Langer Heinrich Mine has produced 1.3 Mlb and delivered over 1.1 Mlb of uranium, generating N$1.4 billion (US$77.2 million) between July and December 2024 after restarting production at the Langer Heinrich Mine on March 30, 2024.
Ore feed was sourced from previously mined, medium-grade stockpiles during this period.
The company has 75% ownership of the world-class, long-life Langer Heinrich Mine.
The production expenditure at the Langer Heinrich Mine was US$59.5 million spent on operations, while exploration expenditure was US$14 million spent on meeting minimum tenement commitments for projects and the transaction costs associated with the acquisition of the Fission project in Canada.
General administration and corporate costs took US$10.2 million, while property, plant, and equipment costs were US$6.8 million.
Paladin paid US$5 million in interest on the debt facility and spent US$3 million on the Langer Heinrich Mine restart.
The cash flow from operating activities was US$30.5 million, and the free cash flow from operations (post-capital expenditure) was US$6.4 million.
The cost of sales of US$76.3 million includes expensing the previously mined ore stockpile processed into the finished product and sold during the six months ending December 31, 2024.
Unrestricted group cash, cash equivalents, and short-term investments increased by 239% to US$165.8 million.
As of December 31, 2024, the company held US$165.8 million in unrestricted cash and short-term investments, along with an undrawn revolving debt facility of US$50 million.
The company is advancing the early commencement of mining, including contractor engagement, to provide access to higher-grade ore to be introduced into the plant.
According to the December 2024 half-year financial results, Paladin is considering a blending strategy with the previously mined ore stockpile and new mined material.
The Langer Heinrich Mine’s highest production was in December 2024, following a two-week plant shutdown.
The company is planning and recruiting to support infill drilling in existing mining pits and exploration for a resource extension on the existing mining licence 140 and target identification in the adjacent licence 172.
Paladin CEO Ian Purdy said the past six months have been a remarkable achievement that will transform the company into one of the world’s largest independent uranium producers and position it as a multi-decade supplier to the global nuclear industry.
Purdy said the steady ramp-up at Langer Heinrich Mine has demonstrated the capability of the in-country team to maintain good operational progress following the successful restart project.
“The local team has embedded a range of operational achievements and continued to de-risk future production through the instigation of a maintenance program that included our first successful major planned shutdown,” Purdy said.
*Exchange rate: US$1=N$18.4
