Niger's Uranium Showdown: Nationalization of Somair Sparks Global Concerns

Niger has announced plans to nationalize the Somair uranium mine, a move that follows months of deteriorating relations between the government and French operator Orano after the 2023 coup. This decision aligns with a regional trend in West Africa, where several mines have recently been nationalized, raising alarms among international investors.

The Nigerien government accused Orano of taking more than its agreed share of uranium production, contrary to the established shareholders' agreement. Orano, holding a 63% stake in Somair, opposed the move and stated its intention to pursue all legal avenues, including seeking full compensation for the damages incurred.

This situation is part of a broader regional pattern. In Mali, a court recently placed Canada's Barrick Mining gold operations under state control amid tax and ownership disputes. Similarly, Burkina Faso has nationalized five gold mines in the past month alone, signaling a shift in the region's mining sector.

(With inputs from agencies.)