Orano, a French state-owned nuclear fuel company, is considering selling its uranium assets in Niger following a collapse in relations with the country’s military-led government, reported the Financial Times, citing people with knowledge of the matter.
The company operates three mines in Niger through a joint venture (JV) with the government, which seized power in a coup in 2023.
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Orano has faced challenges in the region, including the arbitrary arrest, illegal detention and unjust confiscation of property involving its staff and assets.
The company’s difficulties in Niger began when it was stripped of its rights over one project and forced to stop work at another due to financial pressures.
Orano stated that the Nigerien Government had blocked uranium exports and halted payments of its obligations as JV partners since the coup.
In early December last year, Orano acknowledged that it no longer controlled any of its subsidiaries in Niger and initiated several international arbitration cases against the state.
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By GlobalDataEarlier this month, Orano filed a lawsuit with the Niger courts after a Nigerien security services raid, which led to the detention of the director of Orano Mining Niger and the seizure of company property.
Orano’s exit would signify a further decline in French influence in Africa, highlighting the ineffectiveness of France’s “Françafrique” policy, the report stated.
Niger, although a smaller player in the global uranium market, is crucial for France, supplying around one-fifth of its natural uranium.
The country’s shift towards Russia, along with Burkina Faso and Mali, is part of a broader trend in the region, with militaries overthrowing governments and introducing new mining codes that favour greater government stakes and revenues.
The potential sale is politically sensitive for the French Government, which owns 90% of Orano, especially with Russian and Chinese entities reportedly interested in the assets.
Orano acknowledged that several parties have expressed their interest in the mining assets of the group in Niger and are at liberty to submit offers if they wish to. Among the parties interested in buying the Niger assets is Curzon Uranium.
Curzon Uranium’s founder Nick Clarke has expressed a desire to find a peaceful resolution that will allow uranium exports to resume.
Clarke mentioned being actively engaged with a Middle Eastern investor for a joint purchase, with Chinese and Russian buyers also in the fray.
