Niger Raises Stake in Uranium Project as It Seeks Fresh Investment

Niger is seeking to revive its uranium industry and attract new investment after increasing its ownership of the Madaouela uranium project in northern Niger.

Under a mining agreement signed last week, the Nigerien state holds a 40% stake in the project, while Australian company Atomic Eagle retains the remaining 60%.

The arrangement forms part of Niger’s effort to secure a larger share of revenue from its mineral resources and broaden its international partnerships. The government says stronger state participation is intended to ensure that more mining income remains in the country.

Atomic Eagle seeks financing

Atomic Eagle says it plans to accelerate preparations for Madaouela and obtain the financing required to move the project into construction. The company has set a target of reaching construction readiness in around two years.

Hoskins Philip Ross, managing director of Mamico, said the agreement indicated that international institutions continued to view Niger’s uranium sector as an area with investment potential. He said Atomic Eagle would also pursue international investment and financing for Madaouela.

The company’s stated plans depend on securing the necessary funding. The available information does not provide the terms of any financing arrangement for Madaouela or confirm that construction funding has been obtained.

Separate financing for Dasa

The development comes alongside a separate agreement involving the U.S. International Development Finance Corporation. That agreement provides for financing of up to 414.2 million dollars for the Dasa uranium project in Niger, which is being developed by Global Atomic.

The two projects highlight the balance facing Niger’s uranium sector: the government is seeking greater national control and a larger share of mining revenues, while project development continues to require foreign capital and expertise.

Analyst urges caution

Economist Issoufou Boubacar Kado said the increased state participation should not yet be described as full economic sovereignty. He said the current situation was better understood as greater control over raw materials and the ability to decide which partners work with Niger.

“I don’t think we can talk about economic sovereignty at the moment. What we can talk about is control over raw materials,” Kado said.

He added that Niger had previously been unable to work with a uranium partner other than France, contrasting that position with the country’s current effort to diversify its international relationships.

The Madaouela agreement therefore gives Niger a larger formal role in one uranium project, but the broader revival of the sector will also depend on investment, financing and progress toward development.