Niger Nationalises Only Industrial Gold Mine, Citing “Serious Breaches” by Australian Operator.

By Caroline Ameh

Niger’s military government has taken control of the country’s only industrial gold mine, accusing its Australian operator of “serious breaches” as part of a broader push to assert national ownership over strategic resources.

An order signed by junta leader General Abdourahamane Tiani and broadcast on state television on Friday announced the nationalisation of the Société des Mines du Liptako (SML) gold mine, situated on the banks of the River Niger.

“This measure is in line with the vision of the president of the republic, which is to promote the full appropriation of its natural resources by the Nigerien people,” the statement said.

The Australian company McKinel Resources Limited acquired majority control of SML in 2019 but has been accused by the junta of failing to honour a $10 million investment plan. Authorities said the alleged failures led to tax and wage arrears, worker layoffs, mounting debts, production stoppages, and an “alarming economic situation” at the mine.

The mine produced 177 kilograms of industrial gold in 2023, while the country’s artisanal miners produced an estimated 2.2 tonnes, according to the Extractive Industries Transparency Initiative.

Friday’s decision follows a pattern across the Sahel, where juntas in Niger, Burkina Faso, and Mali have tightened control over foreign mining operations. In June, Niger nationalised the local subsidiary of French uranium giant Orano.

The SML mine, located in the jihadist-hit Tillaberi region, was the site of a bomb blast in May that killed at least eight workers. The Nigerien army has deployed more than 2,000 soldiers in the area to combat insurgent groups.