Energy Resources Australia (ERA) produces uranium and distributes its products to utility companies in Asia, Europe and North America. It is 68.4% owned by major mover on the ASX, Rio Tinto.
In Australian news, ERA has reported a 7% on-quarter drop in uranium oxide production for 2Q10.
The drop in production at its Ranger mine was attributed to mine sequencing issues and higher than normal rainfall.
As a result, ERA downgraded FY10 uranium oxide production to 4,300 – 4,700 tonnes, from the previous 5,240 tonnes.
ERA shares slumped over 4% following its disappointing production numbers to close at $14.05 a share.