Paladin Energy (PDN) Q4 2024 earnings summary

Executive summary

• Achieved commercial production at Langer Heinrich Mine (LHM) on 30 March 2024, with 517,597lb of U3O8 produced by 30 June 2024.

• First customer shipment of 319,229lb U3O8 departed Namibia on 12 July 2024.

• LHM Restart Project completed on time and within cost forecast at US$119.7M.

• Entered definitive agreement to acquire 100% of Fission Uranium Corp., expanding presence in Canada.

• No serious safety or environmental incidents during the quarter.

Financial highlights

• Held unrestricted cash of US$48.9M as at 30 June 2024, with US$80M in undrawn debt facilities (US$70M drawn).

• Net cash used in operating activities for the quarter was US$43.7M.

• Net cash from financing activities was US$49.3M, including US$45M from borrowings.

• Capital expenditure for LHM in FY2025 is guided at US$26M.

• Received US$24.8M post-quarter as partial advance payment for July shipment.

Outlook and guidance

• FY2025 production guidance for LHM: 4.0–4.5Mlb U3O8; sales guidance: 3.8–4.1Mlb.

• Cost of production expected at US$28–31/lb; sustaining capital at US$15/lb.

• Mining activities to recommence in FY2026, targeting nameplate production of 6Mlb p.a. by end of CY2026.

• Michelin Project PFS to commence in FY2025, completion expected FY2026.