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Shares of Australia's Paladin Energy fall after heavy rains stop uranium mine in Namibia

Shares of Australia's Paladin Energy fall after heavy rains stop uranium mine in Namibia

Paladin Energy, an Australian uranium company, announced on Friday that it temporarily suspended operations at its Langer Heinrich Mine due to heavy rains in Namibia. This sent its shares to a record low of over a week.

Paladin stated that the severe weather has caused access to the mine to be severely restricted and all activities suspended.

The Langer Heinrich Mine, which is owned by 75% of the company, is an important contributor to its production.

As of 2339 GMT the shares of Australia's largest pure-play uranium mining company fell by as much as 8,9%, reaching their lowest level since March 13 and on track to have their weakest session ever since January 28.

The mine restarted in December after a planned shut down in November for plant maintenance and improvement works.

Paladin's annual production forecast was also reduced to 3,0-3.6 Mlb from 4.0-4.5 Mlb due to operational challenges and delays ramping up production.

Paladin stated on Friday that the full impact of this weather event, and the disruption to production will be assessed once conditions have stabilized.

(source: Reuters)