French nuclear fuel company Orano has issued a warning about the deteriorating financial situation at its Somair uranium plant in Niger. This comes as the West African nation increasingly seeks new partnerships, notably with Russia, in its mining sector.
Niger is a key global producer of uranium, and Orano has long been a major player in the country’s mining industry.However, the political upheaval following last year’s military coup has cast a shadow over the operating environment for international companies.
Orano was forced to halt production at the Somair mine due to the closure of the primary export corridor. The company has now announced a temporary suspension of mining and processing expenditures to preserve cash flow for essential operations, such as employee salaries.
The recent statements by Niger’s Minister of Mines, Colonel Abarchi Ousmane, have further strained the relationship between the two nations. Ousmane expressed doubts about the future of French companies in the sector, questioning the legitimacy of their operations given the current political climate.
The minister also indicated a preference for increased cooperation with Russia in the uranium sector, highlighting the shifting geopolitical dynamics in the region.
France’s diminishing influence in Niger, coupled with the junta’s growing ties with Russia, poses significant challenges for Orano and other international companies operating in the country. The future of the Somair mine and the broader uranium industry in Niger remains uncertain as the nation navigates these complex geopolitical shifts.