Paladin Energy shares blasting off on big uranium news

Investors are piling into Paladin Energy shares as the uranium miner ramps up production.

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Key points

  • Paladin Energy's shares surged by 6.0% due to its Q1 FY 2026 report, highlighting record high uranium production and an increase in average realised uranium prices.
  • Despite increased production, uranium sales fell 22% because of shipping delays; however, investor confidence appears strong following a $300 million equity raising in September.
  • CEO Paul Hemburrow emphasised the company's operational strength and future growth, with significant mining activity and plans progressing for the Patterson Lake South project.

Paladin Energy Ltd (ASX: PDN) shares are racing higher today.

Shares in the S&P/ASX 200 Index (ASX: XJO) uranium stock closed yesterday trading for $8.78. In morning trade on Tuesday, shares are changing hands for $9.31 apiece, up 6.0%.

For some context, the ASX 200 is up 0.1% at this same time.

Now, here's what's happening with Paladin Energy today.

Paladin Energy shares take off on production boost

As the Motley Fool reported before market open today, the ASX 200 uranium miner's quarterly update (Q1 FY 2026) announced record quarterly production of 1,066,496 pounds of uranium (U3O8) since the restart of the Langer Heinrich Mine. That's up 7.3% from the prior quarter.

Paladin Energy shares could also be getting a boost with the miner reporting a 21.2% boost in its average realised uranium price to US$67.4 per pound.

Uranium sold in the quarter went the other direction though, slipping 22% to 533,789 pounds. Management said this was impacted by shipping delays.

A word from the CEO

Commenting on the results, boosting Paladin Energy shares today, managing director and CEO Paul Hemburrow said the "solid" first quarter of the new financial year "demonstrates Paladin's increasing operational strength and capability to support the future development" of the ASX 200 uranium miner's multi-decade production pipeline.

That focus is currently on progressing the company's Patterson Lake South project.

Hemburrow also lauded the "significant increase" in Paladin's mining activities over the three months at the Langer Heinrich Mine. He said the company's overall ramp-up continues on track with its plans.

"Importantly for our future growth, the engineering review of PLS confirmed the project's technical and economic foundations, with work now advancing towards a final investment decision," Hemburrow added with a look to the growth prospects for Paladin Energy shares.

Turning to Paladin's successful $300 million equity raising in September, Hemburrow said, "As the newly appointed managing director and chief executive officer, I was personally pleased to see the strength of investor and market support for our recent equity raising."

He said the equity raising represented a vote of confidence in Paladin, adding that he also expects to see strong interest in the Share Purchase Plan.

"The substantial raising gives us considerable balance sheet flexibility and provides further confidence for us to proceed at pace with our development plans and work closely with our global stakeholders," he concluded.

As for that balance sheet, the company had cash and investments of US$269.4 million and an undrawn US$50 million Revolving Credit Facility at the end of the reporting period.

With today's intraday lift factored in, Paladin Energy shares are up 18.0% in 2025.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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