2) When two people cuddle or snuggle in a completely platonic way.
2) Ally and Kate liked to snoogle when they saw chick flicks together.
"Well, the screen goes up to 1080p, and it has a 780M instead of the cruddy onboard stuff. That, and I'll never be able to fill up 16 gigs of RAM..."
*Notices glazed-over look on friend's face*
"...and it has way more snoogles than my old laptop. Like, almost double the snoogles."
You may also shorten 'Snoogle' to 'Snoog's' as a pet name.
2. *upon greeting* 'SNOOOOOOGGGGSSS!!!'