Coup in Niger brings country’s uranium resources into sharper focus

A French nuclear fuels company which mines for uranium in Niger, says its operations are continuing in the conflict-ridden West African nation.

This comes as reports suggested that Niger, which had been hit by a military coup last week, had suspended uranium and gold exports to France.

The Orano group, in updates on July 28 and August 1, said it has been present in Niger for 50 years through three companies incorporated under Niger law. 

“To date, activities at the operational sites in Arlit and at the headquarters in Niamey are continuing with an adapted organisation in the context of the curfew in place throughout Niger,” said Orano.

The Group further stated that the security of all the employees in Niger as well as that of their operational sites continues to be ensured with reinforced vigilance.

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Niger's uranium exports to Europe

World Nuclear News reports that Niger supplies around 5% of the world's uranium. It is a leading supplier of uranium to the European Union (EU). 

“According to the Eurotom Supply Agency, EU utilities purchased 2905 tU of Niger-produced uranium in 2021. This represented just over 24% of EU uranium imports, putting Niger slightly ahead of Kazakhstan as the EU's leading source of uranium,” it said.

In other reports, Niger accounts for 15% to 17% of the uranium used to generate electricity in France. Additionally, data from the World Bank shows that uranium is Niger's second largest export, in monetary terms, after gold.

Price of uranium could increase

Atomic energy expert Alexander Uvarov told Russian state media agency TASS that cessation of uranium exports from Niger would not have a significant immediate impact on the French nuclear power sector, but that uranium prices may eventually rise globally.

"The halted uranium exports from Niger will not have an immediate impact. Firstly, uranium, unlike gas, is supplied in discrete batches. Secondly, the nuclear power industry traditionally keeps uranium reserves in case of potential interruptions and the French will also have such reserves on hand," he said.

However, if the export ban becomes a permanent and not a temporary measure, France's nuclear power sector will have to find a replacement for Niger’s uranium in Canada or Australia, Uvarov said. 

"Accordingly, the government of Niger will also have to find a new buyer for its uranium, and this will most probably be China. This means profound changes for the global uranium market and the uranium price may eventually rise as a result," he added.

UN, ECOWAS response to Niger coup

On Wednesday, 2 August 2023, UN Secretary-General’s Special Representative Léonardo Santos Simão reiterated condemnation of the attempted overthrow of Nigerien President Mohamed Bazoum on 26 July.

He also underscored support for efforts by the Economic Community of West African States (ECOWAS) aimed at restoring constitutional order and consolidating democratic gains in the country.

“The unfolding crisis, if not addressed, will exacerbate the deteriorating security situation in the region. It will also negatively impact the development and lives of the population in a country where 4.3 million people need humanitarian assistance,” he said, speaking from Accra, Ghana.

He added that “Niger and the region do not need coups d’état. Populations deserve to enjoy peace, democratic governance and prosperity.”

Written by Yunus Kemp and originally published on esi-africa.com