The Government of Niger has announced its intention to nationalise the Somaïr uranium mine, a joint venture co-owned by France’s Orano and the Nigerien State. Somaïr, founded in 1968, began operations in 1971 in Arlit, in the Agadez region. Somaïr was a joint stock company under Nigerian law with a capital of 4.34bn CFA francs ($7.7m), 63.4% owned by Orano and 36.6% by the Société du Patrimoine des Mines du Niger (Sopamin).
Niger accused Orano of taking a disproportionate share of the mine’s commercialised production compared to its shareholding. “According to the shareholders’ agreement, the uranium produced by Somaïr is removed by the shareholders in proportion to their respective stakes. However, the figures … are far from reflecting this sharing rule,” a government statement said. Between 1971 and 2024, Somaïr’s cumulative production was 81,861 tonnes of uranium, of which 86.3% was from Orano and 9.2% from Sopamin, according to official data.
Orano said the “expropriation move” is “yet a further step in the military authorities’ ongoing strategy to expel Orano from Niger, following their seizure of power in 2023, despite the company’s repeated efforts to engage in dialogue and cooperation”. It added: “This action also reflects a broader effort to spread misinformation and undermine Orano’s reputation.”
In December 2024, the Nigerien authorities took operational control of the Somaïr uranium mining company. Niger is the world’s seventh largest producer of uranium and has the highest-grade ores on the African continent. It accounts for 4.7% of the world’s natural uranium production. In 2022, Niger provided more than a quarter of the uranium used in the European Union, the second biggest supplier after Kazakhstan, according to Euratom. France has depended on Niger for up to 15% of its uranium needs.
In the summer of 2023, a coup d’etat in Niger put in place a military government, which said it would review foreign mining concessions and in January temporarily suspended the granting of new mining licences, ordering an audit of the sector. French military troops were expelled in December 2023 after which relations with France rapidly deteriorated. In March, the government also cancelled an agreement with the USA, after which American troops were withdrawn.
The Somaïr Board of Directors meeting in November had failed to resolve growing tensions between shareholders. Niger’s military government had disputed a decision by Orano in October to cease uranium production at the Somaïr uranium mine. Orano had announced that it was stopping production in face of increasingly difficult operating conditions and financial issues.
This decision followed border closures between Niger and Benin, which left 1,050 tonnes of uranium concentrate from the 2023 and 2024 stockpiles stranded. Orano estimates the value of the blocked uranium at €300m ($324m), representing almost half of the site’s average annual production. Orano said it had considered various options to no avail, including airlifting uranium through Namibia.
Niger Mining Minister Ousmane Abarchi commented at the time: “As for French companies, the French state, through its head, stated that it does not recognise the current authorities of Niger. It’s been over a year, and that hasn’t changed. Do you think it is possible for us, the state of Niger, to allow French companies to continue extracting our natural resources?”
The Nigerian government accused Orano Oran of deliberately impeding Somaïr’s operations after the 2023 coup. According to the official press release, Orano sought to repatriate all French citizens employed at Somaïr, attempted to suspend production and disconnected the company’s IT system from the group’s network. In addition, Orano “stopped the renovation works at the Cominak site” and conducted “deception campaigns”.
According to the government declaration: “Faced with this irresponsible, illegal and unfair behaviour … the state of Niger decided, in full sovereignty, to nationalise Somaïr.” The nationalisation will allow a “healthier and more sustainable management of the company” and will guarantee Nigerians fairer access to wealth resulting from the extraction of uranium.
The nationalisation provides for the full transfer of Somaïr shares and assets to the Nigerien state. Former shareholders will receive compensation, “taking into account all their legal obligations”, including the costs of rehabilitating the mining sites. Somaïr’s Board of Directors has been dissolved, and the current executive management will provide transitional management pending the effective transfer to the new leadership.
Orano says litigation is now Orano’s last possible recourse, after several attempts at amicable resolution have gone unanswered. Orano reiterated that it intends to seek full compensation for the damages suffered and will assert its rights to the stock corresponding to Somaïr’s production to date.
If Orano’s claim is rejected by the court, it risks losing its assets in Niger in the very near future. The authorities have already revoked the permit for the operation of the Somaïr mine, which effectively means the termination of the company’s activities in the country. This will be a serious blow to the French nuclear industry, because (as of 2024) Niger’s uranium accounted for 35-40% of all French imports of this strategically important raw material.
