Malawi is revitalizing its Kayelekera Uranium Mine through a $200M investment from Lotus Resources, aiming to capitalize on the global nuclear energy revival. Scheduled to restart in Q3 2025, the mine could significantly impact the local economy. However, community concerns over safety and environmental issues loom, calling for transparent practices as operations begin.
Malawi is on the verge of reviving the Kayelekera Uranium Mine, dormant since 2014, thanks to a substantial MK350 billion (around US $200 million) investment from Australian company Lotus Resources. This move aims to place Malawi at the forefront of the rejuvenated global nuclear energy sector. As demand for clean, reliable energy continues to grow, nuclear power, previously on the sidelines, is experiencing a reconsideration as an effective alternative to fossil fuels, particularly when renewable sources encounter reliability issues.
Lotus Resources recently expressed their confidence in the potential of the Kayelekera mine, which they referred to as “a world-class asset” during this week’s Macquarie Australia Conference. They highlighted its importance in the transition to a global energy framework that seeks to reduce carbon emissions. At the COP28 held in 2023, 22 nations committed to tripling their nuclear energy output by 2050, a number that rapidly climbed to 31 by 2024, prompting utilities to scramble for uranium as prices skyrocketed, more than doubling since 2020.
In its heyday, Kayelekera was one of Malawi’s top exporters, churning out over 1,000 tonnes of uranium annually. With the existing infrastructure already in place, the mine is set to have a strong advantage as it prepares for a scheduled restart in the third quarter of 2025.,
Lotus has proactively secured contracts to sell as much as 3.8 million pounds of uranium oxide over the next few years to several clients, including U.S.-based PSEG Nuclear. These agreements are connected to market prices, which helps Lotus manage potential fluctuations in the market effectively. Given the substantial investment in the infrastructure and an additional US $38.5 million raised since 2022, Kayelekera is poised to be one of Africa’s most viable uranium projects for a restart.
The mine employs a largely local workforce, with over 90% of its original staff being Malawian, and the company asserts that prioritizing local hiring remains a top concern. In May 2025, Malawi’s Atomic Energy Regulatory Authority gave a conditional green light for the mine’s reopening, emphasizing the necessity for strict environmental monitoring and community engagement throughout the process.
Nevertheless, civil society organizations are advocating for greater caution. Activists, particularly from the Natural Resources Justice Network, are voicing concerns over potential radiation hazards, waste management, and whether local communities will truly benefit from the mining activities. They are calling for full transparency and thorough discussions before the operations resume to ensure that these issues are properly addressed.
While Kayelekera’s uranium will not directly contribute to powering Malawi’s energy grid, the domino effects on the economy—if handled properly—could be quite significant. This is especially pertinent in a country where only about 15% of the population currently has access to electricity.
The reopening of the Kayelekera Uranium Mine represents a pivotal moment for Malawi as it embarks on a significant investment in nuclear energy amidst a global shift towards cleaner energy solutions. With important contracts secured and a local workforce ready, the prospects seem bright. However, the voices of civil society groups remind us that careful consideration of environmental and community impacts must accompany this endeavor, emphasizing the need for transparency and robust dialogue as the project unfolds.
Original Source: www.nyasatimes.com
