Port Access Approval Received as Last Key Item for FID at Minim Martap Bauxite Project
Canyon Resources Limited, recently announced that its wholly owned in-country subsidiary, Camalco Cameroon SA (‘Camalco’), has received approval from the Port Authority of Douala (‘Port Access Agreement’ or ‘the Agreement’) to secure access to the Land at the Port of Douala.
The proposed storage area covers 65,000 m2 and allows Canyon to efficiently transport and store up to 6 million tonnes per annum (Mtpa) of bauxite ore, with design work currently being developed to expand production in phases up to 10 Mtpa. The availability of existing railway tracks and quay within the Terminal not only facilitates and expedites Camalco in achieving its target of first shipment by 1H 2026, but it also reduces the Minim Martap Bauxite Project’s (‘Minim Martap’ or ‘the Project’) start-up capex due to the significant amount of infrastructure already available at the port. In addition, the location of this Port area is in close proximity to the existing Rolling Stock Repair Workshop of Camaril, which will be shared by Camalco, leading to further savings in Project start up capex.
This is the final infrastructure agreement required for the development of Minim Martap, with rail access in place following the recently completed strategic 9.1% investment in CAMRAIL S.A (‘Camrail’) and approval of its Inland Rail Facility. Importantly, these achievements significantly derisk the Company’s mine-to-port logistics strategy, with the key Definitive Feasibility Study (‘DFS’) progressing as planned and on track for completion in Q3 2025. The DFS is assessing the implementation of the two-stage development aimed at accelerating production through a phased ramp-up approach, which would see Minim Martap make its first shipment of bauxite in the 1H 2026.
Securing access to the port area is the final condition precedent for Canyon’s major and long-term shareholder Eagle Eye Asset Holdings Pte Ltd (‘EEA’) to exercise its 500 million options, which are priced at $0.07. These options were approved by shareholders at the Company’s AGM held on 29 November 2023, following the completion of a strategic investment of $24.7 million by EEA in December 2023. Canyon expects EEA to exercise these options in May.
Mr Mark Hohnen, Canyon Executive Chairman, commented: “Securing access to efficient and reliable export infrastructure is a significant milestone for Canyon and a major step forward in the development of our world-class Minim Martap Bauxite Project. With strategically located port facilities, Canyon now has a clear pathway to seamlessly transport high-quality bauxite ore from mine to market.
“Access to the port provides a strong foundation for the Company to advance its two-stage development strategy, with the first bauxite shipment from Minim Martap planned to be completed in first half of 2026. The rapid succession of these achievements reflects the Company’s commitment to accelerating the Project’s construction, as Canyon continues to advance its Definitive Feasibility Study and works towards making a Final Investment Decision.
“Importantly, these established transport networks will play a critical role in transporting Minim Martap’s bauxite ore from mine to port. Canyon’s equity stake in these infrastructure networks provides security and scalability in our path to production, with strong support from the Government of Cameroon, as well as key stakeholders from the region. As Canyon moves closer to production, the Company is well-positioned to meet increasing global demand and solidify Canyon’s role as a key player in the bauxite industry.”
