Somalia launches risky uranium drive with local firm, IAEA

[Deeq A.]

MOGADISHU, Somalia—Somalia is embarking on a high-stakes bid to unlock potential uranium wealth. It is partnering with a domestic conglomerate and joining the UN’s nuclear watchdog, the IAEA, in a move aimed at economic transformation but shadowed by deep-seated security and governance hurdles.

The government of President Hassan Sheikh Mohamud inked a preliminary deal late last year granting Mogadishu-based Almond Energy status as its strategic partner for developing the Horn of Africa nation’s mineral resources, with a sharp focus on uranium.

The agreement, which was approved by parliament shortly after with minimal public attention, positions the company centrally in Somalia’s nascent mining strategy.

Almond Energy will now serve as the primary advisor to the Ministry of Petroleum and Minerals, headed by Minister Dahir Shire Mohamed.

Under the reported terms, Mogadishu intends to overhaul its mining regulations, replacing an outdated 1984 law with a new framework based on principles drafted by Almond Energy.

Almond Energy: A diversified partner

Established in 2019, Almond Energy belongs to the broader Almond Group Holdings, a diversified Somali business with interests spanning aviation (Almond Air and Logistics, servicing UN and Somali forces), hospitality (Almond Resort hotels), and logistics.

The group, employing around 400 staff and with offices in Mogadishu and Nairobi, regularly receives UN supply contracts.

While experienced in logistics and services, Almond Energy’s specific track record in the technically demanding field of uranium exploration appears limited. Nonetheless, the partnership assigns it a leading role in charting the course for Somalia’s mining sector, including designating key exploration territories.

A joint venture is envisioned, with Almond Energy initially holding a dominant stake (around two-thirds) and the government retaining the rest.

A cornerstone of this initiative was Somalia’s formal entry into the International Atomic Energy Agency (IAEA) in September 2024, preceding the Almond Energy deal by mere weeks. Negotiations underpinning the partnership reportedly commenced before President Mohamud assumed office in 2022.

Technically supported by Almond Energy and Kenyan experts—Kenya has been an IAEA member since 1965—Somalia’s membership grants access to vital technical expertise and potential funding. Critically, it also commits the fragile state to the IAEA’s rigorous safeguards and inspection regimes, a significant undertaking given its circumstances.

IAEA records confirm that a Somali delegation, including Ministry Director General Arabey Abdi Hashi and Almond Energy CEO Abdifatah Mohamed, alongside Kenyan consultant Willy Murithi, visited the IAEA’s Vienna headquarters last year to finalize the membership. Further engagements between Mogadishu and the agency are expected this month.

Potential rewards vs. Pervasive risks

The government’s push draws on historical data, notably a 1985 IAEA report referenced by Almond Energy, suggesting Somalia could harbor uranium deposits up to 150,000 tonnes. Early exploration by US, Italian, and German firms in the 1960s and 70s identified promise, particularly within the central Mudug region.

However, formidable obstacles loom. Decades of conflict halted initial exploration efforts in the early 1990s. Today, instability persists, with the Al-Qaeda affiliate Al-Shabaab controlling swathes of territory, including potential exploration zones in Mudug. The ongoing insurgency severely hampers prospects for secure, large-scale resource development.

Furthermore, establishing robust regulatory, environmental, and safety protocols for uranium extraction represents a monumental task for a nation still consolidating its institutions and grappling with limited capacity.

The venture has piqued tentative regional interest. Associates of Kenyan President William Ruto have reportedly shown curiosity, potentially eyeing Somalia’s uranium for Kenya’s own nuclear power aspirations centered around a proposed plant in Uyombo. Yet, this outlook is clouded by proposed changes within Kenya, including the potential dissolution of its Nuclear Power and Energy Agency (NuPEA).

Somalia may also seek to engage Turkey, a key strategic ally with significant investment and influence in the country and possessing its nuclear energy program. [Link to reputable source on Turkey-Somalia relations].

While tapping its uranium could offer Somalia a potent economic lever, the path forward is laden with profound technical, security, financial, and governance challenges that Mogadishu and Almond Energy must navigate before any potential wealth can be unearthed.