French nuclear company Areva will in 2012 begin mining the Imouraren uranium deposit in Niger, in what will be the country’s largest industrial project.

Areva will require an initial investment of $1.6 billion and will operate for more than 35 years. Imouraren mine will be an in-situ leach (ISL) operation, with uranium dissolved from the host rock and pumped to the surface through wells.

The nuclear company will hold 66.7% of the newly created mining company and the Niger government the remaining 33.35%, according to the terms of the mining agreement signed in Niger by the two parties. 

Areva said the mine will produce 500 tonnes of uranium per year and will be the largest uranium mine in Africa, and the second largest in the world, making Niger the world’s second largest uranium producer.

Niger has been producing uranium commercially since 1971, with around 7.5% of the world’s uranium production currently coming from its two operating mines at Arlit and Akouta. Imouraren is about 80km south of the Arlit mine.