The French group Orano has announced the initiation of an international arbitration process against the State of Niger following the withdrawal, in June 2024, of its exploitation permit for the Imouraren deposit. This site, considered one of the world’s largest uranium deposits with reserves estimated at 200,000 tons, represents a major strategic issue for the energy sector.
Context of the conflict
The decision by Nigerien authorities occurs amidst growing tensions between the military regime, in power since July 2023, and several foreign actors. Niger, prioritizing sovereignty over its natural resources, seeks to strengthen control over strategic assets, including uranium, critical for the global energy industry.
According to Orano, this decision was made despite a technical proposal submitted to accelerate the development of the deposit. Simultaneously, the group highlighted that site work had resumed in June 2024, after several interruptions linked to the country’s political changes.
Impacts on Orano’s activities
In early December 2024, the group also reported that Nigerien authorities had taken operational control of its local subsidiary, Somaïr, co-owned by Orano at 63.4% and the State of Niger at 36.6%. This subsidiary has since suspended its production, citing an inability to continue operations under viable conditions.
The withdrawal of the Imouraren permit and the suspension of Somaïr’s activities underscore the growing challenges for Orano in a region marked by political and economic upheavals.
Implications for the global market
Niger, which accounts for 4.7% of global natural uranium production according to 2021 data from the Euratom Supply Agency, plays a key role in balancing the global market. Although its volumes are modest compared to Kazakhstan, the leader with 45.2% of production, the loss of Imouraren could have repercussions on the uranium supply chain, particularly for European markets.
This standoff highlights the importance of political and legal stability to attract and retain investors in strategic sectors. For Orano, this dispute raises crucial questions about resource management in politically transitioning regions.
