Cosmos Exploration Limited (ASX:C1X), a company focused on resource exploration, has announced its intention to exercise its option to acquire 100% of EAU Lithium Pty Ltd, a Bolivia-focused lithium development company. As part of the acquisition, Cosmos will issue approximately 108.5 million fully paid ordinary shares to the vendors, subject to shareholder approval. EAU Lithium has a VULSORB®A-DLE technology licence agreement with Vulcan Energie Ressourcen GmbH.
To fund the acquisition and further exploration activities, Cosmos has secured firm commitments for a A$5.0 million placement to institutional and sophisticated investors. The placement includes participation from directors, totalling A$600,000. Funds raised will be allocated to exploration of existing Cosmos assets, supporting EAU Lithium’s negotiations in Bolivia, and covering EAU Lithium cash consideration of A$525,000 and general working capital.
The merger aims to support EAU Lithium’s strategy for lithium project development in Bolivia, in partnership with Vulcan Energy Resources, who will provide VULSORB® A-DLE technology and know-how. Completion of the acquisition is contingent upon shareholder approval for the share issuance and payment of the cash consideration. An extraordinary general meeting (EGM) is scheduled for April 2026 to seek this approval.
The placement involves the issuance of 25,000,000 fully paid ordinary shares at A$0.20 per share, along with attaching options. Yelverton Capital Pty Ltd acted as Lead Manager and Bookrunner for the placement and will also receive options. The placement shares are expected to settle on March 11, 2026, and commence trading on the ASX on March 12, 2026.
