Paladin Energy raising $460 million for Athabasca uranium projects

Paladin Energy Ltd. [PDN-TSX, ASX, PALAF-OTCQX] has announced details of a fully underwritten equity raising consisting of a A$474 million (C$460 million) ASX institutional placement of new fully paid Paladin ordinary shares and a Canadian bought deal private placement raise of $50 million (A$51 million). The company said the equity raising positions Paladin for its next phase of growth, funding the ongoing development of the Patterson Lake South (PLS uranium project), potential resource growth and mine life at the PLS Triple R mine, and advancing exploration opportunities across the Athabasca Basin region portfolio.

Approximately 60.7 million shares will be issued under the ASX placement at a fixed price of A$7.80 per new share. Shares issued under the TSX bought deal will be issued at a fixed price of $7.62 per share. Underwriters have agreed to purchase on a bought deal basis 6.56 million shares.

Paladin shares advanced on the news, rising 4.08% or 33 cents to $8.41. The shares trade in a 52-week range of $14.40 and $6.67.

Paladin Energy is a globally significant independent uranium producer with a 75% stake in the Langer Heinrich Mine in Namibia. In late 2024, the company acquired Fission Uranium Corp. in Canada, resulting in a dual-listing on both the ASX and TSX. With the integration of Fission’s operations, the company now owns and operates an extensive portfolio of uranium development and exploration assets across Canada, which include the Patterson Lake South (PLS) project in Saskatchewan and the Michelin project in Newfoundland and Labrador. Paladin also owns uranium exploration assets in Australia. Through its Langer Heinrich Mine (LHM), Paladin says it is delivering a reliable uranium supply to major nuclear utilities around the world, positioning itself as a meaningful contributor to baseload energy provisions in multiple countries and contributing to global decarbonisation.

“The equity raising allows us to accelerate Paladin’s growth strategy in the Athabasca Basin region and advance a rage of value-accretive initiatives across both development and exploration,’’ said Paladin Managing Director and CEO Paul Hemburrow. “With the PLS Project now firmly established as one of the most significant undeveloped uranium projects globally, we believe the capital positions us to unlock substantial value through project advancement, maintain momentum towards targeted first production in 2031 and capitalise on the long-term outlook for the uranium market.’’

Specifically, equity raising proceeds will be used to fund the PLS project planning and execution of the 2027 and 2028 capital works program and early mobilisation, procurement and site readiness activities, helping protect the critical path and maintain momentum ahead of the principal construction program.

Proceeds are also earmarked for the PLS project’s Triple R mine life extension and resource growth and for acceleration of Athabasca Basin region exploration including follow-up drilling at Atlas and Saloon East and testing of high-priority regional targets across Paladin’s Athabasca Basin region tenure package. The funds raised will also be used for balance sheet flexibility by establishing a clear platform through the repayment of existing debt to support the advancement of a funding solution for PLS.