Name of the Project
Minim Martap bauxite project.

Location
Central Cameroon.

Project Owner/s
ASX-listed exploration and development company Canyon Resources.

Project Description
A bankable feasibility study has confirmed it as a robust long-term project with an updated proven ore reserve of 108.91-million tonnes grading 51.1% total aluminium oxide and 2% total silica oxide. The project is expected to produce up to 6.4-million tonnes of high-grade bauxite a year over 20 years.

The low-strength ore and near-surface nature of the bauxite deposits support a conventional free-dig mining operation using surface mining, with no drill and blasting required.

The bauxite recovered from the surface mining process does not require any additional processing. The surface miner crushes the ore to the required size as part of the mining process, after which the ore is exported.

The 20-year mining schedule represents only 10.6% of the current project resource, and technical studies have identified opportunities for a significant future increase in production tonnages.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $452-million and an internal rate of return of 22%, with a payback of 4.1 years.

Capital Expenditure
Capital expenditure is estimated at $253.09-million, which includes the capital cost of the initial fleet of company-acquired rail rolling stock. The project will be funded through a combination of equity and debt financing.

Planned Start/End Date
The development strategy is aimed at accelerating production through a phased ramp-up to allow for the first bauxite shipment in 2026.

Latest Developments
Canyon is rapidly advancing the project towards production through an extensive work programme. This includes targeting the acquisition of existing port facilities, and port and rail access agreements, both set to be finalised in the second quarter.

A Joint Ore Reserves Committee-compliant mineral resource estimate is set to be updated in the third quarter.

Mining permits for the Makan and Ngaoundal bauxite deposits will be obtained in the second half of the year and offtake discussions will also be finalised then.

The DFS is set to be finalised in the third quarter, with finance discussions to be initiated by the end of the year.

The first bauxite shipment is slated for next year.

Key Contracts, Suppliers and Consultants
Resolve Mining Solutions (mineral reserve estimate).

Contact Details for Project Information
Canyon Resources, tel +61 8 6382 3342 or email info@canyonresources.com.au.