Niger plans to nationalise the Somair uranium mine operated by France’s Orano after months of worsening relations between the French state-owned company and its local partners following a 2023 coup in the West African nation.
Niger’s decision to nationalise Somair comes amid a wave of mine nationalisations across West Africa, prompting concerns from global miners and other foreign investors who have invested billions of dollars into the region.
In a statement late on Thursday, Niger accused the French company of taking a disproportionate share of the mine’s commercialised production compared to its shareholding.
“According to the shareholders’ agreement, the uranium produced by SOMAÏR is removed by the shareholders in proportion to their respective stakes. However, the figures … are far from reflecting this sharing rule,” the statement said.
Orano said it opposed Niger’s move and reiterated that it reserved the right to take legal action.
“Orano expresses its deepest regret regarding the evolution of the situation and the position of the State of Niger, which weigh heavily on the employees of the group’s mining subsidiaries in Niger and on local communities,” it said in a statement.
“As previously stated, Orano intends to seek full compensation for the damages suffered and will assert its rights to the stock corresponding to SOMAÏR’s production to date. Orano also reserves the right to initiate any and all legal actions, including criminal proceedings if necessary, against any third parties involved in the unlawful seizure of materials in violation of its offtake rights,” it added.
LEGAL ACTION
Orano holds a 63% stake in Somair, while Niger’s state-owned Sopamin owns the remainder, but the government said Orano had taken 86.3% of production between 1971, when the mine was launched, and 2024, without elaborating.
It also accused Orano of what it called “irresponsible, illegal and unfair” behaviour pointing to the company’s decision to withdraw French nationals working on the project, disconnect it from the group’s IT system, and halt production at the mine.
Orano has been pursuing arbitration against Niger and filed lawsuits in the country against state actions, and had warned of government interference at Somair, which it said was damaging the mine’s financial situation.
It was exploring a potential sale of its stake in Somair, after Niger blocked uranium exports from the mine and took control of it, according to a Financial Times report in May.
The government seized control of the mine in December.
In neighbouring Mali, Canada’s Barrick Mining had its Loulo-Gounkoto gold complex placed under state control by a court on Monday in a major escalation of a dispute over taxes and ownership.
Burkina Faso has also nationalised five gold mines this month.
