Canadian uranium player Global Atomic has announced a major offtake agreement for uranium from its Niger operations.

A North American utility willing to buy from the Nigerian uranium is a major boost of confidence in the company. 

The deal should see operations start from 2026.

The company today said it had finalized a Letter of Intent for the sale of uranium from the Company’s Dasa Project in the Republic of Niger. 

“Under this agreement, Global Atomic is pleased to provide a fuel solution for defined North American utility demand, at a time of increasing supply uncertainty,” it said.

This is the third such agreement signed by the Company and brings our current contracted volume close to 1.5 million pounds U₃O₈ per annum over Dasa’s initial five years of operation.

The news comes despite the recent coup in Niger and uncertainty about who controls the uranium supply in the nation.

“Nuclear power is vital to satisfy the drive for energy independence across the globe and the overwhelming desire for low-carbon base load power.”

“Our Dasa Operation has a long-life expectancy, with the current 12-year Phase 1 Plan representing approximately 20% of the known deposit.  The revision to the Phase 1 Feasibility Study due in the first half of 2024 is expected to double Dasa’s mineable Reserves and extend Phase 1 significantly,” the company told markets today.

The news highlights a huge problem unfolding in the uranium and nuclear energy space – utilities are desperate to lock in supply – despite growing geopolitcal concers in an emerging multi-polar world. 

The situation in Niger continues to be a point of angst for western nations, particularly France which relies on Niger for 25% of uranium imports. President Macron last ween announced he is pulling out military and diplomatic mission in the nation.