Sensitive ASX Announcement

Urenco Invests in Ubaryon and Forms Strategic Partnership

Published: 05/05/25, 09:26am (AEST)•4 pages

Global Uranium and Enrichment

GUE:ASX•Basic Materials

5May2025
Urenco Invests inUbaryonand Forms Strategic Partnership
HIGHLIGHTS
•Ubaryon achievesamajor milestoneattracting investment from Urenco andforming a
strategic partnership to advance its Uranium Enrichment Technology.
•Urenco is a globaluranium enrichment company with enrichment facilities in Germany, the
Netherlands, the UK and the USA, supplying enrichment services and fuel cycle products to
more than 50 customers in 20 countries.
•Ubaryonis a private Australian company which owns 100% of a unique and innovative
technology for uranium enrichment.
•Urenco to invest A$5.0mto advance the technology over the next 3 years, providing
strategic validation of Ubaryon’s technology as well as significant resources and expertise
to help de-risk steps towards commercialisation.
•GUEis the largest shareholder in Ubaryon (21.9%)and will remain the largest shareholder
post the transaction.
•Ubaryon independently assessed at technology readiness level of TRL-4 which highlights the
development done to date and the strong platform for this new partnership to build upon.

Global Uranium and Enrichment Limited(ASX:GUE, OTCQB: GUELF)(“GUE”or “the Company”)is pleased to
advise that UbaryonPty Ltd (“Ubaryon”)has provided a shareholder updateto announce that it has signed a
Term Sheet with Urenco Limited (“Urenco”)to form a strategic partnership. This is a significant milestone
which will materiallyassist the future commercialisation of Ubaryon’s enrichment technology.

Urenco Strategic Investment
Ubaryonhas signed a non-binding Term Sheet with Urenco, a globaluranium enrichment company,to form a
strategic partnership. The agreement was reached after a comprehensive process involving a targeted group
of potential investors and partners, conducted within the controls of the security legislationthat Ubaryon’s
technology is regulated by. Under the terms of the agreement, Urenco will invest a total of A$5.0millionin
Ubaryon over the next 3 years for a 13% stakein Ubaryon. The Term Sheetis subject to the usual and
reasonable conditions precedent for completion of aninvestment of this nature including receiving Ubaryon
shareholder approval for the transaction, Foreign Investment Review Board (“FIRB”)approvaland execution
of binding transaction documentation.

Urenco is an international supplier of enrichment services with sustainability at the core of its business.
Operating in the nuclear fuel supply chain for 50 years, Urenco has its head office near London, UK, and
enrichment facilities in Germany, the Netherlands, the UK and the USA.Urenco’s commitment, coming after
detailed due diligence, validates GUE’s historical investment in Ubaryon and significantly de-risks the business,
thereby enhancing GUE’s exposure to midstream nuclear fuel supply chains.Urenco supplies enrichment
services and fuel cycle products to more than 50 customers in 20 countries (www.urenco.com).
Ubaryon has committed to working exclusively with Urenco to complete thetransaction which will also
provide Urencothe ability to potentially increase its stake in Ubaryon through acquiring shares from existing
shareholders and a potential pathwayto secure the Ubaryon technology at a fair market valueat some point
in the future when the technology has been further advanced.
Ubaryonstated in the shareholder update, that theUbaryonboard has been impressed by the diligent and
professional way in which Urenco has engagedin the due diligence process and that itis clear that there are
significant synergies between companies. Urenco’s deep technical, regulatory, market expertise, resources
and strategic position in the nuclear fuel supply chain industry will make them the ideal strategic shareholder
for Ubaryon.
Ubaryon’s board considers that Urenco’s investment will also significantly assistthe future commercialisation
of Ubaryon’s technology to the extent that no other strategic investor could.
Ubaryon will request all shareholders (with GUE being the largest shareholder) to provide a waiver of pre-
emptive rights to purchase shares to allow the transaction with Urenco to proceed andwill also schedule a
Ubaryon shareholder meeting to approve the transaction and itsterms and conditions.
It should be noted that, as a binding agreement has not yet been signed, there is no certainty that the
transaction will complete within a specific timeframe, nor that it will complete at all.

Ubaryon Technology Rapidly Advancing -TRL 4
As a part of the due diligence process, Ubaryon has receivedtwo independent technical reviews confirming
thetechnology is currently at Technology ReadinessLevel (“TRL”)assessment level ofTRL-4.The TRL index is
a globally accepted benchmarking tool for tracking progress in the development of a new technology through
the early-stage research (TRL-1) to technologies ready for scaled commercial operations (TRL-9).TRL-4 shows
that all critical components were successfully validated in a laboratory environmentandsupported by
experimental results. Combined with the validation provided as a result of Urenco’s due diligence, these
independent assessments give confidence that Ubaryon’s technology has a sound foundation for further
development.
As a point of comparison, Global Laser Enrichment1(“GLE”) which is the vehicle of the SILEX uranium
technology (jointly owned by SILEX Systems Limited (ASX:SLX)51% and Cameco Corporation 49%), is aiming
for completing a commercial-scale pilot demonstrationto provideTRL-6 of the SILEX technology around mid-
2025.


1https://www.silex.com.au/silex-technology/silex-uranium-enrichment-technology/

Another spin off out of Lucas Heights: