Investors welcomed the news with the stock gaining as much as 48c (9%) to reach an intraday high of $5.78 before cooling to $5.69 in late morning trade with over 1.6 million shares changing hands by 10.49am EDT.
The Perth-based company said in a statement that the financing consisted of a seven-year $145 million project finance facility, a $12 million standby cost overrun facility and a $10 million performance bond facility.
The facilities are being provided by Societe Generale, Nedbank Capital and Standard Bank - the banks that provided the project finance for the company's Langer Heinrich uranium project in Namibia.
Kayelekera will be the company's second uranium mine after Langer Heinrich. The Malawi project has reserves of 11,377 tonnes of contained uranium oxide.
A bankable feasibility study showed that just under 1500t of uranium oxide will be produced in the first seven years of the mine's life.
Earlier this week, it was reported that Paladin had set aside money for an environmental bond that could pay for any possible environmental damage caused by the Kayelekera mine.
Mineweb reported the establishment of the fund could silence the remaining pockets of resistance to the mine, namely the Civil Society Organisations (CSO) which summoned the uranium miner to court last year.
