Paladin Energy’s decision to revise its production forecast for Langer Heinrich Uranium Mine downwards has become a court case in Canada.
Ian Weatherlake has initiated the proceedings on behalf of the Weatherlake Family Trust, which represents affected shareholders.
Slater and Gordon, a law firm that filed the class action lawsuit in the Supreme Court of Victoria on April 16, 2025, alleges that Paladin Energy breached the Corporations Act 2001 and the ASIC Act 2001.
The class action lawsuit came after Paladin Energy reduced its production forecast from 4 million to 4.5 million to between 3.0 million and 3.6 million pounds of uranium concentrate.
Paladin Energy, which withdrew all previous guidance, based its decision on water disruptions and variable ore quality.
After the production guidance review, Paladin Energy’s shares shed 22% in just two days, resulting in shareholders who bought Paladin stock between June 27 and November 11, 2024, paying inflated prices.
The class action accuses Paladin Energy of misleading investors and breaching disclosure obligations.
The law firm argues that Paladin Energy should have known that the forecasts were overly optimistic and that there was a material risk they would not be met.
The class action alleges Paladin made misleading representations and contravened its ASX continuous disclosure obligations between June 27, 2024, and November 11, 2024.
Paladin Energy says it intends to defend this claim strongly.
