Canyon Resources Announces Major Milestones for Bauxite Project
Strategic Advancements at Canyon Resources Limited
Highlights
- Canyon Resources Limited secures credit facility of approximately US$140M, enabling significant project developments.
- Production at the flagship Minim Martap Bauxite Project is set to commence in early 2026, with first shipments anticipated.
- Order placed for 22 locomotives from CRRC Ziyang Co. Ltd, with initial deliveries planned for early 2026.
- Groundbreaking for the Inland Rail Facility (IRF) is projected for July 2025.
- Road construction upgrades are set to commence in July 2025, enhancing logistics for bauxite transport.
- Key contractors for mining and ore haulage are prepared to mobilize to Minim Martap by the end of 2025.
- The remaining options held by Eagle Eye Asset Holdings are expected to be converted soon.
- New resource estimates for Minim Martap will be available by mid-2025.
In a significant move for the processing of bauxite, Canyon Resources Limited (ASX: CAY) has announced advancements in its flagship project, the Minim Martap Bauxite Project. Strong financial backing, alongside the execution of contracts crucial to the project's progress, are in place as the company gears up for operations slated for early 2026. With the recent formation of strategic partnerships and agreements, Canyon is well-positioned to enhance its infrastructure and operational capabilities.
The company has secured a medium-term syndicated credit facility, valued at approximately US$140 million, from AFG Bank Cameroon. This funds the acquisition of long-lead items and allows for the acceleration of site preparations and infrastructure development necessary for production, which is projected to begin in the first quarter of 2026.
Part of the essential equipment ordered includes 22 new locomotives from CRRC Ziyang Co. Ltd, with the first set expected to be delivered in early 2026, aligning perfectly with the planned shipments of bauxite.
Canyon's proactive approach also includes the appointment of a leading contractor for the crucial upgrades to the haulage road, set to start in July 2025. This enhances the logistics required to transport bauxite from the Minim Martap site to the Port where it will be shipped to customers.
Mr. Mark Hohnen, Executive Chairman, expressed his enthusiasm: “Our early achievements signal a commitment to fast-track the Minim Martap Bauxite Project towards production. The cooperative efforts of our dedicated team and the support from Eagle Eye Asset Holdings have been crucial to our progress.”
Groundbreaking for the Inland Rail Facility is also on the horizon, scheduled for July. This facility will serve as a loading point for bauxite, ultimately promising to secure a steady supply chain crucial for efficient operations.
Canyon Resources eagerly anticipates the upcoming updates on its Mineral Resource and Reserve Estimates, expected to be shared within the market as early as mid-2025. The company regards these updates as pivotal in showcasing its significant potential and ensuring stakeholder confidence.
As Canyon continues to make strides in developing the Minim Martap Bauxite Project, the overall goal remains focused on supplying high-quality bauxite ore to meet a growing market demand. The commitment to maintaining momentum ensures that Canyon Resources not only meets but exceeds expectations as it establishes itself as an essential contributor to the bauxite supply chain.
For further inquiries, Canyon Resources Limited provides direct contacts as follows:
- Jean-Sebastien Boutet - Chief Executive Officer (T +61 8 6385 2263)
- Cameron Gilenko - Investor Relations & Media (T +61 6160 4909)
- Email: info@canyonresources.com.au
- Email: cameron.gilenko@sodali.com
Frequently Asked Questions
What is Canyon Resources Limited known for?
Canyon Resources Limited is recognized as a leading developer in the bauxite industry, particularly focusing on the Minim Martap Bauxite Project.
When is production expected to begin at the Minim Martap project?
Production is anticipated to start in early 2026, with initial shipments scheduled for the first half of that year.
Who are the key stakeholders involved in funding the project?
The project is primarily funded through a US$140 million credit facility from AFG Bank Cameroon and additional support from Eagle Eye Asset Holdings.
What significant contracts have been awarded recently?
Contracts for road construction, ore haulage, and mining have been awarded to ensure a smooth process for the project's development.
How is Canyon Resources preparing for efficient transport of bauxite?
They are investing in critical infrastructure, including an Inland Rail Facility and upgraded haulage roads to streamline operations.
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