Author: Stjepan Kalinic

Australian uranium producer Paladin Energy PALAF soared following President Trump’s announcement of a $500 billion “Stargate AI” initiative. As investments pour into AI infrastructure, nuclear power emerged as the best solution for a stable, low-carbon energy supply.

In 2024, Paladin strategically strengthened its position in the global uranium market with its milestone acquisition of Fission Energy, taking over the high-profile Patterson Lake South (PLS) project in Canada’s Athabasca Basin.

“This acquisition is transformative,” said CEO Ian Purdy. “The PLS project elevates Paladin to a new scale, cementing our status as one of the world’s top uranium companies.” The PLS project, known for its high-grade uranium deposits, significantly boosts Paladin’s portfolio with an estimated resource of over 130 million pounds of uranium oxide equivalent.

The acquisition, finalized on December 24, met stringent Canadian government conditions to ensure national security and counter foreign influence. Among these conditions is the prohibition of China-sourced financing for the project and the restriction of uranium sales to China beyond existing agreements with China General Nuclear Power Group.

Outside of winter drilling programs for resource expansion at PLS and neighboring prospects, the firm is preparing the next exploration phase at the Michelin Project in Newfoundland and Labrador.

With six confirmed deposits in the area, containing over 80 million pounds of Measured and Indicated resources, Paladin is optimistic about further growth.

Meanwhile, Paladin’s Langer Heinrich mine in Namibia continues to grow its production. The mine produced 639,000 pounds of uranium oxide in the December quarter, including a record 308,000 pounds in December alone. By mid-2025, the mine will transition from processing stockpiled ore to high-grade ore, boosting annual production to the guidance range of 3 to 3.6 million pounds of uranium oxide.

“Restarting a mine and large processing facility involves a lot of moving parts. I am extremely happy with the work my team has done,” noted COO Paul Hemburrow.

The Paladin’s growing portfolio of over 544 million pounds of uranium oxide resources positions it as one of the most compelling pure-play uranium investments. With a diversified asset base and a dual listing in Australia and on the Toronto Stock Exchange (under the ticker PDN), the company is positioned to capitalize on the growing demand for nuclear energy.

Price Watch: Paladin Energy closed the Australian trading session at AU$9.19, up 10.06% for the day.

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Nuclear Power Plant Image via Shutterstock

Barrick Gold Corporation GOLD has alerted shareholders about an unsolicited mini-tender offer from TRC Capital Investment.

What Happened: The offer seeks to purchase up to 5 million of Barrick’s common shares, representing about 0.29% of the outstanding shares of the second-largest gold miner.

However, the firm made this offer well below the previous closing market price of CA$21.35 per share. The offer was at a discount of 4.52% to the closing price on the Toronto Stock Exchange and 4.38% to the closing price on the New York Stock Exchange (NYSE).

Barrick noted that it does not endorse the offer and recommends that shareholders refrain from tendering their shares.

The company also clarified that shareholders who have already tendered their shares could withdraw them by Feb. 6 by following the procedures outlined in TRC Capital’s documents.

Mini-tender offers like this are designed to avoid regulatory thresholds that trigger disclosure requirements under Canadian and U.S. securities laws. Regulators, including the U.S. Securities and Exchange Commission (SEC) and the Canadian Securities Administrators, have raised concerns about mini-tender offers, noting that they are often priced below market value.

The SEC has previously warned that some bidders use these offers to exploit shareholders who may not realize the offer price is significantly lower than the current market price.

See Also: Tuesday’s Producer Inflation Report Could Stoke Market Volatility As Fed Path Remains Unclear

Why It Matters: TRC Capital’s timing coincides with Barrick’s issues in Mali, where it operates the Loulo-Gounkoto mining complex. Reuters reported that the Malian government recently issued a provisional order to seize gold stocks at the site, with enforcement beginning on Jan. 11.

This dispute arises from Mali’s government pushing to renegotiate mining contracts for a greater share of revenues amidst higher commodity prices. The broader trend in the region shows that military-led governments have sought to reassert control over natural resources.

Barrick has disclosed that around four metric tons of gold, worth approximately $380 million based on current prices, are at risk. Loulo-Gounkoto contributes around 14% of Barrick’s total annual gold production, making it a critical asset for the company.

Price Watch: Barrick closed the trading session down 1.72% at $15.45 on the NYSE.

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Image: Shutterstock