Nuclear Monitor #921
Gunter Wippel, uranium-network.org with information from WISE Uranium Project
- A few words on history
Uranium mining in Africa can hardly be dealt with without taking a brief look at history. Africa has been intensively colonized by European powers. The first uranium mine in Africa – originating from a radium mine in the Haute-Katanga region of what was then Belgian Congo – was Shinkolobwe mine; it provided – unintentionally – some of the uranium for the first nuclear bomb produced in the US. The mine continued to deliver the raw material for US nuclear weapons until Congo gained independence in 1960.
In the 1960s, the French Commissariat à l’Energie Atomique (CEA, Atomic Energy Commission) started to explore for uranium in what had formerly been French West Africa. In 1960, a part of it became the state of Niger. Two uranium mines were started successively: an open-pit mine by SOMAIR (1971) and Akouta underground mine by COMINAK (1978), both majority owned by French entities. The SOMAIR mine is still operating (current situation see below).
France also had exploited uranium in its (former) colony Gabon, leaving behind an environmental legacy.
Similar to France, companies from the UK looked for uranium in its then or former colonies: in Australia and in Africa, in what is now Namibia: from 1976 on, Rio Tinto Zinc (later named Rio Tinto) exploited uranium from Rössing mine, a huge open-pit mine, in what was then South West Africa. The operation was in violation of
UN Decree No. 1[1] , at the time, the area was still a protectorate under the control of South Africa, and exploitation of its resources was not allowed by the said UN Decree.
Uranium mining also happened in South Africa to a similar extent as in Namibia, by a variety of companies, creating a radioactive legacy which haunts the country to date.
- fast forward: The 2007 uranium boom
While the price of uranium repeatedly experienced considerable ups and downs, a uranium price boom occurred in 2007 – followed by a similarly rapid drop of the price.[2]
The boom attracted dozens of exploration companies to nearly each and every country in Africa which was seen as an ‘underexplored’ continent.[3]
Nearly all of Africa is red – indicating exploration happened in nearly every country shortly after 2007/8.
In retrospect, the results were meager.
> In NIGER, for many years, French AREVA (now ORANO) had been the only uranium mining company.
From 2007 on, then President of Niger, Mamadou Tandja, invited companies from abroad to explore mining opportunities in Niger. 135 exploration licenses were granted. The government under Tandja struck a deal with China Nuclear International Uranium Corporation (or SinoU) for a uranium mine near Azelik, between Agadez and Arlit, the AREVA mining town.
These steps did not go well with France which regarded Niger as its backyard (‘Francafrique’). President Tandja was overthrown in February 2010; with the next election, Mahamadou Issoufou became president. Issoufou had been trained as a mining engineer in France and had “served as National Director of Mines from 1980 to 1985 before becoming Secretary-General of SOMAIR” [4] the open-pit mine operated by AREVA near Arlit.
Shortly after Tandja’s opening up to other countries, a uranium deposit named Azelik was licensed to SinoU, an offspring of China National Nuclear Corporation (CNNC); by the end of 2010, the first drums of uranium were produced and sent to China.
Local protests ensued due to the mining activities disturbing salt production and thus the livelihood of Tuareg women in the area.
By 2014, the company said it was struggling with “low output and high costs”, and stopped operation by 2015.
The large Imouraren deposit, discovered by AREVA, 160km north of Agadez and 80km from Arlit, was said to be one of the biggest uranium deposits in the world (146 000 t U).
In 2008, AREVA was licensed to mine it. However, in 2010, it experienced the first of many postponements. In 2011, in the aftermath of the Fukushima-Daiichi disaster, it was postponed again, AREVA announced its start for 2014. The Niger government, partially depending on the income from the mines, frustrated with the new delay, urged AREVA to pay 35 million € as compensation for the delay.
In 2013, AREVA downgraded parts of the uranium reserves at Imouraren from “proven reserves” to “probable reserves”. Rumors said the deposit would be “not mineable”. By 2014, the start of mining at Imouraren was delayed indefinitely. Decisions on how to proceed with the project was deferred to 2028, although an in-situ leach pilot test was envisaged for 2024.Between 2015 and 2017, AREVA depreciated Imouraren each year in its balance sheets, in total a depreciation of € 688 million.[5]
The Central African Republic (CAR) as well as DR Congo were also targeted by AREVA for mining uranium – both to no avail (more details in Part 2).
> In NAMIBIA, AREVA had acquired Trekoppje project from UraMin in 2007; the deposit turned out to be hard to exploit, definitely not worth the price (around 2 billion €) AREVA had paid for it. The transaction cost then AREVA-CEO Anne Lauvergeon her job, triggered a veritable scandal in France with the French financial police searching AREVA’s headquarter, corruption issues and so on.
On top of it, it turned out that the blatant overestimation of the value of the Trekoppje deposit was a result long planned by the Uramin owners Stephen Dattels and James Mellon. Dattels, one of the founders of Barrick Gold, was traced by Quebec newspaper La Presse to two other stock market operations that went awry. Mellon had already been prosecuted by financial prosecutors in South Korea.[6]
The failure of the project lead to another considerable depreciation in AREVA’s balance sheets: In December 2011, AREVA wrote off the biggest part of the investment in Trekoppje mine, 1,46 billion €.[7]
However, ORANO has applied for a new environmental clearance for Trekoppje in 2023.
The depreciations of Imouraren and Trekoppje contributed significantly to the insolvency of AREVA in 2017. The company was ‘restructured’, the French government injected 4,5 billion €[8], accepted by the EU Commission. The new company was named ORANO in 2018.
> In TANZANIA, in 2007 and the following years, Australian companies URANEX and Mantra explored for uranium in two regions: central Tanzania (Bahi and Manyoni), as well as in the Mkuju River area, a World Heritage Site.
Mantra got lucky by locating and defining the Mkuju River uranium deposit; Mantra Australia sold its Tanzanian subsidiary, and thus the deposit, to Russia’s ROSATOM and ARMZ, at a high profit. Mantra’s shareholders sacked two- to four times (depending on the point in time they had invested) of the amount invested.
As of now, mining has not started; the project has been put on hold due to the slumping price of uranium after 2008; in 2017, the project was officially postponed for three years. Currently, only maintenance work is reported from the site.
One source suggests that the Russian companies overpaid for the deposit. [9]
Exploration work in Bahi and Manyoni ceased, partially due to poor results, partially due to civil society resistance; at an IAEA presentation, it was admitted that the company had not gotten ‘the social license’ to mine. One of the opponents was awarded the Nuclear-Free Future Award in 2022.[10]
> In Malawi, Australian company Paladin (whose CEO John Borshoff had stated:
“Australia and Canada have become overly sophisticated. They measure progress in other aspects than economic development, and rightly so, but I think there has been a sort of overcompensation in terms of thinking about environmental issues, social issues, way beyond what is necessary to achieve good practice. The future of mining is in Africa.”
Paladin had bought and started Kayelekera uranium mine, in 2009, against considerable resistance of local NGOs. It produced uranium for about 5 years.
By 2014, it was mothballed due to the uranium price staying “stubbornly low” (as one frustrated mine CEO stated). During its operation, Kayelekera mine made it to WISE Uranium Project’s “Hall of Infamy” due to numerous accidents and spills.[11]
By 2020, another Australian company, LOTUS Resources, acquired the mine, announced its re-opening, and considered also to extract rare earth metals (from the tailings).
In 2024, “a potential restart at Kayelekera in late 2025” is reported.
> In Namibia, Australian company Paladin started Langer-Heinrich mine; in 2006, first uranium production was announced. With the decline of the price of uranium, the mine had to slow down and finally stopped production by May 2018. (Paladin’s other mine, Kayelekera, had already stopped working by 2014).
With both of its mines causing costs and making no money, Paladin got in serious financial difficulties. In July 2017, the company was placed under administration.
Paladin’s Langer-Heinrich-subsidiary was able to secure a long-term contract with French EdF, and received an upfront payment of 200 Mio US$ (to be paid off by future uranium deliveries). However, disaster struck when EdF cancelled the contract in 2017 – and wanted its upfront payment back; Paladin was unable to comply.
[“Another hurdle emerges in Paladin Energy’s plan to avoid collapse”, Australian Financial Review, Jun 13 2017.[12]
To avoid liquidation, a debt-for-equity swap was arranged, with 98% of the existing shareholders’ shares transferred to creditors. The remaining shares were re-listed on 14 February 2018. Paladin survived – at the cost of its shareholders loosing most of the value of their shares.
CNNC acquired in 2014 a 25% share in Paladin’s Langer-Heinrich Mine[13]
A January 2017 attempt to sell another 24% to CNNC was in the end rejected by CNNC.[14] As of 2024, Paladin is trying to bring Langer-Heinrich Mine online again (see below).
Also in Namibia, Chinese companies were – and are – active. With few uranium resources at home, China looks for uranium elsewhere:
Rössing had discovered a large uranium deposit close to its existing mine, Rössing South. The deposit was renamed into Husab mine, and ended up being owned by China Guangdong Nuclear Power Holding Corp. (CGN) by 2012, via subsidiaries. The deposit is said to be the 4th largest uranium deposit in the world (188,000 t U). It started operating in 2014. In 2022, it is listed as the second largest uranium mine by production, with 7% of world uranium production.[15]
In 2019, Chinese National Nuclear Corporation (CNNC) acquired Rio Tinto’s 68.6% share in the (‘old’) Rössing mine. CNNC is now the majority owner of Rössing mine, one of the longest operating uranium mines in the world.
Another Chinese company, Zhonghe Resources, owned via subsidiaries by CNNC, started to develop the Zhonge uranium project from 2010 on. An EIA was made available in 2011 – “two years after completion and four months after license issued”.[16] No information of further progress of the project is known.
In 2021, the company applied for a license renewal, but to date no uranium has been produced.
Since the Namibian authorities were flooded with applications in the run for new uranium mines, the Government imposed a 10 year MORATORIUM for new exploration licenses for uranium in 2007.
- The Current Situation of Uranium Mining in Africa (2024)
In 2022, the World Nuclear Association listed only three African countries producing uranium[17] (2023 figures not yet available):
Namibia (5613 t U, approx. 11.4% of world production),
Niger (2020 t U, 4.1% of world production),
and South Africa with a (neglibile) 200 t U (0.4% of world U production).
Thus, African mines contributed in 2022 15.5% to the world uranium production.
NIGER
Production
By 2024, Niger has only one producing uranium mine left, Arlit mine, majority owned by ORANO.
Things had turned worse in 2023/24: When military took over power on 26. July 2023, the ECOWAS states blocked borders in an attempt to bring down the new military junta / government. The Arlit mine continued production, but lacked possibilities to export the yellowcake; the operation also suffers from difficulties to provide the chemical agents for extracting uranium from the ore.
No uranium was exported from Niger in 2024.[18]
By October 2024, ORANO announced a stop of operation of Arlit mine due to financial difficulties.Currently no uranium is produced in Niger (Azelik mine is not yet producing again.)
Projects
Azelik project by SOMINA
Azelik uranium mine, owned by SOMINA, approx. two-thirds Chinese owned, had been mothballed since 2014.
On 26 July 2023, a military coup overthrew the government. On 28 June 2023, a CNUC delegation discussed a restart of Azelik mine with the Niger government. A team to evaluate a possible restart of the mine had already been sent to the site.
In May 2024, SOMINA announced the restart of Azelik mine.[19]
DASA project by Global Atomic
Since a number of years, Global Atomic, a Toronto based company, is developing the Dasa mining project, located between Agadez and Arlit. Originally (2010s), the company had planned for a series of open-pit mines, by 2020, an “optimized plan” provided for an underground mine. Work started in 2023. By 2024, an inclining tunnel is dug to get access to the uranium deposit.
On 5 March 2024, “Global Atomic Corp. announced the results of the updated Dasa Project Feasibility Study. Dasa Mine Life is extended from 12 to 23 years, Mineral Reserves have increased by 50% to 73 million pounds U3O8 [28 077 t U], and uranium production from Dasa is projected to increase by 55% to 68.1 million pounds U3O8 [26 192 t U]”.[20]
In May 2024, the current minister of Mines of Niger, on a visit to the project, encouraged the company to continue; obviously, Global Atomic is at good terms with the (new) Niger government / junta – which, most probably, hopes to profit from the mining activity financially, and thus takes a positive stance towards the project.
Commercial production of uranium is set to begin in 2026.[21] On 29 Oct. 2024, Global Atomic stated that the U.S. International Development Finance Corporation may grant a credit for the further development of the project. The company also said “ … off-take agreements we have in place with American and European nuclear power utilities” without disclosing them.
In view of US legislation aiming to slow down uranium imports from Russia, an engagement of the US in a uranium mining project whose fruition is foreseeable, makes some sense.
Imouraren deposit
On 3 and 4 June 2024, media reported that Russia ‘eyes France’s Oranos’s uranium assets in Niger’.[22]
On 11 June 2024, ORANO announced its intention to start mining at Imouraren, probably an attempt to calm the new Niger government.
According to another source: “The junta effectively blocked Orano from resuming production so it could revoke its permit. France-based Jeune Afrique reported that Orano attempted to send employees to restart work on the site multiple times, but Nigerien forces responsible for security at the mines prevented them from entering.” [23] On 21 June 2024, the Niger government withdrew ORANO’s license for the Imouraren deposit.
Madaouéla project by GoviEx
Company GoviEx, based in Vancouver, held an exploration license for the Madouela uranium deposit, discovered in 2010; development was slow, although in 2019 the government of the time envisaged a development of the deposit by GoviEx and the government. However, the project was postponed again and again.
In April 2024, the new government of Niger gave GoviEx an ultimatum to start mining at Madaouéla by 3. July 2024 – a timeframe the company could not possibly comply with. Failure to comply with the deadline would lead to a risk of revocation of the mining permit.
On July 4, 2024, GoviEx Uranium Inc. informed the public that the mining permit for Madaouela has been revoked; the project appears no longer on GoviEx’s website.
Other projects
WISE Uranium Project’s website lists more uranium deposits in Niger; however, none of those deposits is currently under development.
Summary Niger
Uranium production in Niger had declined since a decade, from 4518 t U in 2013 to 2020 t U in 2020 (WNA), roughly a 55% decline in 10 years (again, 2023 figures are not yet available), putting Niger 7th place of uranium producing countries, behind Namibia.
The 2024 production is of limited relevance since the uranium produced is currently not available at the world market.
France’s / ORANO’s dominance seems to come to an end: Arlit mine is idle, and ORANO lost the mining license for the Imouraren deposit. Whether a license for exploiting Imouraren will be given to a Russian company remains to be seen.
Chinese CNUC is making a come-back to Niger with re-starting Azelik mine.
The developing Dasa-project by Global Atomic is obviously supported by the current Niger government – which is in need of making money from the mines.
NAMIBIA
Production
Uranium production in Namibia increased since 2016 from 3654 t U to 5613 t U in 2022, an approx. 65% increase; this puts Namibia into the third place of world uranium production, behind Kazakhstan and Canada[24], (2023 figures not yet available).
This output was produced by the (majority) Chinese owned mines Rössing and Husab.
Paladin announced in 2022 to reopen Langer-Heinrich Mine; in March 2024, the first drums of yellowcake were produced.
However, by 12 Nov. 2024, Paladin revised its production targets for the financial year 2025 (ending June 2025) by 20 – 25% due to “ongoing challenges and operational variability experienced to date in ramping up production”.
Projects
With approx. 8% of the world uranium deposits located in Namibia [25], a number of uranium projects are ‘in the pipeline’.
The 10 year MORATORIUM for new uranium exploration license, imposed in 2007, was lifted, as planned, in 2017; a run for new licenses ensued.[26]
Russian ROSATOM is pushing forward with Wings project (via a subsidiary, Headspring) in Omaheke region in the east of Namibia, bordering Botswana, an arid region: Rosatom plans to mine uranium via in-situ leaching in an artesian basin which is the source of water for humans as well as for agriculture in the area; the practice is considered a no-go by environmental protectors.
ROSATOM’s plans are met by resistance from locals and Stampriet Aquifer Uranium Mining Association (SAUMA).
Deep Yellow Limited, led by John Borshoff, former CEO of Paladin which barely evaded bankruptcy, plans to develop Tumas uranium mine project. A mining license was issued on 18 Dec. 2023 to Reptile Uranium Namibia (Pty) Ltd, a 100% subsidiary of Deep Yellow. The license is valid for 20 years.
There is a number of projects in Namibia in different stages of development. One project (Etango) applied for a new Mining License; for another project (Valencia and Namibplaas), a reassessment of a 2015 Feasibility Study is under way. However, none of these projects is close to production.
We will take a closer look on these projects in Part 2.
Concerns
Water supply remains a serious concern in arid Namibia since uranium mines are in need of big quantities of water. One desalination plant, originally built for Trekoppje mine, is in operation, a second one is discussed; construction may begin in 2025.
Power supply remains another concern in Namibia; in the 2010s, construction of a coal-powered plant was discussed, but did not go forward.
Summary Namibia
“What AREVA dreamt of, the Chinese have done …” was a headline in a 2015 presentation on uranium mining, and it is more true today than it was then: Chinese companies run uranium production in Namibia, and hold a share in Paladin’s mine – which is not going too well, again.
France’s Areva has lost out big time.
SOUTH AFRICA
South Africa – for most of the past the only African country with nuclear power – had produced uranium only as a by-product of gold mining. Uranium production has continuously gone down, the quantities of uranium produced in the years before were negligible (< 500 t U / year, declining).
In the mid-2010s, Australian company Peninsula Energy attempted to mine uranium in the Karoo, but ‘divested’ from the project in October 2017, after strong protests.
S.A. company Sibanye-Stillwater worked for a number of years on extracting uranium (as well as other metals), in parts from old mine tailings; in 2024, no uranium was produced.
However, S.A. has a serious legacy from past mining activities, including uranium contamination.
* * *
In Part 2, we will look at a number of other countries in Africa with no current uranium production, but with uranium projects in different stages of development; some of those projects might become productive in the future.
We will also go into the impacts on the environment, workers’ health and safety, economic and socio-economic impacts of the mines in general and also address specific issues.
[1] https://digitallibrary.un.org/record/111393?ln=en&v=pdf
[2] (see: https://tradingeconomics.com/commodity/uranium).
[3] (https://www.wise-uranium.org/upafr.html
[4] https://en.wikipedia.org/wiki/Mahamadou_Issoufou]
[5] https://nuclear-news.net/2017/11/03/arevas-new-entity-newco-struggles-with-unprofitable-uranium-mine-in-niger/
[6] https://en.wikipedia.org/wiki/UraMin
[7] https://business.financialpost.com/commodities/mining/uramin-assets-a-nearly-2-billion-drag-on-areva]
[8] [www.zeit.de/news/2017-01/10/eu-eu-kommission-genehmigt-umbau-des-franzoesischen-atomkonzerns-areva-10160808]
[9] www.mining.com/russian-state-corporation-suspends-1-2-billion-uranium-project-tanzania/)
[10] https://nuclearfreefutureaward.org/anthony-lyamunda-tanzania/
[11] https://www.wise-uranium.org/ucpalhi.html
[12] www.afr.com/business/mining/uranium/another-hurdle-emerges-in-paladin-energys-plan-to-avoid-collapse-20170613-gwpzvj]
[13] www.nsenergybusiness.com/news/newspaladin-sells-minority-interest-in-langer-heinrich-mine-to-cnnc-220114-4163814/
[14] www.marketscreener.com/quote/stock/PALADIN-ENERGY-LTD-46922997/news/CNNC-Overseas-Uranium-Holding-Ltd-cancelled-the-acquisition-of-an-additional-24-stake-in-Langer-He-35230980/
[15] https://world-nuclear.org/information-library/nuclear-fuel-cycle/mining-of-uranium/uranium-mining-overview
[16] www.wise-uranium.org/upna.html#ZHONGHE
[17] https://world-nuclear.org/information-library/nuclear-fuel-cycle/mining-of-uranium/world-uranium-mining-production
[18] www.agenceecofin.com/uranium/1410-122393-zero-tonne-d-uranium-exportee-par-le-niger-en-2024-voici-les-raisons
[19] www.wise-uranium.org/umopne.html#AZELIK
[20] www.wise-uranium.org/upne.html#DASA
[21] https://www.globalatomiccorp.com/investors/news/news-details/2024/Global-Atomic-Provides-Update-on-the-Dasa-Project-October292024/default.aspx
[22] www.ecofinagency.com/mining/0406-45584-uranium-russia-s-rosatom-eyes-france-s-orano-s-assets-in-niger,
www.mining.com/web/russia-is-said-to-seek-french-held-uranium-assets-in-niger/
[23] www.understandingwar.org/backgrounder/africa-file-june-27-2024-niger-reallocates-uranium-mine-strengthens-sahel-au-future
[24] https://world-nuclear.org/information-library/nuclear-fuel-cycle/mining-of-uranium/world-uranium-mining-production
[25] www.statista.com/statistics/652996/distribution-of-global-uranium-resources-by-country/
[26] www.wise-uranium.org/upna.html