Lotus Secures Major Uranium Deal with North American Energy Firm, Reviving Malawi’s Mining Sector
Malawi’s mining sector has achieved a significant milestone as Lotus Resources Limited finalises a major uranium supply agreement with PSEG Nuclear LLC, a leading North American energy firm. The deal, covering 800,000 pounds of uranium to be supplied between 2026 and 2029, marks a pivotal moment in the revival of operations at the Kayelekera Uranium Mine in Karonga.
This agreement strengthens Malawi’s position in the global uranium market, adding to Lotus’s existing commitments of between 2.3 million and 2.6 million pounds of uranium scheduled for delivery from 2026 to 2032. The deal comes at a time when global demand for uranium is surging, driven by the global shift toward cleaner energy sources.
The Kayelekera Mine, which ceased operations in 2014 due to low uranium prices, is set to restart in the third quarter of 2025. This revival is expected to bring significant economic benefits to Malawi, including foreign exchange earnings, job creation, and support for local suppliers. It also signals renewed investor confidence in Malawi’s mining potential.
Lotus Managing Director Greg Bittar highlighted the importance of the agreement, stating, “Each sales contract strengthens our financial position and confirms the confidence global energy players have in the Kayelekera project. With our strong capital reserves and strategic agreements, we are well on track to making Kayelekera a success story once again.”
The reopening of Kayelekera is seen as a turning point for Malawi’s economy, with the potential to attract further investment into the mining sector. As Lotus continues negotiations with other North American utilities, the future of uranium mining in Malawi looks increasingly bright.
With production set to resume in just a few months, the Kayelekera Mine is poised to reclaim its status as one of Africa’s leading uranium producers, solidifying Malawi’s place on the global mining map. This development not only boosts the country’s economic prospects but also underscores its growing role in the global energy transition.
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