French uranium specialist Orano has announced the suspension of its production of uranium concentrate in Niger from October 31, 2024. This decision is the result of the growing financial difficulties encountered by Soma\u00efr, its local subsidiary, as well as the impossibility of exporting the ore due to logistical blockages. Based in the Arlit region, Soma\u00efr, 63.4% owned by Orano, was forced to stop its activities despite efforts to obtain export permits from the military regime in power since July 2023.<\/p>\n\n\n\n
Since the takeover of power by the Nigerien military regime, relations with foreign companies, particularly in the raw materials sector, have become strained. The Nigerien government recently expressed its intention to review the system of exploitation of natural resources by foreign companies. In September, a state company dedicated to uranium was even created, but without providing details on its future role. With the borders with Benin remaining closed, Orano has been unable to find an alternative to export its uranium, with even proposals for air transport via Namibia failing to materialize.<\/p>\n\n\n\n
Despite the production shutdown, Orano assured that maintenance of the site would continue and that the 780 employees and subcontractors, mostly from Niger, would remain paid until the end of 2024. Nearly 1,050 tonnes of uranium concentrate are currently blocked on the site, representing an estimated market value of 300 million euros. These stocks, corresponding to approximately half of annual production, still cannot be exported.<\/p>\n\n\n\n
The difficulties in Niger have strongly affected Orano’s financial results, with a loss of 133 million euros recorded in the first half of 2024, largely due to provisions related to its mining operations in Niger. This includes the depreciation of 69 million euros after the loss of the exploitation permit for the Imouraren deposit, and 105 million euros related to the Soma\u00efr assets. Despite everything, Orano wants to reassure about the continuity of supply to its customers, thanks to the diversification of its sources, particularly in Canada and Kazakhstan.<\/p>\n\n\n\n
Faced with insurmountable financial and logistical obstacles, Orano had no choice but to suspend its uranium production in Niger. This situation highlights the tensions between the Nigerien military regime and foreign companies, while having major repercussions on the local economy and on Orano’s activity. The group is nevertheless trying to secure its supplies through its other sites abroad, in an uncertain context for the future of its operations in Niger.<\/p>\n","protected":false},"excerpt":{"rendered":"
A deteriorating financial and logistical situation French uranium specialist Orano has announced the suspension of its production of uranium concentrate in Niger from October 31, 2024. This decision is the result of the growing financial difficulties encountered by Soma\u00efr, its local subsidiary, as well as the impossibility of exporting the ore due to logistical blockages. […]<\/p>\n","protected":false},"author":1,"featured_media":2721,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[39,38],"tags":[],"class_list":["post-2741","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-africa","category-business"],"yoast_head":"\n