Paladin Energy will keep its Langer Heinrich uranium mine in Namibia operational during a planned kiln shutdown in the second half of November, as the company works to improve production and recovery rates following operational challenges in the September 2026 quarter.
The Australian uranium producer said the shutdown will primarily affect the kiln used to dry uranium concentrate before packaging, while the rest of the processing plant will continue operating.
Paladin Chief Operating Officer Scott Barber said the company would build up in-process uranium inventory during the shutdown to support production once the kiln resumes operations.
“The shutdown is scheduled for the back half of November. It’s mainly around the kiln, which is used to dry the product before we can drum it. The rest of the plant will still be operational. So we’ll be building inventory during that time,” Barber said during an earnings call.
He said the replacement kiln was being shipped from Western Australia and would undergo inspections and testing upon arrival before installation in November.
The planned maintenance comes after Langer Heinrich produced one million pounds of uranium during the September 2026 quarter, while sales reached 1.16 million pounds at an average realised price of US$79.40 per pound.
Production costs increased to US$61.60 per pound as uranium recovery rates declined to 85%, compared with 90% in the previous quarter.
Paladin attributed the weaker recovery performance partly to finer and more weathered ore from the upper mining benches, although improvements were recorded towards the end of September.
Despite the operational challenges, the company maintained its production guidance of between 5.1 million and 5.6 million pounds of uranium for the 2027 financial year.
Paladin expects production costs to decline to between US$44 and US$48 per pound over the financial year, supported by improved recoveries and access to higher-grade ore.
The company anticipates stronger production and lower unit costs during the second half of the financial year as mining progresses into higher-grade, more competent ore.
