Paladin Energy (ASX:PDN) has withdrawn its FY2025 production guidance after unseasonal rains in Namibia disrupted operations at its Langer Heinrich uranium mine.
The site experienced a one-in-50-year rainfall event that halted production and delayed the early start of mining operations aimed at accelerating access to higher-grade ore. Although the processing plant has now resumed operations and no significant damage has been reported, water damage to access roads and stockpile saturation continue to impact production.
Mining contractor Trollope Mining has begun mobilising equipment and staff, but water ingress in the open pits has delayed mining activities. While dewatering infrastructure is in place, Paladin no longer expects to reach its previously anticipated nameplate run-rate of 6 million pounds by the end of calendar 2025.
The company said blending ore from open pit mining will support improved output in the second half of the year, but the early mining strategy had been central to achieving full production capacity.
Paladin will provide a further update in its March quarter activities report, due in April, and plans to issue FY2026 guidance alongside its full-year results in August.
Shares are trading 9.94% lower at $5.76.
