GUE expands uranium project area by ~85% in Wyoming, USA

Global Uranium Enrichment (ASX: GUE) just increased the size of its Wyoming uranium project by 85%...

Yesterday, GUE completed the acquisition of the Pine Ridge project in Wyoming, USA.

GUE owns the asset in a 50-50 Joint Venture with NASDAQ-listed Snow Lake Resources.

GUE’s new project sits ~15km away from the biggest permitted ISR uranium processing plant in the USA (owned by $29BN Cameco).

The proximity to Cameco’s plant is important because it makes the pathway to commercialising an ISR uranium asset a lot clearer.

GUE’s project currently has an exploration target of (24.4 - 51.3M lbs of uranium) - that estimate was based on GUE’s acreage position BEFORE today’s announcement…

Today, GUE expanded its project’s footprint adding ~17,048 acres to its ground, increasing the project area by ~85%.

Here are the before and after photos:

GUE mentioned in today’s announcement that the new ground means the prospective strike across the property increases from ~225km to 435km (almost double).

We think that could add to the exploration target for the project overall…

Here is all that additional strike highlighted in the image from today’s announcement:

With some drilling, we are hoping GUE is able to now define a resource a lot bigger than its current exploration target.

GUE also owns a piece of enrichment technology:

GUE also owns a piece of “world-leading” uranium enrichment technology through its 21.9% stake in private enrichment company Ubaryon

We are expecting a big catalyst from Ubaryon inside the next few months.

In February GUE put out an update on its investment and said that:

GUE’s Ubaryon is targeting a transaction “with selected organisations involved in the Nuclear Fuel Cycle production industry” which have “expressed interest in reviewing technology and potentially investing”.

At the same time GUE said that the process to identify a strategic partner was “well advanced”.

Site visits from those interested parties were planned for late February so the discussions should be a lot more advanced now.

The most recent update from GUE mentioned that something would be announced within “the first half of 2025”.

We are now about to enter May so that means two months starting now…

We think the sudden movement on this has a lot to do with the recent export restrictions Russia put on enriched uranium…

(Source)

(Remember - Russia controls ~50% of the global enrichment capacity, Russia and China combined control ~63%)

Those restrictions have also pushed conversion & enrichment pricing higher exponentially:

We think that any news from GUE’s enrichment investment could start to get some interest from the broader market.

Uranium enrichment technology exposures across any exchanges are extremely hard to find.

On the ASX, GUE is just one of two companies…

The other one is Silex Systems which owns 51% of its tech, partnered with Cameco.

The past performance is not and should not be taken as an indication of future performance. Caution should be exercised in assessing past performance. This product, like all other financial products, is subject to market forces and unpredictable events that may adversely affect future performance.

With GUE’s 50-50 partner and now biggest shareholder (19.99%) Snow Lake Resources listed in the US, we think that any big news from Ubaryon could also bring in US interest to GUE…

What’s next for GUE?

🔄 Drilling & exploration plans for Pine Ridge

In yesterday’s announcement GUE said that "preparations for initial drilling” at Pine ridge were advanced.

Inside the next few weeks we want to see GUE lay out a clear exploration plan and put some timelines around the drill program.

Here were the latest timelines from the recent investor presentation from GUE:

🔄 Enrichment Technology (21.9% owned Ubaryon)

We want to see Ubaryon de-risk its enrichment tech operationally and from a regulatory perspective.

🔄 Secure strategic/commercial partner for uranium enrichment technology

🔄 Further validation and extend the enrichment performance (show how well it works)

🔲 Achieve continuous operation at bench scale (scale up process)

🔲 Regulatory approvals

GUE’s other mining Projects

GUE has a number of other North American uranium exploration & development assets, here is what we are looking out for across these projects:

🔄 Project 1: ~52 Mlb Resource Scoping study at Talahassee (coming months)

A Scoping Study is due shortly at GUE’s advanced ~52Mlb JORC resource in Colorado.

GUE indicated in September 2024 that the scoping study is due in the “coming months”

🔄 Project 2: maiden JORC Resource at Maybell (coming months)

GUE completed its drill program in October last year, now it is preparing a maiden mineral resource estimate for Maybell in another part of Colorado.

Depending on the resource size and economics, next steps could potentially include additional drilling in 2025 and a scoping study to evaluate development options