Paladin Energy's (ASX:PDN) recovery at its Langer Heinrich mine in Namibia following heavy rainfall is expected to trigger additional operational expenditure, according to a Friday report by the Australian, citing financial services group Macquarie.
Last week, the company said that severe weather affected access to the mine, forcing it to halt all operations.
On Wednesday, PDN said it does not expect the mine to achieve its run-rate guidance of 6 million pounds of uranium by the end of the year and withdrew its full fiscal year production guidance for the mine.
Macquarie analyst Mark Wiseman noted that the company's contract flexibility will enable it to avoid invoking force majeure clauses in its customer contracts, despite having the option to do so in the event of extreme disruptions, such as the heavy rainfall in Namibia.
This flexibility ensures that Paladin will not need to turn to the spot market, where any potential losses would be "immaterial," Wiseman added.
The firm updated Paladin's rating to outperform but lowered its price target to AU$8.25.
Shares of the company fell 2% in recent Friday trade.
免责声明：投资有风险，本文并非投资建议，以上内容不应被视为任何金融产品的购买或出售要约、建议或邀请，作者或其他用户的任何相关讨论、评论或帖子也不应被视为此类内容。本文仅供一般参考，不考虑您的个人投资目标、财务状况或需求。TTM对信息的准确性和完整性不承担任何责任或保证，投资者应自行研究并在投资前寻求专业建议。