The Langer Heinrich Mine will be the number eight biggest uranium mine by estimated production in 2026.
According to TradeTech Estimates for 2026, the Langer Heinrich Mine will be ahead of Rossing Mine, placed at number nine, and below Husab Mine, which is number three.
By 2026, the Langer Heinrich Mine is expected to produce ~4% of annual global uranium production.
The Langer Heinrich Mine started production in 2007 and went under care and maintenance in 2018 after producing and selling 43 Mlb million tons.
The mine started production in 2023 and fed its first ore into the processing plant in January 2024.
It achieved commercial output in March 2024.
The mine expectancy is 17 years, producing 77 Mlb U3O81 ~4% of annual global production.
Paladin expects to achieve a production run rate of 6 Mlb p.a. at the Langer Heinrich Mine by the end of 2025.
By October 31, 2024, the Langer Heinrich Mine had produced 826,346 lbs of U3O8, lower than planned, primarily due to ore grade variability in the stockpiled ore processed and disruptions to the water supply from NamWater.
A two-week shutdown is being undertaken to allow for various improvements and operational upgrades, including refilling the water storage facilities.
Additional water recovery equipment is installed, water optimisation studies are underway, and various debottlenecking projects are being developed to increase plant throughput.
Busy 2024
Paladin Energy CEO Ian Purdy says the 2024 financial year was a remarkable year for the company and included the critical milestone of the Langer Heinrich Mine returning to production in March.
Purdy says this achievement was the culmination of much hard work and a significant step toward becoming a globally substantial independent uranium producer, assisting the transition to a low-carbon global economy.
Purdy adds that the return of the Langer Heinrich Mine to commercial production in March 2024 was completed on time and within forecast costs.
Importantly, he says, it was done safely, with more than 2.5 million hours worked without severe injury or environmental incident.
“The first customer shipment from the Langer Heinrich Mine departed Walvis Bay, Namibia, in July 2024, and shipments are now ongoing under the company’s long-term offtake agreements with top-tier industry counterparties,” Purdy says.
The Langer Heinrich Mine operations are now approximately eight months into a planned 21-month ramp-up period.
Purdy says there is growing confidence across the business that by following plans and applying skills, experience, and effort, Paladin Energy will achieve its goal of a total production run rate by the end of the calendar year 2025.
“I note the recent downgrade to FY2025 production guidance due to a range of ramp-up issues, but I am also pleased to note the positive performance of the upgraded processing plant,” Purdy says.
According to Purdy, Paladin is well positioned to continue to grow, especially with the restart of production at the Langer Heinrich Mine, an achievable timeline for the ramp-up to total output by the end of the 2025 calendar year, supported by a strong balance sheet, robust uranium market fundamentals, and identifiable growth opportunities.
Half a century old
A government-sponsored airborne radiometric survey discovered the Langer Heinrich deposit in 1973.
The General Mining Union Corporation Limited (Gencor) undertook extensive evaluation work at the site from 1974-1980.
Gencor, however, suspended work on the project in the mid-80s following a fall in the prevailing uranium price.
Acclaim Uranium NL acquired the project from Gencor in 1998, completed a prefeasibility study, and put the project on hold again due to prevailing uranium prices.
Paladin Energy acquired Langer Heinrich Mine from Acclaim Uranium NL, which had changed its name to Aztec Resources in 2002.
The mine started production in 2007 with a 2.7 Mlbpa capacity.
In 2008, Paladin Energy started the construction of Stage 2 expansion to 3.7 Mlbpa, which reached Stage 2 design capacity in December 2009.
The Stage 3 expansion to 5.2 Mlbpa started in 2010 and finished in 2012.
Paladin Energy sold 25% interest in the mine to CNNC in July 2014 before commissioning the bicarbonate recovery plant to reduce reagent costs in 2015.
The continued decline in prices in 2016 led Langer Heinrich Mine to introduce a curtailment strategy in November.
By 2018, the low uranium spot price forced Paladin Energy to place the Langer Heinrich Mine into care and maintenance in May 2018.
By August 2018, Langer Heinrich Mine transitioned to full care and maintenance in August.
In February 2019, Paladin commenced a prefeasibility study to refine further and verify the Langer Heinrich mine restart plan.
The restart plan completed in 2020 provided a clear pathway back to reliable production and re-engaging with long-term customers in an improving uranium market.
Solid uranium market fundamentals and continued progress on marketing activities during 2022 supported Paladin Energy’s decision to return the Langer Heinrich Mine to production.
The Langer Heinrich Mine restart project progressed well during 2023, targeting the first production in Q1 CY2024.
Restart Project completed on time and within cost forecast, with a total capital expenditure of US$119.7 million.
The first production was achieved on March 30 2024, at the Langer Heinrich Mine, and the first customer shipment departed Walvis Bay on July 12, 2024.
Ramping up
In eight months after the restart plan, the Langer Heinrich Mine has produced over 43 million pounds of U3O8 over a successful 10-year track record.
The vast majority of Langer Heinrich Mine reserves and resources are within mining licence 140, while the adjacent mining licence 172 has had limited exploration.
There is a workstream underway to determine critical areas for future exploration and infill drilling programs ahead of the planned drilling in 2025.
Paladin Energy projects the Langer Heinrich Mine to produce over 77 million pounds of U3O8.
The uranium mined and processed at the Langer Heinrich Mine will be used to resource nuclear power plants, helping drive the global energy transition to a carbon-free, sustainable future.
