The United States government has approved a $414m financing deal for a uranium project in Niger, developer Global Atomic announced. The US Development Finance Corp provided the debt facility for Global Atomic's Dasa project, described as Africa's highest-grade uranium deposit. This investment could secure US access to Niger's critical mineral supplies, amid a dispute between Niger and French state-backed miner Orano.
Niger is the world's seventh-largest uranium producer, and the US investment could bolster its access to a strategic uranium supply. The project may provide a rare bright spot in US-Canada relations, strained due to a trade war between the neighbours. US Ambassador Kathleen FitzGibbon reportedly urged Washington to rebuild ties with Niger and back the project after the Trump administration emphasised deal-making in Africa.
The US agreed to withdraw about 1,000 troops from Niger in 2024, after the military government deemed their presence "illegal" and turned to Russia for security support. French soldiers were also ordered to leave in 2023. The project was seen as an opportunity to secure access to a strategic energy resource that might otherwise fall into the orbit of rival powers.
Global Atomic's Dasa project faces significant security and political risks, including a recent attempted mutiny in the capital, Niamey. Niger accused France of orchestrating the offensive, which it denied. The company has been exploring alternative routes to export uranium from the landlocked country due to security risks, including a potential route north through Algeria and across the Sahara Desert.
Algeria sent aircraft to Niger last month to help the government respond to the attempted coup, indicating strengthening ties between the neighbouring countries. Uranium was added to the US critical minerals list last year, prompting renewed interest in Niger's reserves. The investment could give the US a strategic advantage in securing access to this critical mineral.
Global Atomic's chief executive, Stephen Roman, travelled to Washington this summer to resolve remaining issues holding up approval. The breakthrough came after Roman's discussions with the Development Finance Corp. Niger's government did not respond to requests for comment on the project.
The US investment in Niger's uranium project highlights the country's growing importance as a supplier of critical minerals. The project may also demonstrate the US government's commitment to securing access to strategic energy resources in Africa.
Key points
- The US has approved a $414m financing deal for a uranium project in Niger.
- The project could provide the US with access to a strategic uranium supply.
- The investment comes amid strained US-Canada relations and US efforts to rebuild ties with Niger.
