CHAMWE KAIRA
Paladin Energy’s Langer Heinrich Mine in the Erongo Region produced one million pounds of uranium oxide during the quarter ended 30 September 2026, while sales reached 1.16 million pounds at an average realised price of US$79.40 per pound.
The production was affected by a planned maintenance shutdown, ore characteristics associated with the mining sequence and low in-circuit inventory levels at the processing plant at the beginning of the quarter.
Paladin said these factors affected processing performance, resulting in lower production and an average recovery rate of 85%, which was at the lower end of the target range.
The lower production volumes contributed to an increase in the cost of production to US$61.60 per pound compared with the previous quarter.
Mining activities recorded 7.73 million tonnes of total material mined during the quarter, exceeding the volumes achieved in the preceding quarter.
All mining operations were concentrated in the J Pit, where development continued towards the main orebody, alongside the removal of topsoil and waste material to open access to primary ore.
Crusher throughput reached 1.17 million tonnes at an average ore feed grade of 486 parts per million of uranium oxide, broadly in line with the previous quarter.
Paladin reported an improvement in production during September as mining advanced in the J Pit and processing plant performance strengthened, with throughput increasing during the month.
The company expects higher production and lower unit costs during the 2027 financial year as mining progresses into the lower southern benches of the J Pit, where improved ore grades and metallurgical recovery are anticipated.
Paladin reaffirmed its production guidance for the 2027 financial year, forecasting output of between 5.1 million and 5.6 million pounds of uranium oxide at a cost of production of between US$44 and US$48 per pound.
Higher production is expected in the second half of the financial year as higher-grade ore feed to the processing plant increases.
The company said its guidance was based on current operating conditions and assumptions and could be affected by disruptions arising from geopolitical developments.
Paladin reported no supply disruptions during the quarter resulting from the conflict in the Middle East. The company said it continued to monitor operating input stock levels and incoming shipments.
On the sales front, Langer Heinrich sold 1.16 million pounds of uranium oxide at an average realised price of US$79.40 per pound, reflecting increasing uranium prices and a higher proportion of market-related sales during the quarter.
As at 30 September 2026, Paladin had 400 000 pounds of uranium oxide outstanding under its uranium product loan facilities.
The company said the facilities provided flexibility in sales logistics, enabling it to meet customer delivery commitments.
It added that quarterly sales volumes and realised prices depended on contract pricing mechanisms, payment terms, customer delivery nominations and shipping schedules.
Meanwhile, Paladin completed 15 222 metres of resource definition and extension drilling during the quarter using two drilling rigs within Mining Licence 140.
The drilling programme focused on infill drilling to improve resource definition in areas scheduled for near-term mining, as well as exploration drilling targeting extensions to known mineralisation.
