French nuclear fuel firm Orano said on Wednesday it was halting its uranium production in junta-ruled Niger from October 31, citing a “highly deteriorated” situation and its inability to operate.
The Nigerien government, whose leader Abdourahamane Tiani seized power in a July 2023 coup, has previously made clear it would overhaul rules regulating the mining of raw materials by foreign companies.
Orano-owned mining subsidiary “Somair’s worsening financial difficulties have compelled the company to suspend its operations,” in the Artlit region of north Niger, where Orano has operated since 1971, the French group’s Paris spokeswoman told AFP on Wednesday.
The Sahel nation’s military rulers have turned their backs on Paris, ordering French troops deployed there to leave and instead forging ties with fellow juntas in Burkina Faso and Mali — as well as Iran and Russia.
Niger’s position as the world’s seventh-largest uranium producer plays an important role in the shifting relations.
Iran has significantly increased its stock of enriched uranium in recent months, while strengthening ties with Niger, according to the International Atomic Energy Agency.
The production of uranium concentrate will cease from October 31 as Orano was unable to export the commodity, in part due to landlocked Niger’s closed border with coastal Benin, the firm said.
“Despite all the efforts deployed” with the military regime “to try and resolve the situation” and obtain export licences, “all of our proposals were left unanswered,” said the spokeswoman of the group, which specialises in nuclear fuel.
Nigerien authorities did not follow up on an Orano proposal to export uranium by air via Namibia.
“Maintenance will continue but there will be no more production,” she added.
Nigerien authorities did not comment on the matter.
Niamey in June rescinded Orano’s license to operate in one of the largest deposits in the world, Imouraren, with estimated reserves of 200,000 metric tonnes (220,000 US tons).
Niger’s Council of Ministers on September 19 passed a draft decree proposing to create a state company named “Timersoi National Uranium Company” without detailing the move.
