Care and Maintenance and Optimisation Prefeasibility Studies
- Lowest cost open-pit mine globally
- Top 10 Uranium mine by production
- +20 year mine life
- 43.3Mlb cumulative production
- Remaining Resources 123.4Mlb
- Stable government
A strategic tier one mine in the global uranium industry with circa 5Mlbpa of uranium production capacity.
The Langer Heinrich Mine is located in the Namib Desert in Namibia, 80km east of the major seaport of Walvis Bay and about 40km south-east of the world’s longest running open pit uranium mine, Rössing uranium mine operated by Rio Tinto Group.
Paladin acquired Langer Heinrich Uranium (Pty) Ltd and its assets from Aztec Resources Ltd (formerly Acclaim Uranium NL) in August 2002. The purchase consideration was A$15,000 and a production royalty of 12 Australian cents per kilogram of yellowcake produced and sold.
CNNC Overseas Uranium Holding Limited, a wholly-owned subsidiary of China National Nuclear Corporation (CNNC), took a 25% stake in Langer Heinrich in July 2014.
Paladin placed LHM into care and maintenance in May 2018, however Paladin is currently undertaking optimisation and feasibility studies to prepare for a rapid restart once there is significant improvement in uranium market conditions.
Langer Heinrich is a surficial calcrete type uranium deposit containing a Mineral Resource of 123.4Mlb at a grade of 460ppm U3O8 across all resource categories.
MINERAL RESOURCES AND ORE RESERVES ESTIMATION
Mineral resources and ore reserves conforming to the JORC (2012) code are detailed below:
Namibia | Langer Heinrich
|Ore Reserves||Mt||Grade ppm
Namibia | Langer Heinrich | 30 June 2018
|Mineral Resources||Mt||Grade ppm
History of Langer Heinrich Mine (LHM)
|1973||The deposit was discovered in 1973 after a government-sponsored airborne radiometric survey of the area|
|1980||Between 1974 and 1980, General Mining Union Corporation Limited (Gencor) undertook extensive evaluation work at the site and suspended work on the project in the mid-1980s, following a fall in the prevailing uranium price|
|1998||Acclaim Uranium NL acquired the project from Glencor and completed a pre-feasibility study. The project was again put on hold due to prevailing uranium prices|
|2002||In August 2002, the Company acquired Langer Heinrich Uranium (Pty) Ltd and its assets from Aztec Resources Ltd (formally Acclaim Uranium NL). The purchase consideration was A$15,000 and a production royalty of A$0.12c per kilogram of uranium sold|
|2007||LHM commenced production in 2007 with a capacity of 2.7Mlbpa|
|2008||Construction of the Stage 2 expansion to 3.7Mlbpa commenced|
|2009||LHM reached the State 2 design capacity in December 2009|
|2012||Construction of the Stage 3 expansion to 5.2Mlbpa commenced at the beginning of 2010 and was competed on 31 March 2012|
|2014||On 23 July 2014 the sale process for a 25% interest in LHM to CNNC was completed|
|2015||Process innovation focused on the Bicarbonate Recovery Plant (BRP) which was commissioned in early March 2015 and resulted in significant reagent cost reductions|
|2016||Following the continued decline in uranium prices, LHM introduced a mining curtailment strategy in November 2016|
|2018||In May 2018 the Company placed LHM into care and maintenance (C&M) in May 2018 due to the sustained low uranium spot price and successfully transition the mine to full C&M in August 2018|
|2019||In February 2019 the Company commences a Prefeasibility Study in further refining and verifying LHM to restart plan|