The evolution of the uranium sector in Niger: a rebalancing between uranium, gold and hydrocarbons
Niger, once the European Union’s leading supplier of uranium, has seen its status change over the years. Indeed, Kazakhstan overtook it in 2021 as the EU’s top uranium supplier. However, Niger remains a key player in the supply of uranium, still representing a quarter of European imports of this fuel.
The French company Orano, formerly known as Areva, is responsible for mining uranium in Niger in partnership with local authorities. However, only three mining sites on which Orano operated are still active. A first deposit was abandoned in 2021 after its exhaustion, while another is at the end of its life.
One of the factors that contributed to this change in situation is the drop in the price of uranium after the Fukushima nuclear disaster in 2011. This drop made investments in new uranium deposits less profitable. Orano has therefore chosen not to operate the third Imouraren site, despite its considerable potential. The industrial group is instead focusing on researching and developing new extraction techniques to make uranium mining more profitable in the future.
Along with this, Niger has diversified its economic activities by investing in other sectors, such as gold and hydrocarbons. The exploitation of gold, mainly carried out in an artisanal way by gold panning, has become a major source of income for the country, in particular since the surge in the price of gold after the pandemic. Hydrocarbons, meanwhile, have attracted the attention of foreign investors, particularly China, which has obtained the rights to exploit an oil field in Niger.
This diversification has enabled Niger to rebalance its trading partners. While France was once the main partner in the uranium sector, the country has gradually seen its uranium exports decline in value. On the other hand, gold and oil exports have grown, contributing to the country’s economic boom.
However, uranium mining remains important for Niger, not only in terms of exports, but also in terms of employment and income for local communities. It is therefore crucial for the country to find a balance between the sustainable exploitation of natural resources and the diversification of its economy.
In conclusion, Niger is experiencing an evolution in the uranium sector, with a reduction in its status as the first supplier of uranium to the EU. However, the country has been able to bounce back by investing in other sectors such as gold and hydrocarbons. This diversification contributes to rebalancing Niger’s trading partners and ensuring its long-term economic growth