Snow Lake, Global Uranium reach merger deal

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Snow Lake Resources (NASDAQ:LITM [https://seekingalpha.com/symbol/LITM]) +14.8% pre-market Monday after saying it agreed to acquire [https://seekingalpha.com/pr/20254883-snow-lake-to-acquire-global-uranium-and-enrichment-limited-creating-a-u-s-focused-nuclear] all shares of Global Uranium and Enrichment Ltd. it does not already own, creating a U.S.-focused nuclear fuel cycle company.

The deal will consolidate the Pine Ridge uranium project, a potential Tier 1 uranium project located in Wyoming's Powder River Basin, which is currently a 50/50 joint venture with Global Uranium, as well as exploration and development projects in the U.S., Canada and Namibia.

Under the deal terms, each Global Uranium shareholder will receive A$0.0968 in Snow Lake shares (NASDAQ:LITM [https://seekingalpha.com/symbol/LITM]) for each Global Uranium share.

"Both sets of shareholders are expected to benefit from the increased scale of Snow Lake, by establishing a significant presence in the Powder River Basin in Wyoming, with additional uranium assets in Colorado, Utah, Canada and Namibia, together with increased exposure to the U.S. nuclear fuel cycle," Snow Lake (LITM [https://seekingalpha.com/symbol/LITM]) CEO FRank Wheatley said.

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