In 2024, Niger stripped GoviEx, now known as Atomic Eagle, of the Madaouela uranium project. As efforts to address what the company considers a grievance have yet to yield results, it is reshaping its strategy amid renewed global interest in uranium.

Atomic Eagle announced on Tuesday a 30,000-metre drilling program at its Muntanga uranium project in Zambia, marking a major exploration push as the Canadian company deepens its presence in the country after losing its more advanced Madaouela project in Niger in 2024.

Repositioning in a recovering market

The program forms part of a broader strategy to expand Atomic Eagle’s footprint in Zambia. The company is targeting further growth in Muntanga’s resources, recently revised up to 58.8 million pounds of uranium in an update published last month.

These targets go beyond a 2025 feasibility study, which estimated that a mine at Muntanga could produce an average of 2.2 million pounds of uranium per year over 12 years. To support that objective, Atomic Eagle is accelerating development and says it has secured funding for its exploration program through 2027.

This momentum contrasts sharply with the situation in Niger, where the company no longer holds rights to the Madaouela project. The mining permit was revoked in July 2024 and has since reverted to the state.

Atomic Eagle filed for arbitration with the International Centre for Settlement of Investment Disputes. It later agreed in February 2025 to suspend proceedings and open negotiations with the Nigerien government.

More than a year later, talks remain ongoing with no resolution in sight, leaving the project in limbo. Madaouela was backed by around 100 million pounds of measured and indicated resources and was expected to produce 50.8 million pounds of uranium over 19 years.

Repositioning in a recovering market

Stronger uranium market conditions are supporting investment in projects such as Muntanga. Demand linked to nuclear energy is rising as countries adjust their energy strategies, while prices remain elevated.

The spot price is around $85 per pound and long-term prices are close to $90, levels widely seen as supportive for new project development.

This environment is prompting several companies to accelerate projects aimed at meeting future demand, including Muntanga.

In Niger, however, the outlook is markedly different. Production has fallen sharply and uncertainty continues to weigh on mining partnerships. Uranium output dropped to 962 metric tons in 2024 from 4,116 metric tons in 2015, according to the World Nuclear Association.

Tensions between the government and long-time partner Orano, including the nationalisation of the country’s last operating uranium mine, have contributed to the decline.

The loss of Madaouela also removes a potential driver of output recovery, even as global market conditions improve.

Uncertain outlook

Atomic Eagle’s progress in Zambia will depend on several key steps. Exploration will need to deliver a meaningful increase in resources, followed by securing the financing required to build the mine.

The timeline to production will depend on the company’s ability to turn Muntanga’s geological potential into a viable mining operation.

The dispute with Niger also remains unresolved. A favourable outcome could allow the company to recover the Madaouela project or, at a minimum, reach a settlement clarifying its legal status. Such an outcome could also pave the way for a new investor without arbitration risk.

Niger still has several options to revive Madaouela and its broader uranium sector. The Dasa project, led by Canada’s Global Atomic, is targeting production from 2027, while other potential partners, including Russian and Chinese interests, are exploring investment opportunities.

Any recovery in output, however, will depend on resolving disputed projects and bringing new mines into production.

Emiliano Tossou