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Everything posted by Park-Hall

  1. U3O8 sitting at $49.99 http://www.bloomberg.com/apps/quote?ticker=MFURMDUR:IND#
  2. Park-Hall


    ditto that NS
  3. In reply to: the saint on Tuesday 07/10/08 04:15pm it will have to be a very healthy dividend if our share holding is divided by 20 http://www.sharescene.com/html/emoticons/unsure.gif , I feel management should be able to improve the share price without a consolidation of our shares, it is still very early days for this company thus far. http://www.sharescene.com/html/emoticons/wink.gif
  4. Hi all, any thoughts on the 20:1 consolidation of shares http://www.sharescene.com/html/emoticons/icon14.gif
  5. FOREIGN OWNERSHIP Australian nickel miners need to quell the foreign invaders The head of one of Australia’s new wave nickel producers warned today that the country’s industry needs to ensure its nickel mines don’t get absorbed like most of the major gold mines by foreign owners. Author: Ross Louthean Posted: Wednesday , 24 Oct 2007 PERTH - Julian Hanna, who runs Yilgarn goldfield nickel miner Western Areas NL, believes investors and the industry need to appreciate the performance of modern Australian nickel miners. "Australia is emerging as an increasingly larger supplier of concentrate internationally to meet world consumption of around 1.4 million tonnes per annum," Hanna told the Australian Nickel Conference in Perth today. "Our industry here, in a word, is stunning as Australian nickel mines on average produce around 8,000 - 15,000 tonnes of nickel concentrate per annum - compared to only about 5,000 tpa by Canadian mines, for example. "Our mined ores are being replaced and new discoveries are ongoing so the global investment and nickel community has increasing reason to look at a slice of the Australian action. "This poses some real challenges to the Australian nickel sulphide industry in terms of retaining ownership and control of its nickel mines." (Several of the modern nickel miners got their start by taking over the Kambalda region mines of WMC Resources before it was taken over by BHP Billiton and most are producing stellar financial performances. Western Areas took over ground mined in the Forrestania belt by Outokumpu Oy and found new deposits, while Jubilee Mines in the north eastern goldfields developed its own discoveries, some of which produced "bonanza" grade nickel ore). Hanna said some ownership pressure would come from trends overseas to consolidate the nickel smelting and refining industry, as well as controlling long term the rising cost of mining and the availability of skilled labour and drill rigs. "Underground jumbo operators are taking home $1,000 for a 12 hour shift and if they get upset, they just go to the next mine - it is all about money at the moment and that is putting a lot of pressure on wages and ultimately operating costs," Hanna said. World nickel demand remained strong, primarily for nickel sulphides, the expected shortfall in nickel sulphides was getting closer and the sector would increasingly rely on all current proposed nickel laterite mineralised projects to come onstream. This was not, he said, simply a China-driven factor as much of Asia was rapidly lifting its living standards, creating wider opportunities for use of stainless steel, as well as nickel's other uses in products such as batteries and metal alloys. He warned that nickel remained price sensitive and while there was general acceptance of price support levels of around $US10/pound any collapse in that to around $US6/lb would see many marginal nickel mining operations fall off the scale. http://www.sharescene.com/html/emoticons/wink.gif
  6. In reply to: acd on Thursday 23/08/07 06:09pm Thursday, Sept 13 Daily Nickel/Stainless Roundup Today's official LME nickel closing prices - cash - $12.25/lb 3 month buyer - $12.36/lb (96.5% higher than 1/1/06) Baltic Dry Index - minus 81 to 8,340. LME nickel inventories - plus 774 tonnes into Rotterdam, Netherlands warehouse, minus 114 tonnes shipped from Rotterdam (comment) Nickel went green on the board this morning and never looked back. While we are sure there are some trading reasons why the rock, that was worth a certain value yesterday, was worth so much more in traders eyes today, the fundamentals did not change. And they really haven't changed for awhile now. Nickel inventories are growing in LME warehouses, quite simply, because demand, primarily stainless, has fallen off. And although we are in the downstream stainless industry, we aren't really sure what the stainless steel producers are waiting on. Unless it's that uncomfortable period after the market has re-established a floor and everyone is waiting for the other guy to blink first. Yes, as we stated yesterday, we believe a floor has been established. Has the market turned from volatile to consistent? No. But we really see no reason for nickel to fall any further. What are the variables as they stand today? On the demand side, stainless steel metal centers are still buying only what they need, and not re-stocking. After being burnt so bad over the last few months, it's a financial wound that may be hindering their return to the buy side. Stainless steel producers are faced with a downturn in demand, and also watching a market price for nickel jump back and forth by thousands of dollars daily. This makes it very difficult for them to buy, not knowing what the next day will bring. On the supply side, things are running smoothly. Nickel miners are all mining full stream, with no disruptions to hinder their production. No new major sources are set to come online until sometime next year. Even the new fly in the punchbowl, pig nickel is having its problems, and while proving to be an effective equalizer, it is not the salvation from high nickel prices the Chinese stainless steel industry was hoping for. We are reading media reports from China where they are now complaining they have tons of low grade laterite ore sitting on their docks, that was purchased under contract, or at market value, at prices excessive to what it is worth at today's market prices (here). Eliminating some of the smaller producers that were processing it, and add excessive and over-priced inventory, and the so-called pig nickel has its own set of problems right now. So what is going to have to happen for the market to break loose? First, the talk of recessionary concerns brought on by the mortgage scandal is going to have to work itself out. While stockholders may be confident that a bullet has been dodged, the constant recession talk and foreclosures has many spooked. Until distributors and producers feel that threat has lessened, demand-in-force could remain on the sidelines. And, in our opinion, when the market starts deciding that what happens in the U.S. isn't nearly as important as it used to be, and China, India, Brazil, Russia, Dubai, etc are where real growth is happening, then things might change. Second - we feel the traders on the LME need to calm down and let the market stabilize. Buying nickel on the part of a producer, who needs to purchase 30,000 tonnes at a time, shouldn't be a garage sale process. Yes, when the market was exploding, and when it went into the toilet, this is a poison pill that every nickel buyer must swallow. But by leap frogging prices one week, only to bail out the next, for no real explainable reason, the LME traders are playing tug a war with themselves, and putting the system in a situation where it is becoming its own worst enemy http://www.sharescene.com/html/emoticons/wink.gif
  7. Spot Uranium Falls To US$135/lb Monday, 2 July, 2007 by Rudi Filapek-Vandyck FN Arena What only a few weeks ago seemed but a distant possibility is now official: the uranium spot price has pulled back. TradeTech, one of two industry consultants that determine a benchmark price setting on a weekly basis, has decided to cut US$3 off its previous US$138/lb benchmark figure to send ripples through the industry with a first price fall in 47 months. The cause behind this development is as clear as sunshine: professional speculators have grown more cautious about entering the market for U3O8 (uranium concentrate or yellowcake) and pushing up prices indefinitely. For a more in-depth explanation, we happily refer to our weekly analysis from June 26 (“Can The U3O8 Spot Price Fall?â€ÂÂÂÂÂÂ). FNArena has received several bearish market comments over the past few weeks, mostly sent to us by our readers, with some commentators predicting spot uranium has peaked and is on its way down. We believe these predictions are likely to be proven wrong as demand for uranium continues to grow and supply is not readily available to satisfy all buyers at this point in time. It remains very unlikely this situation will change in the short term. Analysts at Deutsche Bank seem to share this view as they increased their average price forecasts for the next three years - and quite significantly so. Deutsche Bank now forecasts an average U3O8 spot price for 2007 of US$122.1/lb (up by 31% from previous forecast) with prices expected to rise further in the two following years. The average price forecast for 2008 is now US$156.3/lb (up by 56%) and for 2009 the figure is US$175/lb (up 67%). Deutsche Bank has penciled in a noticeable supply response from 2010 onwards with the average price anticipated to decline to US$95/lb in the year. We do agree with the view that an era has come to an end: the era of no matter what you buy, as long as it has the tag uranium attached to it. Again, we find a similar view in Deutsche Bank’s latest industry update as the broker preaches caution towards Energy Resources of Australia (ERA) because of the production challenges that lay ahead. The broker advocates ERA shares should trade at a discount to other producers until the problems with its flooded pit 3 in the Northern Territory have been resolved. Deutsche Bank remains positive about the prospects for junior producer Paladin Resources (PDN) rating the shares a buy with a $10 price target for the year ahead. http://www.sharescene.com/html/emoticons/wink.gif No doubt, close followers of the industry will argue that the era of “everything uranium is gold†already ended some three months ago. And they are correct.
  8. may have been posted before; still worth a read. http://www.sharescene.com/html/emoticons/wink.gif http://www.compareshares.com.au/zeal12.php
  9. na this doesn't happen http://www.sharescene.com/html/emoticons/wink.gif http://www.tradeguider.com/tradeguider_trading_software.asp
  10. 'Uranium can pip $150/lb' Jul 09 2007 07:37 PM www.fin24.co.za Johannesburg - Uranium One (SXR), the Canada-based uranium producer with a primary listing on the Toronto Stock Exchange and a secondary listing on the JSE, on Monday predicted that the uranium spot price could hit US$150 a pound before the end of the year. Neal Froneman, president and CEO of Uranium One, said the spot price did not represent the price of uranium or the price utilities were willing to pay. "There is a bit of poker being played between the utilities and producers," said Froneman, suggesting the development of a standoff price wise. The spot price for uranium is $134 a pound but "I would suggest that utilities are willing to pay $60 a pound at the moment," he said. Soaring from $10.90 in June 2003, the monthly spot uranium price has more than trebled from $46 since June last year. Froneman attributed the recent uranium price recovery to "a nuclear renaissance and constrained supply". There are 435 reactors in operation across the globe; another 28 reactors are under construction in India, China and Russia; 64 are being planned and 158 reactors have been proposed. There is, however, a large shortfall in uranium production with the 40 000 tons of uranium produced annually falling short of existing consumption at 65 000 tons. What is more, the World Nuclear Association expects uranium demand to more than double by 2030 as more countries turn to nuclear fuel for their power requirements. This could mean that the uranium price could take a breather over the next 18 months or it could continue to ratchet higher, said Froneman. It is against this worsening supply picture that some analysts have forecast a uranium price of $200 a pound in two years, even reaching as high as $255 a pound within that time. "We believe the long-term price will be substantially higher," said Froneman. "That is why we are in no rush to sell our uranium," he added. http://www.sharescene.com/html/emoticons/wink.gif
  11. interesting site http://www.instinet.com/includes2/indexSho...ding/index.html
  12. Court case should soon be known, from other chat sites it may be a positive outcome for STP, we can only hope and pray. http://www.sharescene.com/html/emoticons/icon14.gif
  13. Going Forward The operation continues to produce uranium oxide to contractual specifications, and shipments are being made to customers’ converter facilities. Shipping disruptions which occurred earlier in the year have been resolved satisfactorily, and Langer Heinrich is continuing to ship to North American converters and the European converter throughout the rest of the year. Although design recoveries have not been consistently achieved to required levels, the work of recovery and throughput optimisation continues. Paladin fully expects Langer Heinrich to reach its target annual production rate of 2.6Mlb U3O8 by January 2008 and forecasts 0.9Mlb U3O8 production to December 2007 and 1.3Mlb in the 6 months to June 2008. The operational team at Langer Heinrich has made substantial progress in understanding the performance characteristics of the new plant including orebody characteristics. Paladin is confident that the challenges of commissioning an entirely new mine and uranium processing plant are well within our capabilities and further that Langer Heinrich represents a robust and profitable project which will contribute substantially to future global uranium production. http://www.sharescene.com/html/emoticons/wink.gif
  14. In reply to: nell on Monday 30/07/07 12:57pm LH production update, all going to plan. http://www.sharescene.com/html/emoticons/wink.gif
  15. More mergers expected in uranium sector July 25, 2007 - 6:05PM Australia's undervalued uranium companies, including miner Paladin Resources Ltd, will continue to be hunted by their North American peers looking for cheap acquisitions. Haywood Securities senior mining analyst Jim Mustard told AAP Australia's undervalued uranium companies would continue to feature highly on the shopping list on international predators. Canadian outfit's Mega Uranium Ltd and Denison Corp have been active in the sector over the past 18 months, snapping up stakes in a number of companies along with the acquisition of a couple of junior explorers. "I think it will continue to happen because those companies, certainly Mega and Denison are an aggressor in M&A (merger and acquisition) activity," he said on the sidelines of a uranium conference in Fremantle. "They are shopping the globe looking for undervalued assets and when they look at Australia ... they compare them to their peer groups in North America and they say these companies are undervalued. "That's typically what's happening to those companies when you look at the Australian market." Mr Mustard said uranium miner Paladin Resources was also likely to feature on the shopping list. Paladin "emphatically" denied earlier this month it been approached following media speculation the world's largest uranium miner Cameco was running the rule over the company. "Cameco I think will be on the takeover hunt on a go forward basis," Mr Mustard said. "I think any company of the size and scale that Cameco has must look at opportunities outside its own backyard in Saskatchewan (Canada), simply because they are a long term player. "They are going to look at the guys that have a long list of development stage projects, such as Paladin, and they will become attractive over time." © 2007 AAP http://www.sharescene.com/html/emoticons/wink.gif
  16. Park-Hall


    Brandrill Limited (Company) issued 47,790,000 ordinary fully paid shares to institutional and professional investor clients of Euroz Securities Limited on 23 July 2007. The securities are part of a class of securities quoted on the Australian Stock Exchange Limited (ASX). --------------------------------------------------------------------- Euroz Securities is based in Perth Western Australia and is a Licensed Securities Dealer and Corporate Member of the Australian Stock Exchange. Institutional Dealing: Institutional advisory and equity dealing services. Our team of institutional dealers service major funds management clients in Australia, Europe and Asia. Corporate Finance: Corporate finance services for Australian companies - including capital raisings, mergers and acquisitions. Retail Dealing: Retail advisory and equity dealing services. Research: Equities research on Western Australian and other Australian listed companies. We have a team of experienced industrial and resource analysts covering a wide spectrum of sectors and companies. http://www.sharescene.com/html/emoticons/wink.gif
  17. In reply to: watchmaker on Friday 20/07/07 07:47pm The Australian Financial Review reported Tuesday Cameco may be considering a bid for Paladin and had made at least one approach to a London-based holder of Paladin shares over a possible stake sale, according to reports. If I read this right Paladin was not approached but a London-based holder of Paladin shares. So JB is correct in saying that Paladin has not been approached. http://www.sharescene.com/html/emoticons/icon14.gif
  18. In reply to: Underlord on Friday 20/07/07 12:49pm yep, all good http://www.sharescene.com/html/emoticons/smile.gif
  19. In reply to: woteva on Friday 20/07/07 10:09am Marriott's is the key to this company, results on the improve, looking good. http://www.sharescene.com/html/emoticons/wink.gif
  20. In reply to: watchmaker on Thursday 19/07/07 09:12pm WM, this is the the part that tells the story. While it is clear that Paladin is an attractive target, there is however also reason for caution. “The Paladin board clearly has a vision for the company and being bought is not part of that vision,†one analyst claimed. If there is to be a takeover then it will be a hostile one or a sell at +$20 http://www.sharescene.com/html/emoticons/wink.gif
  21. Paladin Resources is an attractive target for Cameco, Areva, Uranium One, BHP, analysts say By Catherine Raisig in Hong Kong Published: July 18 2007 11:53 | Last updated: July 18 2007 11:53 Please email ft@mergermarket.com or call EMEA: + 44 (0)20 7059 6105 Americas: +1 212 686-5277 Asia-Pacific: +852 2158 9730 for further information on mergermarket and how to receive more articles like the one below. -------------------------------------------------------------------------------------------------------- Paladin Resources, the listed Australia uranium miner, is an attractive takeover target as it is the only independent uranium miner, analysts argue, adding that much of its resources are so far un-contracted. They say that aside from listed Canadian miner Cameco, French nuclear energy company Areva, Australian mining group BHP Billiton, the other Canadian uranium miner Uranium One or even a major oil player could be possible bidders. Shares in the company are currently trading at AUD 8.46 after a high of AUD 10 earlier this year. One analyst said the company was “priced to perfection†when it was trading at AUD 10 and explained the share price decline was due to the recent difficulties the company was encountering. “Nothing unusual, start up issues really,†he said, adding that fundamentally the story had not changed since it was valued at AUD 10. A valuation of AUD 12 in a takeover situation was entirely possible according to him. A second analyst concurred. A third analyst said bidders could be expected to pay up to AUD 12 if an offer were made. “And if there is a bidding war, the price could be driven up to AUD 15 per share,†he said. Following a report in Tuesday’s Australian Financial Review suggesting Cameco could buy Paladin, Paladin issued a statement to the ASX denying it had been approached by Cameco. Analysts explained that Paladin is an attractive target because it is the only independent uranium producer and it has attractive assets. Paladin is in the process of ramping up its first uranium mine, Langer Heinrich in Namibia, and is constructing its second, Kayelekera in Malawi. Adding to these analysts said the recent acquisition of Summit Resources has brought the Valhalla resource under Paladin’s control. The Valhalla resource is an exploration target in a highly attractive Mount Isa exploration region and will increase Paladin’s exploration opportunities, two analysts said. Paladin’s attractiveness also stems from the fact that most of its output is un-contracted which means that when agreeing prices for its future output the company will benefit from the recent uptake in uranium prices. This places Paladin in a stronger position than its competitors. They are in many cases locked into up to 5 year long pricing contracts, unable to take advantage of the increased uranium prices, two of the analysts explained. Two analysts also pointed out that Paladin has a wide open shareholder register, with no significant individual shareholder who would be able to block a deal although management itself holds a 12% stake. Cameco would be a possible bidder for Paladin since the flooding of its Cigar Lake development project has placed a strain on the company. “Production from the project has now been delayed until 2011,†one analyst said, “given that it was scheduled to be providing 10% of the global uranium supply, it is not only understandable why uranium prices have increased so significantly but also why Cameco would be interested in ensuring its uranium production via the acquisition of Paladin.†Another analyst argued that by buying Paladin, Cameco would be diversifying its mining operations significantly. Aside from Cameco, all the analysts suggested Areva as a potential bidder. Areva already owns a 20% stake in Summit Resources, with Paladin holding the remaining 80%. Areva tried to gain full control of the business but lost out to Paladin in a bidding war. By making an offer for Paladin, Areva would gain control of Summit and its highly attractive Valhalla mine after all. Two analysts claimed that the Canadian listed Uranium One would be another possible bidder, particularly considering it has been very acquisitive of late. However a third argued that the company had reached the end of its acquisitions spree and would instead focus on stabilizing the business. Another potential bidder for Paladin could be BHP Billiton, itself the largest uranium miner, one analyst suggested, but another pointed out that this would mean a clear focus on uranium by BHP – something he felt was less likely. A third analyst said he felt it was unlikely that a diversified miner would bid for Paladin and instead said it would be a pure play uranium miner who would bid for Paladin Only one analyst suggested that the big oil companies could be bidders for Paladin. “They are flush with cash and so Paladin with a market cap of AUD 4.5bn (USD 3.9bn)would be quite a small deal for them,†he said. He specifically mentioned UK listed oil giant BP as a possible bidder. While it is clear that Paladin is an attractive target, there is however also reason for caution. “The Paladin board clearly has a vision for the company and being bought is not part of that vision,†one analyst claimed. --------------------------------------------------------------------------------------------------------
  22. Park-Hall


    In reply to: Barra on Sunday 15/07/07 06:55pm You are right Barra, my comment on sale of core business was a bit tongue in cheek, only looking at revenue & EBT of presentation, just looked funny, they are getting their house in order and the future looks very bright, the resource sector has a long way to run yet. I'm still holding TOX Towie, looking for a positive FY report, and another run up. http://www.sharescene.com/html/emoticons/wink.gif
  23. Park-Hall


    In reply to: Barra on Thursday 12/07/07 09:33am All reads positive to me, interesting to see a pull back in the share price from around February at 31c, and we see the placement to major shareholders and clients of Euroz completed at 25c, lucky the share price came off or they may have paid 35c, all in all I see this as very positive move to grow the business.It might pay BDL to sell their core business and concentrate on growing strange & DT-Hi, going by revenue and EBT of both companies. http://www.sharescene.com/html/emoticons/wink.gif
  24. Demand woes hit nickel prices Slide to five-month low as Chinese stainless steel producers likely to cut output ANGELA BARNES INVESTMENT REPORTER June 21, 2007 Nickel prices slid to a five-month low yesterday and are poised to head lower on reports that several major Chinese stainless steel producers are about to cut output. Stainless steel producers account for about two-thirds of the demand for nickel. The official cash settlement price dropped 24 cents (U.S.) to $17.56 a pound yesterday on the London Metal Exchange - the only exchange it trades on - after falling more than 6 per cent on Tuesday, the biggest decline in nine months. The price peaked at $24.59 on May 16. Even the current levels are "quite extraordinary," said Patricia Mohr, vice-president and commodities expert at Bank of Nova Scotia. The previous cycle in the late eighties saw nickel top out at $10.88. She attributes the correction to several factors, not the least of which are trading rule changes implemented by the LME's compliance department. The change required traders with major long positions to make more metal available to borrowers to increase liquidity. The exchange said that the amendment to the lending guidance instituted on June 7 was done in hopes of preventing "disorderly" market activity. The change boosted LME inventories of the metal a little, but the bigger factor is that demand for nickel from stainless steel producers may be moderating. Three major Chinese stainless steel suppliers - Taiyuan Iron & Steel (Group) Co., Baoshan Iron & Steel Co. and Zhangjiagang Pohang Stainless Steel Co.- are believed to have agreed over the weekend to lower their combined output by at least 20 per cent next month. A Barclays Capital report foresees further weakness in the nickel price. "We continue to expect further downside risk to nickel prices on the back of easing fundamentals and believe that the correction in prices has further to run," the report said. Bart Melek, global commodity strategist at BMO Nesbitt Burns Inc., also expects the pressure on nickel prices to continue into the third quarter. Beyond that, however, he believes prices will rebound. "Since demand will pick up later in the year and outpace supply for the next few quarters once again, the correction will be modest by historic norms (with prices likely down a modest 10-15 per cent from yesterday's prices) and of a temporary nature," he wrote in a market comment yesterday. Ms. Mohr's read on the near-term situation is similar to that of Mr. Melek. She believes the easing of pricing is likely only temporary, noting that demand for nickel usually slows over the summer. "It probably will pick up again in the fall," she added. Furthermore, she is upbeat about the longer-term outlook for nickel. "I expect nickel prices to remain in the teens for the next couple of years," she said. The new mine production that is scheduled to come on stream over the next two years is "quite limited," she noted. "There is tremendous demand for stainless steel around the world and a lot of that demand is for high-specification stainless steel using nickel," she said. That demand has come about because of the boom in investment in things like petrochemical plants, bitumen upgraders and aircraft orders.
  25. Paladin Resources-Langer Heinrich Uranium Project, Namibia Production Ramp Up Status and Forecast By: Marketwire . Jun. 13, 2007 12:46 PM Digg This! PERTH, WESTERN AUSTRALIA -- (MARKET WIRE) -- 06/13/07 -- Paladin Resources Ltd. (TSX: PDN)(ASX: PDN) today provided the following update on the production ramp up progress at Langer Heinrich further to its 29 March 2007 announcement. The ramp up phase is now in its fifth month and substantial gains continue to be achieved. Essentially the project is achieving design throughput and issues that still need to be addressed relate to optimising recovery and improving plant efficiencies. Status of mining, the major plant circuits of crushing/scrubbing, leaching, ion exchange, precipitation/drying, production and shipping/product delivery are as follows:- Mining Substantial pre mining grade control drilling work has been completed in the first part of 2007. This included 412 drillholes totalling 9,767m drilled on a 12.5m by 12.5m grid spacing to validate pit designs and resource modelling. This drilling has resulted in modification to the original pit design to reduce waste stripping and has also provided depth extensions to access additional ore. Crushing and Scrubbing The crushing/scrubbing area of the plant is now proven to be capable of consistent delivery of the 100% design plant capacity. The feed tonnage varies depending on the characteristics of the ore being processed. Leaching Leaching has been both the most evident area of difficulty to overcome and also the area of biggest success. Recent installation of screen protection ahead of the ten spiral heat exchangers and implementing on-site maintenance facilities for the exchangers has resulted in a major improvement to this section of the plant. The full design delivery of 90 tonnes/hr solids at design slurry temperature to the leaching circuit is now achievable. Mineral extraction in leaching was expected to be a challenge in the new alkaline leaching system but this has proved not to be the case, with leach recoveries proving capable of exceeding the design rate. Ion Exchange The elution of the resins in ion exchange is providing higher than design concentrate liquors, with 10 g/l product easily achievable versus design levels of 7.8 g/l. Good clarity liquor from CCD in conjunction with improved backwash capabilities has been valuable in the achievement of design throughputs. Precipitation and Drying The precipitation circuits have successfully been tested at or near design levels, including the chemical conversion of sodium diuranate into UO4. The dryer circuit has taken longer than expected to optimise however, production levels are not expected to be seriously hampered in the mid term. Production Processing of uranium concentrate is progressing on an upward trend, with 200,000lbs of drummed product plus an additional 70,000lbs of dryer stock expected by 30 June. The 130,000lbs shortfall to the anticipated production target of 400,000lbs for the period to the end of June 2007 is the result of the start-up issues that surfaced early in the year and the length of time taken to stabilise the heat exchanger section. Steady resolution of these issues continues with production levels increasing consistently. Shipping and Product Delivery Unanticipated delays and seasonal cancellations of vessels from Walvis Bay (Namibia) have caused a temporary misalignment between delivery destinations during the ramp up phase. Paladin is in the process of making suitable commercial arrangements in accordance with standard industry practice to ensure all delivery obligations are met to our customers' satisfaction. GOING FORWARD Exploration Infill resource drilling of 9,000m (320 holes) in Details 1 and 2 of the orebody is expected to allow the re-classification of significant amounts of currently defined Inferred material to Indicated and Measured. It is expected that an updated resource estimation will follow the completion of the drilling which will commence in July. A further 9,000m is planned to be drilled to establish the full resource potential that exists within the Mining Lease. Paladin's EPL3500, located adjacent to the west of the current Langer Heinrich Mining Licence, received environmental clearance for airborne survey permitting. This work is planned for August and will be followed up with a 3,500m RC drilling program. Operations The focus of the operations team will be the continual improvements of all aspects of the mine and plant facilities to achieve design parameters and deliver uranium concentrate as projected in the 2007/2008 plan with an output of 2.6Mlb U3O8. The slower than anticipated ramp up compared to the revised forecast of the 29 March 2007 announcement can be attributed to equipment failure principally associated with the heat exchangers (caused by the leach tank liner failure and now essentially rectified) and achieving the necessary beneficiation prior reaching the leaching circuit by discarding 40% to 60% of the ROM material to the barren stockpile (being achieved more slowly). These factors will result in a 130,000lbs U3O8 deficit from the 400,000lbs production target which was forecast to end June 2007. Management remains confident that the plant is quickly reaching the end of the transitional phase and will move into full production. Feed stockpiles from the mine are at comfortable levels to ensure optimal conditions for plant ore feed. Extensive work to debottleneck the processing plant has been completed and GRD Minproc are scheduled to be on site shortly to conduct the final performance test and confirm plant capability vs. design. No problems are anticipated to successfully complete this test. Safety and environmental programs continue to develop as intended and remain fundamental corporate values. Experienced personnel are providing dedicated performance in these operational aspects and are credited with maintaining excellent results. The operation is pursuing accreditation of ISO 14001 in 2007. Technical Information: Scientific or technical information in this news release has been prepared under the supervision of John Borshoff, Managing Director of Paladin Resources Ltd., a Fellow of the Australasian Institute of Mining and Metallurgy and a qualified person under National Instrument 43-101. A.C.N. 061 681 098 Contacts: Paladin Resources Ltd. John Borshoff Managing Director +61-8-9381-4366 or Mobile: +61-419-912-571 Paladin Resources Ltd. Greg Taylor Investor Relations Contact (416) 605-5120 (Toronto) Email: greg.taylor@paladinresources.com.au Website: www.paladinresources.com.au Published Jun. 13, 2007 http://www.sharescene.com/html/emoticons/wink.gif
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