French nuclear fuel firm Orano announced significant financial challenges at its Somair uranium plant in Niger, as the country shifts towards new international partners, including Russia, amid political upheaval.
Niger, a key global uranium producer, has seen an increasingly uncertain environment for foreign enterprises following a military coup last year. Orano, which holds a majority stake in Somair, halted production in October due to the closure of its primary export route.
On Friday, Orano disclosed that the Somair board decided to limit mining and ore processing expenditures to ensure the ability to cover employee wages. “This is not a closure but a suspension of non-essential spending,” the company clarified.
Niger’s Minister of Mines, Colonel Abarchi Ousmane, recently suggested a potential reevaluation of French companies’ roles in Niger’s mining sector, highlighting strained relations with France and expressing interest in enhanced collaboration with Russia. This statement, along with conflicting reports on production status from Niger’s state-owned Sopamin, underscores the tension surrounding Orano’s operations in the region.
France’s diminishing influence, marked by the withdrawal of its troops last year, and Niger’s June revocation of a mining permit for Orano’s Imouraren project, further compound the company’s challenges.
