Orano Projects a Positive Outlook for 2025 Despite Niger Operations Challenges

Orano achieved remarkable financial results in 2024, with a 23% revenue increase driven by contracts with Japan and favorable market conditions. CEO Nicolas Maes expressed confidence in future growth despite setbacks in Niger. The company anticipates revenues nearing €5 billion in 2025 supported by new investment projects, including a significant uranium mine in Mongolia.

Orano reported outstanding financial performance for 2024, with a notable 23% increase in revenue due to contracts related to the repatriation of nuclear waste to Japan and positive market dynamics in mining. Despite losing control of its operations in Niger, the company’s EBITDA rose sharply from €1.228 billion in 2023 to €2.067 billion in 2024. CEO Nicolas Maes remarked that while the year was exceptional financially, challenges persisted due to operational setbacks in Niger.

The loss of operational control over its Niger subsidiaries, Somaïr, Cominak, and Imouraren, led to their exclusion from Orano’s consolidated financials starting December 1. Maes conveyed concerns for the 900 employees affected amid ongoing arbitration efforts to address the loss of their mining licenses. Operating income from the Mining segment dropped to €122 million, yet increasing uranium prices helped mitigate this decline.

Despite these hurdles in Niger, Orano remains optimistic about future growth, projecting revenues close to €5 billion by 2025 as it expands its investment initiatives. Recently, Orano formed an investment agreement with Mongolia for the development of the Zuuvch Ovoo uranium mine, planning to invest approximately $500 million over the development period and aiming for operations to commence by 2028-2029.

In addition to the Mongolian project, Orano is exploring opportunities in Uzbekistan and Canada while reassessing the Trekkopje project in Namibia. The company expects to pursue its plans for a new uranium enrichment facility, Project IKE, in Tennessee without significant impact from the recent US administration changes, citing bipartisan support for domestic uranium capacity as reassuring.

Maes indicated confidence in Orano’s strategies, asserting that the company will continue with its growth trajectory despite challenges in certain operational areas while preparing for a robust future in the uranium market.

Orano’s financial performance in 2024 stands out despite setbacks in Niger, marked by significant revenue growth and strategic investments aimed at future expansion. The company is actively pursuing new projects to diversify its uranium supply sources while maintaining optimism about upcoming market conditions. Overall, Orano demonstrates resilience and strategic foresight as it continues to navigate operational challenges.

Original Source: world-nuclear-news.org