A devastating fire at one of West Africa’s biggest mineral sands operations has forced French mining giant Eramet to slash production forecasts by more than half, exposing fresh cracks in global critical mineral supply chains.

Three months after flames tore through key facilities at its Grande Côte Operations in Senegal, Eramet says production has only partially resumed and remains stuck at roughly 30% of normal capacity.

The company now expects heavy mineral concentrate output of between 300,000 and 400,000 metric tons in 2026, a dramatic drop from the roughly 900,000 tons initially expected before the February fire. Full recovery is not expected until the first quarter of 2027.

Eramet’s operations produce zircon, ilmenite, rutile and leucoxene, industrial minerals essential to sectors ranging from ceramics and paints to aerospace manufacturing and titanium production.

These materials also play a growing role in clean energy technologies and advanced industrial supply chains.

The fire struck Eramet’s Wet Concentration Plant (WCP) at its Grande Côte site on February 22, forcing a major operational shutdown at one of the world’s important mineral sands projects. Grande Côte, located along Senegal’s Atlantic coast, is considered one of the country’s most strategically important mining assets and a major source of export revenue.

Eramet said temporary production solutions introduced after the fire now allow limited operations through its Supplementary Dry Mining Unit. The company hopes to gradually rebuild heavy mineral concentrate inventories before restarting intermittent operations at its Mineral Separation Plant later this summer. Commercial shipments are expected to resume afterwards.

Still, the company admitted the incident would continue to weigh on earnings despite mitigation efforts introduced since the fire. Its shares fell roughly 1.5% in early trading on Wednesday, extending the stock’s year-to-date decline to more than 5%.

Zircon is heavily used in ceramics, tiles and foundry products, while ilmenite and rutile are critical feedstocks for titanium dioxide, a material widely used in paints, plastics, paper and aerospace components.

Titanium-related minerals have also become strategically important amid rising defence spending and global efforts to secure industrial supply chains outside dominant producers.

Eramet has begun reconstruction work on damaged facilities but has yet to disclose the expected capital expenditure or insurance compensation tied to the disaster. Force majeure provisions affecting customer and supplier contracts also remain active.

The company said reconstruction efforts are being carried out in coordination with Senegalese authorities to reduce the socio-economic impact of the slowdown on surrounding communities.

“The partial restart of our operations in Senegal is very positive news for the Group, for our customers and for all our stakeholders,” said Charles Nouel, Eramet’s chief operating officer. He added that the company remained focused on restoring full production capacity by early 2027.