Paladin Energy Ltd: Financial Report for the Nine Months Ending 31 March 2010
PERTH, WESTERN AUSTRALIA -- (Marketwire) -- 05/13/10 -- Paladin Energy Ltd ('Paladin' or 'the Company') (TSX: PDN)(ASX: PDN) announces the release of its Financial Report for the nine months ending 31 March 2010. The Financial Report is appended to this News Release.
Results
-- Record total uranium oxide (U3O8) production of 1,157,375lb for the
March quarter compared to 685,874lb for the comparative period. For the
first time quarterly production has exceeded 1Mlb. Record total
production of 2,873,284lb achieved for the nine months up from
2,010,410lb for the comparative period.
-- Langer Heinrich Mine delivered full quarter production at Stage 2
nameplate capacity with a 10% increase in production over the December
2009 quarter.
-- Stage 3 construction to 5.2Mlb per annum remains on track for year
end commissioning. Project now 30% complete and remains within
approved budget.
-- Stage 4 feasibility study resource upgrade drilling for expansion to
10Mlb per annum commenced in January and is progressing as planned.
-- Kayelekera uranium production step-change achieved with resin transfer
bottleneck remedied.
-- Production 228,998lb for the quarter ended 31 March 2010 increasing
from 145,315lb for previous quarter.
-- April production increases to 156,000lb.
-- Operation remains on track for nameplate production in June 2010
quarter.
-- Mineral resource upgrade expands project life by 2 years.
-- Langer Heinrich Mine cost of sales for the nine months to 31 March 2010
remained at US$26/lb in line with the nine month period to 31 March
2009. This represents an improved performance given the 15%
strengthening in the Namibian dollar exchange rate during this period.
-- Sales volumes of 1,043,000lb for the quarter ended 31 March 2010 at an
average of US$50.49/lb compared to 453,000lb at an average of
US$54.47/lb for the comparative period. Total sales volume for the nine
months reached 2,841,000lb averaging US$53.80/lb. This represents a
significant increase over the 1,576,000lb sold in the nine months ended
31 March 2009 averaging US$56.43/lb.
-- Long term contracting strategy continues to be implemented with signing
of a long term contract totalling 0.7Mlb commencing in 2011. This builds
on the 4Mlb long term contract commencing in 2012 announced in the
December 2009 quarter.
-- Profit and Loss
3mths to 9mths to
31 March 10 31 March 10
US$M US$M
Revenue 53.3 154.5
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Gross Profit 14.0 43.6
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Exploration and Evaluation
Expenses (3.2) (12.7)
Corporate and Other (10.4) (23.0)
Finance Costs (5.3) (16.1)
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Loss before Income Tax (4.9) (8.2)
Income Tax Expense (2.0) (18.1)
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Loss after Income Tax (6.9) (26.3)
Non controlling interests (0.1) 0.3
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Net Loss after Tax (7.0) (26.0)
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-- Gross profit for the March quarter up by US$3.2M over the comparative
period reflecting higher sales volumes.
-- Net loss for nine months, which includes a non-cash tax charge of
US$18.1M, narrowed to US$26.0M from US$482.3M in the comparative period.
-- Strong balance sheet at 31 March 2010 with US$400.6M in cash invested
with Australian banks with a minimum AA Standard & Poor's credit rating.
Conference Call and Investor Update scheduled for 07:00 Perth & Hong Kong, Tuesday 18 May 2010. 19:00 Toronto, Monday 17 May 2010 / 24:00 (midnight) London, Monday 17 May 2010.
Details are included in a separate news release.
The documents comprising the Financial Report for the nine months ending 31 March 2010, including the Report to Shareholders, Management Discussion and Analysis, Financial Statements and Certifications are attached and will be filed with the Company's other documents on Sedar (http://www.sedar.com) and on the Company's website (http://www.paladinenergy.com.au).
Please note: To view Paladin's Third Quarter Report, please visit the following link: http://media3.marketwire.com/docs/pdnthirdquarterreport.pdf
ACN 061 681 098
Contacts:
Paladin Energy Ltd
John Borshoff
Managing Director/CEO
61-8-9381-4366 or Mobile: 61-419-912-571
john.borshoff@paladinenergy.com.au
Paladin Energy Ltd
Garry Korte
Chief Financial Officer
61-8-9381-4366 or Mobile: 61-409-875-910
garry.korte@paladinenergy.com.au
Paladin Energy Ltd
Greg Taylor
Investor Relations Contact
905 337-7673 or Mobile: 416-605-5120 (Toronto)
greg.taylor@paladinenergy.com.au
www.paladinenergy.com.au