The Western Australia-based company announced in June that it had decided to return the Langer Heinrich mine to production in the first quarter of this year. The project to restart the mine is now more than 93% complete with final construction and ongoing commissioning activities continuing across the processing plant, the company said. Initial ore feed has been sourced from existing stockpiles.
The company said it was still targeting first commercial production by the end of the current quarter - but "lower contractor productivity over the Christmas/New Year period" may push that date into early in the second quarter of the year.
"After more than six years of care and maintenance it is exceptionally pleasing to see production activities recommence at the Langer Heinrich Mine, with first ore feed to the processing plant achieved in January," Paladin CEO Ian Purdy said.
Total project capital costs are now expected to be USD125 million, up from the previous estimate of USD118 million, "with all major construction costs committed and including additional contractor
resourcing forecast during the commissioning phase". The company executed a USD150 million syndicated debt facility on 24 January, and this will provide increased capital flexibility as production ramps up, Purdy said.
Operation of the mine had been suspended in 2018 due to low uranium prices.
