Terra Uranium Limited (ASX: T92) is an Australian exploration company focused on critical minerals, with a diversified portfolio that includes strategic uranium projects in Canada’s Athabasca Basin and emerging tungsten-molybdenum assets in New South Wales. The company aims to leverage shifting global energy and critical minerals markets by advancing high-potential projects in stable jurisdictions. As of 4pm on 2 July 2025, T92’s shares were trading at $0.038 on the ASX.
On 2 July 2025, Terra Uranium Limited announced it had entered a Binding Term Sheet to acquire Dundee Resources Pty Ltd, securing 100% of Exploration Licence EL9764 in New South Wales. The licence includes the Glen Eden, Bald Nob, and Deepwater tin, tungsten, and molybdenum projects, representing the largest undeveloped tungsten-molybdenum system in the state.
The consideration comprises 10 million fully paid ordinary T92 shares at $0.03 per share (valued at $300,000), along with 10 million unlisted options exercisable at $0.09 per share, expiring 31 December 2026. If fully exercised, these options would raise a further $900,000 in capital for Terra. Additionally, 3 million performance rights have been granted, convertible into ordinary shares upon delineation of a JORC-compliant Measured and Indicated Resource of at least 2 million MTU of WO₃. The agreement also includes a $20,000 cash payment to cover vendor expenses and a 1.25% Net Smelter Royalty (NSR) payable on future production. This results in a total upfront acquisition cost of just $320,000, with additional equity incentives contingent on resource development and project progression.
In terms of capital efficiency, the acquisition cost of less than $13 per tonne of contained WO₃ equivalent (based on the mid-range exploration target) represents a deeply discounted entry point into a strategic asset class. The equity structure favours shareholders by deferring dilution until material technical milestones are achieved, while the unlisted options offer capital inflow potential without immediate share issuance. When benchmarked against recent comparable tungsten project acquisitions in Western Australia and Canada, which have traded at multiples of $50–$150 per in-ground tonne of WO₃, the Glen Eden acquisition reflects a disciplined capital deployment strategy and positions Terra Uranium with strong upside leverage relative to cost base.
The Glen Eden Project is supported by historical drilling totalling 3,388 metres across 18 diamond and reverse circulation holes, with the main mineralised zone defined across a 500-metre-diameter hydrothermal breccia system hosted in rhyolitic volcanics. An exploration target of 20 to 30 million tonnes has been outlined, with grades ranging from 0.18% to 0.29% WO₃ equivalent. This grade includes contributions from molybdenum disulphide (MoS₂), tungsten trioxide (WO₃), and tin dioxide (SnO₂). Applying these ranges, the total contained metal is estimated between 36,000 and 69,000 tonnes of WO₃ equivalent. At a market price of USD450 per MTU (USD4,500 per tonne WO₃), this equates to an in-ground gross metal value of between USD162 million and USD311 million (AUD243 million to AUD466 million at current exchange rates).
Metallurgical test work by Amoco in 1981 on representative core material demonstrated recoveries of 86% for molybdenum, 66% for tungsten and 58% for tin, indicating potential for commercial concentrate production under standard processing techniques. For a mid-range target of 25 Mt at 0.235% WO₃eq, the project contains 58,750 tonnes of WO₃eq. Applying weighted average recoveries of approximately 70%, the recoverable metal totals more than 41,000 tonnes. At current prices, the post-recovery, pre-operating-cost metal value stands at roughly AUD300 million. The 1.25% NSR would account for approximately AUD3.75 million over the life of mine if commercial production is realised. These figures, while dependent on further exploration and confirmation through a JORC Resource, highlight the magnitude of value leverage tied to this acquisition relative to Terra’s current market capitalisation.
The global tungsten market is currently undergoing structural realignment. Prices have reached 12-year highs, with benchmark WO₃ climbing above USD450 per MTU due to Chinese export restrictions enacted in February 2025. China is responsible for over 80% of global tungsten supply, and its reduction in overseas shipments—particularly of tungsten-based alloys and defence-related formulations—has led to sharp procurement disruptions in the United States, South Korea, Japan and the European Union. South Korea sources over 94% of its tungsten from China, while the United States has no significant domestic mine production, relying entirely on imports for industrial and defence applications. These developments have prompted multiple governments to officially list tungsten as a critical mineral, citing its strategic necessity in missiles, semiconductors, submarines and aerospace alloys.
For Terra Uranium, the acquisition of Glen Eden enables direct exposure to this rapidly shifting global supply-demand dynamic from a low-risk, Tier 1 jurisdiction. Unlike exploration-stage uranium projects, which are highly dependent on regulatory cycles, tungsten development in New South Wales is eligible for fast-track critical minerals permitting support under state and federal guidelines. Additionally, Glen Eden’s location near existing tin and antimony operations—including the Taronga Tin Project and Hillgrove Mine—improves infrastructure access, lowering potential future capex burdens and supporting logistical integration. This proximity and jurisdictional stability differentiate Glen Eden from other undeveloped tungsten assets globally, many of which are in politically or operationally challenging environments.
In conjunction with the acquisition, Terra Uranium completed a capital raising of $864,000 through a placement of 28.8 million shares at $0.03 per share, with one free-attaching option (exercisable at $0.09 by 31 December 2026) per share. If all options are exercised, the company will receive a further $2.592 million, boosting total placement proceeds to $3.456 million. This gives the company adequate capital runway to progress Phase 1 activities, including re-assay of historical core, updated geophysical interpretation and initial infill and extension drilling.
The placement was supported by institutional and high-net-worth investors, including a $100,000 subscription by Non-Executive Director Niv Dagan, subject to shareholder approval. These funds will be allocated to accelerating the conversion of the current exploration target into a JORC-compliant resource, with drilling anticipated within four to six months pending access approvals. Geological remodelling, surface mapping and target vectoring are expected in the second half of 2025, feeding into a Scoping Study in 2026.
In parallel, Terra Uranium maintains a strategic uranium exploration portfolio in Canada’s Athabasca Basin, comprising more than 180,000 hectares across multiple joint ventures and wholly owned projects. This dual focus allows Terra to address long-term energy transition trends through uranium while pursuing near-term exposure to critical minerals through tungsten and molybdenum, strengthening its balance of risk and commodity relevance in a rapidly evolving global market.
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