French nuclear fuel company Orano announced on Wednesday that it has lost operational control of its Somair uranium mine in Niger. This comes after the military junta that seized power in July 2023 has been exerting increasing pressure on foreign investors in the country.
Orano, which holds a 64.3% stake in Somair, stated that decisions made at the company's board meetings were no longer being implemented. The Nigerien government, which owns the remaining 36.6% stake, has effectively taken over the mine's operations.
The move follows a series of escalating tensions between Orano and the Nigerien government. In June, the junta revoked the mining permit for Orano's Imouraren mine, one of the world's largest uranium deposits. Additionally, the junta has signaled its intention to overhaul regulations governing the mining of raw materials by foreign companies in Niger, a significant uranium producer.
Orano had already suspended production at Somair in October due to deteriorating operating conditions and financial difficulties. The closure of the border between Niger and Benin, a key export route for uranium concentrate, further exacerbated the situation.
The loss of control over Somair marks a significant setback for Orano and highlights the growing challenges faced by foreign companies operating in Niger under the current political climate.
[Copyright (c) Global Economic Times. All Rights Reserved.]
