NIGER NUCLEAR CONTROL

WNN - Wednesday, 4 December 2024 - Nigerien authorities have taken operational control of SOMAÏR, Orano has confirmed, saying decisions taken at the board meetings of the company which operates the Arlit mine are no longer being applied.

The French company, said it has "for several months" been warning of "interference" that the group has been suffering in the governance of SOMAÏR, of which it is the majority shareholder and operator. "The decisions taken at the company's board meetings are no longer being applied and, as a result, Orano is today confirming that the Nigerien authorities have taken operational control of the company. The production expenses which continue to be incurred on the site are worsening the company's financial situation with every passing day," it said.

SOMAÏR is 63.4% owned by Orano, with Niger state-owned mining assets company SOPAMIN holding 36.6%.

SOMAÏR has been facing financial difficulties following the July 2023 coup d'état in Niger, since when it has been unable to resume uranium sales. On 12 November, SOMAÏR's board voted in favour of suspending expenses related to production activities in order to prioritise the payment of salaries and preserve the integrity of the industrial facilities - a vote from which administrators representing SOPAMIN abstained. Orano said the application of that resolution is being deliberately prevented.

"The representatives of Niger are assuming this position that they defended at the Ordinary Meeting of the Board of Directors which was held on Tuesday 3 December, 2024, in particular confirming their refusal to export the production," Orano said.

"In this context, Orano expresses its deepest regret regarding the evolving situation which is placing a heavy burden on the employees and local communities.

"Orano intends to defend its rights before the competent bodies and reaffirms its belief that only a united effort by all stakeholders to re-establish a stable and sustainable mode of operation can allow SOMAÏR to resume activities in peace."

Arlit is Orano's only currently operational uranium mine in Niger. The company is carrying out remediation of the former COMINAK underground uranium mine, where more than 40 years of production came to an end in 2021. Earlier this year the State of Niger withdrew Orano subsidiary Imouraren SA's licence to exploit the Imouraren deposit and Canadian company GoviEx Uranium's mining rights for the Madouela uranium project. Meanwhile Global Atomic's development of the Dasa uranium mine is continuing, with expressions of support from the Niger government.

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