Langer Heinrich stockpiles ore

Paladin Energy spent US$11 million building low-grade uranium ore stockpiles at its Langer Heinrich mine in the September quarter, as the producer prepares material for future processing while navigating lower output and rising production costs.The expenditure forms part of the mine’s ongoing development, with the company accumulating ore for a later processing phase as mining advances towards the main uranium-bearing zones of the J pit. The investment comes as Paladin works to improve production rates and reduce unit costs during the 2027 financial year.The stockpiling expenditure was separate from US$67 million (N$1 billion) in production and selling costs and a further US$15 million (N$246.15 million) allocated to stripping activities and sustaining capital during the three months ended 30 September, according to the company’s quarterly results presentation released on 14 October.Langer Heinrich stockpiled about 480 000 tonnes of low-grade ore during the quarter, down from 920 000 tonnes in the preceding three months. The mine extracted 7.73 million tonnes of material, comprising 5.89 million tonnes of waste and 1.84 million tonnes of ore, compared with 7.45 million tonnes mined in the June quarter.Mining remained focused on developing the J pit, where the removal of topsoil and waste is providing access to the primary uranium-bearing orebody.Operational challenges weighed on production during the quarter. Uranium recovery declined to 85% from 90% in the previous quarter, which Paladin attributed to ore characteristics associated with the mining sequence.The processing plant treated 1.17 million tonnes of ore, slightly below the 1.19 million tonnes recorded in the June quarter. Uranium oxide production fell to 1 million pounds from 1.23 million pounds, while production costs rose to US$61.6 per pound from US$51.6.Paladin expects mining to reach higher-grade material in the lower southern benches of the J pit, improving ore grades and metallurgical recovery. The company anticipates these improvements will support higher output and lower costs per pound over the remainder of the financial year.Despite the weaker quarterly performance, Paladin maintained its full-year production guidance of 5.1 million to 5.6 million pounds of uranium oxide. Sales are forecast at 4.8 million to 5.3 million pounds, with average production costs expected to range between US$44 and US$48 per pound.Sales performance offered some support during the quarter. Langer Heinrich sold 1.16 million pounds of uranium at an average realised price of US$79.40 per pound, up from US$70.60 in the June quarter, although sales volumes declined from 1.35 million pounds.The September-quarter results highlight the near-term pressure on output and unit costs as Paladin continues to develop the mine and position it for improved production in the coming quarters.

Langer Heinrich stockpiles ore

Comments

Namibian Sun 2026-10-23

Please login to leave a comment

Langer Heinrich stockpiles ore

Comments

Namibian Sun 2026-10-23

Please login to leave a comment

Subscription Required to Access Content ×

Subscription Required to Access Content