KEY POINTS
- Atomic Eagle has regained a 60% controlling interest in Niger’s Madaouela uranium project under a new Mining Convention.
- Madaouela has a 116.5-million-pound U₃O₈ resource and about 600,000 metres of historical drilling.
- The project strengthens Atomic Eagle’s uranium portfolio alongside its 58.8-million-pound Muntanga project in Zambia.
ASX-listed Atomic Eagle has reached an agreement with the Nigerien government to re-establish its interest in the Madaouela uranium project, marking a major step forward for the company’s ambitions to build a larger uranium development portfolio in Africa.
The agreement, formalised through a new Mining Convention, gives Madaouela Mining Company (Mamico) a new exploitation permit for the project. Atomic Eagle will hold a 60% interest and retain operational control, while the State of Niger will hold the remaining 40%.
The State’s interest comprises a 15% free-carried stake and a 25% contributing interest.
Madaouela hosts a reported mineral resource of 116.5-million pounds of triuranium octoxide (U₃O₈), significantly expanding Atomic Eagle’s uranium resource base.
The project will complement the company’s flagship Muntanga uranium project in Zambia, which has a 58.8-million-pound JORC mineral resource.
Together, the two assets give Atomic Eagle a substantially larger and more diversified uranium portfolio, with projects at different stages of development and located in two major African uranium jurisdictions.
Extensive Historical Work Supports Development
Madaouela has already benefited from extensive exploration and technical work, including approximately 600,000 metres of historical drilling.
GoviEx, a subsidiary of Atomic Eagle, previously invested about $160-million in the project. The company says this historical investment provides a strong technical foundation from which it can reassess the project and identify opportunities to improve its development potential.
Resource verification and technical optimisation work is already under way, with Atomic Eagle expecting to establish a JORC-compliant mineral resource for Madaouela later this year.
The Mining Convention also provides Atomic Eagle with greater contractual certainty as it moves to reassess the project.
Among its provisions are legal and tax stabilisation measures, as well as clarification of project offtake arrangements. These protections could help the company evaluate different financing, development and strategic options as it advances the project.
The agreement follows a period of dispute between the company and the Nigerien government. Atomic Eagle said the new arrangement was reached through constructive discussions aimed at finding a mutually beneficial solution.
Although Madaouela significantly increases Atomic Eagle’s resource base, the company said its Muntanga project in Zambia remains its flagship development asset and primary focus.
Madaouela, however, gives the company additional scale and strategic flexibility. Atomic Eagle can now evaluate development options for the Nigerien project while continuing to advance Muntanga.
The company believes the combination of the two projects creates a stronger platform for attracting investment, securing funding and pursuing potential strategic partnerships in the uranium sector.
