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French nuclear firm Orano says Niger has taken control of uranium mine
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French nuclear firm Orano says Niger has taken control of uranium mine
Dec 4, 2024 3:50 AM

PARIS, Dec 4 (Reuters) - French nuclear fuels company

Orano said on Wednesday that authorities in Niger have taken

control of its Somair uranium mine as the military-led

government steps up pressure on foreign investors in the West

African country.

Orano, which owns about 63% of the mine, said in a statement

that decisions taken at Somair board meetings were no longer

being applied. Niger owns the remaining stake in Somair.

"Orano is today confirming that Nigerien authorities have

taken operational control of the company," it said.

The business climate for international companies in Niger,

which accounts for about 4% of global output of uranium, has

become uncertain after a military coup last year.

Uranium is the most widely used fuel for nuclear energy and

Orano, which has operated mines in Niger for years, vowed to

"defend its rights before competent bodies" in order to allow

Somair to operate normally, without giving details.

Officials at the Niger embassy in Paris did not immediately

respond to a request for comment from Reuters.

Niger accounted for about 15% of Orano's uranium supplies

when its mines were operating at full capacity. The company has

said the halt in exports from Niger has been fully offset by a

ramp-up of mines in Canada and Kazakhstan.

In June, Orano said Niger had removed a mining permit for

its Imouraren subsidiary. Canada's GoviEx Uranium ( GVXXF ) said

it had been stripped of its right to develop a uranium project

in Niger in July.

Orano said it has been warning for several months of

interference in governance at Somair, where it was forced to

suspend production after authorities halted exports last year.

It said a resolution adopted by the Somair board on Nov. 12

to suspend expenditure related to production to preserve funds

for salaries was being deliberately ignored and this was

"further deteriorating the company's financial situation".

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