Placement Details
Global Uranium has secured binding commitments for a A$10.0 million placement through the issue of 153.8 million new shares at A$0.065 per share. The placement is conditional on shareholder approval and Snow Lake completing due diligence. Funds raised will be used to acquire the Pine Ridge ISR Uranium Project and accelerate exploration and development activities.
Joint Venture Agreement
Global Uranium and Snow Lake Energy have executed a Joint Venture Agreement to acquire 100% of the Pine Ridge ISR Uranium Project in Wyoming’s Powder River Basin. Snow Lake will invest approximately A$5.8 million in the placement, acquiring a 19.9% stake in the company. Upon completion of the placement, Snow Lake CEO Frank Wheatley will join Global Uranium’s board as a Non-Executive Director.
Executive Comments
Managing Director Andrew Ferrier stated, “The successful execution of this Placement will enable Global Uranium to advance its development plan for the Pine Ridge ISR Uranium Project, leveraging its substantial Exploration Target and extensive historical exploration. Partnering with our new Joint Venture partner, Snow Lake, we see Pine Ridge as the flagship asset for the Company and with the funding secured through this Placement, we are well positioned to accelerate development on the project.
“This Placement marks a critical step for GUE, not only in advancing the exciting Pine Ridge ISR Project, but also in driving development of our broader portfolio of high quality, North American uranium projects. Our portfolio includes some of the largest underdeveloped uranium projects in the United States and with this funding we can execute on an aggressive exploration and development work program.
“On behalf of the Company, we would like to extend our gratitude to our new and existing shareholders for their support in this Placement. Your confidence enables us to advance our upcoming work program and continue delivering value for all shareholders.”
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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