Paladin Energy $30 million deal collapses

Uranium miner Paladin Energy has seen its woes deepen as Avira Energy pulls out of a $30 million deal to buy a 75% stake in its Manyingee project.

Uranium miner Paladin Energy has seen its woes deepen as Avira Energy pulls out of a $30 million deal to buy a 75% stake in its Manyingee project.

Paladin agreed in July to sell a major stake in Manyingee to Avira Energy, with Avira to pay $US10 million for a 30 per cent holding and an option to up its stake to 75 per cent for another $US20 million.

The deal was approved by shareholders and the Foreign Investment Review Board, however, the company couldn’t raise funds which it said was “not least due to political factors”.

The new Labor Premier of Western Australian has said that his government will not approve any new uranium mining in the state unless “all necessary approvals are in place for them to operate”.

The decision will raise questions for those employed on the site and by Paladin Energy.