ENERGY MINERALS

Paladin boosts cash holdings

Uranium company awaiting improving market

This article is 6 years old. Images might not display.

The $44 million is about $4 million above guidance, with the uranium having an average selling price of $31.41 per pound - versus the average spot price of $28.57/lb for the quarter.

The improving uranium price has seen Paladin initiate a concept study for a future restart of Langer Heinrich, with a potential prefeasibility possibly completed this year.

Langer Heinrich went on care and maintenance in May 2018.

The uranium price has risen about 27% over the past year.

Paladin noted in its quarterly report that the French have delayed their planned reduction in nuclear power by a decade to 2035, while the Taiwanese have voted to overturn a previous plan to become nuclear free by 2025.

The ASX-listed company also noted KazAtomProm sold a 15% stake in itself to London and Astana investors in mid-November for $450 million, and Rio Tinto's sale of a 69% interest in the Rossing mine in Namibia to Chinese interests for $106 million.

Meanwhile commodities analysts at Macquarie last week suggested rebalancing "of this tiny, oversupplied (uranium) oxide market continues to be heavily dependent on production rate policies of its two mining majors, Cameco and KazAtomProm".

Share in Paladin were this week trading at A17.5c, capitalising the company at $306 million.    

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining News Intelligence team.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining News Intelligence team.

editions

Mining Journal Intelligence: Investor Sentiment Report 2025

Exclusive insights into the plans, priorities and preferences of 130+ mining investors and top factors influencing investment decisions in 2025.

editions

Mining Journal Intelligence World Risk Report 2024 (feat. MineHutte ratings)

A detailed analysis of mining investment risks across 117 jurisdictions globally, assessed across six risk categories and an industrywide survey.

editions

Mining Company ESG Index: Benchmarking the Future of Sustainable Mining

The Mining Company ESG Index report provides an in-depth evaluation of ESG performance of 61 of the world's largest mining companies. Using a robust framework, it assesses each company across 9 meticulously weighted indicators within 6 essential pillars.

editions

Mining Journal Intelligence Global Leadership Report 2024: Net Zero

Gain insights into decarbonisation trends and strategies from interviews with 20+ top mining executives and experts plus an industrywide survey.