Paladin Energy Ltd.

Paladin Energy Ltd. is a mid-tier uranium producer headquartered in Perth, Australia, operating primarily in Australia and Africa. The company's portfolio consists of 5 projects, comprising 1 operating mine, 2 development, and 2 exploration projects, in addition to several early-stage exploration prospects. Key assets include Langer Heinrich, Michelin, Patterson Lake South, and Mount Isa. The company's business model centers on being an independent producer, having successfully returned a globally significant asset to production. The operational approach emphasizes the repair, refurbishment, and debottlenecking of existing plant infrastructure to derisk production, increase throughput capacity, and improve operational availability. This was achieved through a substantial program of work involving civil, mechanical, piping, electrical, and instrumentation upgrades. A key operational characteristic is the engagement of market-leading mining contractors for specific phases of operations, such as stockpile reclaim. The commercial strategy is underpinned by a geographically diverse, world-class offtake contract book with top-tier counterparties, which provides a balance of fixed-price, base-escalated, and market-related pricing mechanisms. This structure supports operations while retaining significant exposure to spot market prices, ensuring leverage to strengthening market fundamentals. The organization's proven operational capability and experienced on-site team are central to its value proposition for investors seeking direct exposure to a pure-play producer.

The organization's strategy for sustainable value creation is structured around 3 core pillars. The first priority is the successful production ramp-up at its key operating asset to achieve nameplate capacity, supported by the continued layering of its offtake contract book with top-tier counterparties to balance risk protection and pricing upside. The second pillar focuses on delivering development and exploration potential from its global portfolio. This includes commencing a Pre-Feasibility Study to update previous work and evaluate alternative development options for a major exploration asset, alongside reserve and resource expansion activities at the operating asset through exploration and infill drilling. The third pillar involves embedding sustainable returns and establishing a disciplined capital management framework. This framework is designed to drive long-term value to shareholders through returns on capital, funding organic growth initiatives, and pursuing value-accretive merger and acquisition activity. A key near-term strategic achievement was securing a US$150M syndicated debt facility to provide capital flexibility during the operational ramp-up and to progress growth options.

The Board of Directors consists of 7 members, all of whom are independent Non-Executive Directors, with female representation at 43%. Board oversight is structured through 3 primary committees: the Audit & Risk Committee, the Technical & Sustainability Committee, and the Governance, Remuneration & Nomination Committee. Executive leadership is headed by a Chief Executive Officer with over 3 decades of experience in international natural resources companies, recognized for managing and optimizing operations, delivering large projects, and executing on business improvements. The corporate governance framework is benchmarked against the ASX Corporate Governance Principles and Recommendations, with a Risk Management Framework aligned with AS/NZS ISO 31000:2018. Management's leadership philosophy is guided by 4 core values: integrity, respect, courage, and community. This is demonstrated through a commitment to a positive safety culture, which is a key focus of leadership, and a policy of prioritizing local employment opportunities. An independent survey confirmed a positive workplace culture with high levels of cooperation and respect.

The organization's sustainability approach is formalized through a commitment to a globally accredited ESG framework, with progressive implementation of SASB, GRI, and TCFD reporting standards. The company is also working towards compliance with the International Finance Corporation (IFC) Performance Standards and the forthcoming IFRS Sustainability Disclosure Standards. Environmental management initiatives completed during the year include upgraded tailings dewatering systems to increase process water return and reduce water loss. A comprehensive climate risk and opportunities assessment for operations has been conducted. Social performance is highlighted by the completion of a major restart project with over 2.5 million hours worked without a serious injury or reportable environmental incident, achieving a company-wide Total Recordable Injury Frequency Rate (TRIFR) of 3.8. The company demonstrates a strong commitment to local communities, with 98% of its operational employees being local nationals and 99% of employees and mining contractors residing in local communities. Governance practices include the publication of an inaugural voluntary Modern Slavery Statement and mandatory training on its Code of Business Conduct and Ethics.

The corporate structure is centered on a 75% ownership interest in the entity that holds its primary operating asset, Langer Heinrich Uranium (Pty) Ltd, with the remaining 25% held by CNNC Overseas Limited. In October 2023, the company consolidated its interest in a key exploration asset, held by its subsidiary Aurora Energy Ltd, from 75% to 100% after its joint venture partner surrendered its participating interest. On June 24, 2024, the organization entered into a definitive agreement to acquire 100% of the issued and outstanding shares of Fission Uranium Corp. by way of a court-approved plan of arrangement, a transaction pending securityholder approval. Operationally significant subsidiaries include Paladin Finance Pty Ltd, which is a party to the company's syndicated debt facility. As of August 23, 2024, substantial shareholders include FMR LLC and its entities holding 10.11%, State Street Corporation and its subsidiaries with 10.10%, and The Vanguard Group with 5.044% of issued shares. The company's issued capital was consolidated on a 10-for-1 basis, approved by shareholders on April 9, 2024.