Atomic Eagle Re-Establishes 60% Operating Interest in Madaouela Uranium Project

Atomic Eagle (ASX: AEU) has agreed terms with the Republic of Niger for a new Mining Convention that would re-establish its interest in the Madaouela uranium project with a 60% stake and operational control.

Madaouela hosts a foreign estimate of 116.5 million pounds of triuranium octoxide (U3O8) at 1,282 parts per million, supported by about 600,000 metres of historical drilling and feasibility work.

Atomic Eagle has agreed to pay US$5 million within 30 days of exploitation permit issuance and another US$5m at the start of construction, while a US$40m credit will be applied against the Niger government’s future equity contributions.

The project adds a second advanced uranium asset alongside Atomic Eagle’s flagship Muntanga project in Zambia, which hosts a 58.8Mlb JORC Mineral Resource.

Resource verification and technical optimisation have started at Madaouela, with Atomic Eagle targeting conversion of the foreign estimate to a JORC resource towards the end of 2026 while retaining Muntanga as its primary development focus.

Reworked Ownership Structure

A new exploitation permit has been granted to Madaouela Mining Company SA (MAMICO), which will be 60% owned by Atomic Eagle and 40% by the Republic of Niger, comprising a 15% free-carried stake and a 25% contributing interest, with the latter requiring future equity contributions or dilution under an agreed formula.

The Mining Convention follows a dispute after Madaouela was expropriated from previous holder GoviEx Uranium in 2024, with international arbitration proceedings paused in January 2025.

Atomic Eagle intends to withdraw the arbitration within seven days of signing the Mining Convention, which is expected to be executed at a signing ceremony in the coming days.

“Re-establishing our interest in Madaouela represents a transformational outcome for Atomic Eagle significantly increasing our resource base and adding a second advanced uranium project to our project portfolio,” chief executive officer Phil Hoskins said.

“Madaouela is a large, high-grade uranium asset supported by an extensive body of historical work, and we see clear opportunities to further define and optimise the project’s development potential.”

Extensive Technical Base

Historical work at Madaouela includes about US$160 million invested by GoviEx, providing an extensive technical base for further resource verification, mine planning and development optimisation.

Atomic Eagle plans to assess updated development pathways, financing structures and potential strategic partnerships at Madaouela while progressing technical review and optimisation work.

The exploitation permit carries an initial 10-year term and may be renewed for successive five-year periods over the life of the mine, while the Mining Convention includes legal, fiscal, and regulatory stabilisation provisions, access to international arbitration, and permission for offshore banking subject to repatriation requirements.

Government approval is required for MAMICO offtake contracts, although a 90-day deemed-approval mechanism applies, while combined government rights over production are capped at 50% and cannot interfere with binding offtake contracts already entered by MAMICO.

Atomic Eagle has a two-year window to update feasibility work and environmental and social studies and secure financing as it evaluates the preferred development and funding pathway for Madaouela.