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General mining & base metals

Paladin Energy could increase uranium production by 40% with process technology

The company's shares are up 9.7% today to $0.17 on a tough day for the wider market.

Paladin Energy Ltd (ASX:PDN) is evaluating the potential of the U-pgrade process on beneficiating low-grade uranium ore at Langer Heinrich Mine in Namibia.

Significantly, initial studies indicate that the U-pgrade process could add 1.5 to 1.8 million pounds per annum of production to Langer Heinrich, an increase of ~40%.

Furthermore, the studies indicate overall average site costs would reduce by US$1-2 per pound.

READ: Paladin Energy is back to being the ASX’s largest pure-play uranium producer

Paladin only recently recommenced trading on the ASX after a successful recapitalisation was completed.

It is the world’s 8th largest uranium company and largest pure-play uranium producer trading on the ASX.

Langer Heinrich is a strategic tier one mine

The Langer Heinrich uranium mine is the lowest cost open-pit uranium mine globally.

It is also the fourth largest open-pit uranium mine globally and a top-10 uranium mine by production.

At current processing rates, the mine has over 20 years of mine life remaining.

Uranium market: green shoots leading into 2018

Positive supply and demand changes in the uranium market are already driving prices off their CY16 and CY17 lows.