Niger’s military government has announced plans to nationalize the Somair uranium mine, citing Orano’s alleged irresponsible behavior. Orano, which is largely state-owned by France, condemned the move as part of a systematic policy of asset stripping. This confrontation comes as Niger seeks to distance itself from France and align more closely with Russia, creating a complex backdrop for foreign investment in the nation’s mining sector.
Niger’s military government took a significant and contentious step on Thursday by announcing its decision to nationalize the Somair uranium mine, lambasting French uranium giant Orano for what it termed “irresponsible, illegal and disloyal behaviour.” This move is stirring tensions as Niger navigates its complex relationship with foreign entities in the mining sector.
Uranium mining has long been a vital part of Niger’s economy but is now at the heart of a mounting confrontation between the military junta and Orano. The company, which is primarily state-owned by France (90% to be exact), has been deeply embedded in Niger’s mining operations for decades, raising the stakes for both sides following the coup in 2023.
Since seizing control, Niger’s military leaders have distanced themselves from France, previously seen as a colonial overseer, while expressing a preference for closer ties with Russia. Their latest announcement appears to signal a broader shift in how Niger engages with its foreign partners, particularly in sectors crucial to its economic health, such as uranium mining.
In response to the nationalization announcement, Orano expressed strong condemnation of what it views as a part of the junta’s “systematic policy of stripping mining assets”, arguing that these actions violate existing agreements between the government and the company. Orano further argued that the government’s stance is a campaign of disinformation that unfairly targets the company.
This confrontation is not entirely new; in 2024, Niger stripped Orano of its operational control over three significant mines: Somair, Cominak, and Imouraren, the latter home to one of the world’s largest uranium deposits. Even so, Orano asserts it maintains a 60% stake in its Niger operations and has sought to regain control through arbitration efforts.
In its statement, Orano made it clear that it plans to pursue compensation for damages incurred. The company is asserting its rights regarding its share of production from the Somair mine up to this point, suggesting that this issue is far from settled and could lead to further conflict and negotiation.
The nationalization of the Somair mine by Niger’s military government marks a critical moment in the ongoing tension between the junta and Orano. As Niger seeks to reshape its foreign relationships, particularly with alternative partners like Russia, conflicts over mining rights and investments are likely to continue. Orano’s strong rebuttal to the nationalization suggests that this dispute will not resolve quickly and may escalate into further legal challenges and negotiations.
Original Source: www.freemalaysiatoday.com
