Uranium miner Energy Resources of Australia has posted a $275 million full year loss, after it shelved a major mine expansion in 2015 amid difficult market conditions.
ERA's net loss is significantly larger than the $188 million loss incurred in 2014, and is due mainly to a $197 million writedown during the first half, related to the mine decision.
The Rio Tinto-controlled miner now expects to produce between 1,900 to 2,300 tonnes of uranium oxide in 2016, largely in line with current year numbers, with the uranium market likely to remain challenging as oversupply keeps prices week.
The company produced 2,005 tonnes of uranium oxide during 2015.
Full year sales revenue fell 12 per cent from the previous year, with sales volumes down more than 30.6 per cent. It realised an average sales price of $US51.99 per pound, compared to $US49.50 in 2014.
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It reported earnings before interest, tax, depreciation and amortisation (EBITDA) of $24 million, compared to negative $164 million in 2014.
The company said a lower Australian dollar, reduced exploration costs and its focus on producing uranium oxide from stockpiles had helped it generate $85 million in cash during the year, despite a weak operating environment.
ERA announced in October that Kakadu's traditional owners had rejected its plans to expand development of the key Ranger uranium mine in the Northern Territory.
It holds authority for mining and processing activities at the Ranger mine, which lies alongside Kakadu National Park, until January 2021, and is allowed access to carry out rehabilitation activities until January 2026.
The company is undertaking a strategic review of its business as a result of the decision and expects to update shareholders in March.
At 1330 AEDT, ERA shares were trading 1.5 per cent higher at 34 cents each.
