Paladin Energy Limited (ASX: PDN) ('Paladin') is pleased to announce its financial results for the six months ended 31 December 2019 (1H FY20).
HIGHLIGHTS
Paladin successfully completed a comprehensive re-start study for the Langer Heinrich operations in Namibia. A review has also been completed under the new business improvement model, to provide assurance of risk management and to minimise holding costs.
Paladin is working towards finalising the sale of its Kayelekera Mine, having received statutory consent for the sale from the Malawi Minister for Natural Resources, Energy and Mining.
Unrestricted cash and cash equivalents of US$37.7M at 31 December 2019
Net loss of US$26.5M for the 6 months
Total Assets of US$380.5M
Notes Outstanding (principal & interest) of US$138.8M
Restructuring of Paladin Board and new CEO appointed to provide the technical and commercial skill sets necessary to restart mining activities at Langer Heinrich
Cliff Lawrenson appointed Non-Executive Chairman
Peter Main and Peter Watson appointed Non-Executive Directors
Ian Purdy appointed Chief Executive Officer
During the period, the company completed a placement to institutional & sophisticated investors and a Share Purchase Plan raising gross proceeds of US$21.6M
Paladin's Chairman, Cliff Lawrenson said 'The past six months have been an exciting time for Paladin with significant development in our operational and commercial activities. The announcement of the initial parameters for the re-commencement of mining operations at Langer Heinrich highlights the extensive work the team have done. Langer Heinrich remains well positioned to deliver production into a rebounding uranium demand and price market.
The Company's Board and management team was enhanced during the period. The appointment of Ian Purdy as CEO delivers the necessary experience and technical skill set to optimise the restart at Langer Heinrich, improve the Company's strategic position within the nuclear fuels market and engage with our key stakeholders. The addition of Peter Watson and Peter Main as non-executive directors provides complementary technical and capital market skill sets to ensure that Paladin can execute on our strategic ambitions.
Nuclear fuel remains a highly competitive and efficient source of base load clean energy with a low CO2 emission footprint. Whilst the spot uranium price remains under pressure, we continue to engage with stakeholders in the term price market to explore offtake opportunities from Langer Heinrich. The refreshed Board and management team at Paladin are committed to progressing the Langer Heinrich asset and delivering their strategic objectives. I look forward to keeping our shareholders and other key stakeholders informed of our progress during the remainder of the year'
Contact:
Ian Purdy
Tel: +61 8 9381 4366
Email: paladin@paladinenergy.com.au
About Paladin
Paladin Energy Limited (ASX: PDN) is an Australian based resource company focussed on the development and exploration of a portfolio of uranium assets across Africa, Australia and North America. The company's major asset is a 75% stake in the Langer Heinrich uranium mine in Namibia. Langer Heinrich is a globally significant uranium asset having produced over 40 million pounds of U3O8 over its life to date. Operations at Langer Heinrich were suspended in 2018 due to low uranium prices
Paladin has been working through a detailed restart plan for Langer Heinrich. Initial studies indicate the ability to recommence operations at 5.2Mlb of production per annum (pa) at a life-of-mine All-in Sustaining Cost (AISC) of US$33/lb with an initial anticipated capital cost of US$80M. Opportunities were identified to increase production to 6.5Mlb pa through additional, high return capital of US$30M reducing life-ofmine AISC to US$29/lb. The company continues to optimise restart plans for the asset, focusing on cost reductions and operational efficiencies. Paladin has a strong history of operations in Namibia and holds all permits necessary to rapidly restart operations. Beyond Langer Heinrich, the Company also owns a large global portfolio of uranium exploration and development assets. Nuclear power remains a cost-effective, low carbon option for electricity generation.
PALADIN ENERGY LTD 
