ASX-listed Canyon Resources has reported that a surface miner has now been mobilised to site at its Minim Martap bauxite project, in Cameroon, with mining operations scheduled to begin before the end of March.

The company is targeting first bauxite production early in the second quarter, marking a key milestone in the transition from development to operations.

Meanwhile, Canyon has pointed out that, at an extraordinary general meeting held on March 9, shareholders did not approve of a second tranche private placement of shares to  Afriland Bourse & Investissement for A$70-million, as well as a placement of A$100-million to Eagle Eye Asset Holdings (EEA).

Notwithstanding this outcome, Canyon says Stage 1 of the Minim Martap development remains fully funded through the about $95-million undrawn portion of the company’s $140-million credit facility with AFG Bank Cameroon, along with the company’s current unaudited cash position of about $43-million as at February 28.

The company explains that updated financial cash flow modelling confirms that the company’s current cash position and the undrawn balance of the AFG Bank Cameroon debt facility is sufficient to meet the company’s capital expenditure requirements through to first shipment, as outlined in the definitive feasibility study dated September 1, 2025, with no additional funding required from Afriland or EEA.

Based on the current development schedule, the company says it remains on track to achieve its first ore shipment in the third quarter of this year.

“The mobilisation of the surface miner represents an important step as Minim Martap moves rapidly towards production and with mining set to commence shortly and financing confirmed through to first shipment, the company remains on track to deliver its first bauxite shipment in the third quarter of this year.

“At the same time, we continue to advance logistics, offtake discussions and our downstream feasibility study to maximise the long-term value of this Tier 1, globally significant, high-grade bauxite project,” says Canyon CEO Peter Secker.

In parallel with mining preparations, logistics arrangements continue to progress.

Canyon says discussions with locomotive fabricator CRRC Ziyang Co remain ongoing, with current forecasts indicating that the first locomotives are expected to arrive at the Port of Douala during the second quarter of this year.

The company says this timeline is expected to support the start of ore transport from the Inland Rail Facility to port ahead of the first shipment planned for the third quarter of this year.

The company is also continuing its discussions with Camrail regarding a potential increase in its equity interest in Camrail above the current 9.1% holding.

The proposed increase in this strategic investment would enable greater involvement in the PQ2 upgrade, thereby derisking the company’s mine-to-port logistics.

Canyon notes that funding associated with this potential increase has been incorporated into the company’s updated cash flow modelling.

Offtake discussions with a number of potential partners are, meanwhile, also progressing positively.

The company says it intends to finalise offtake agreements following the completion of initial bauxite shipments, which will enable customers to confirm the high-grade characteristics of Minim Martap ore reserve, including about 51% alumina and about 2% silica.