Canyon Resources (ASX:CAY) used a company presentation focused on its Minim Martap bauxite project in Cameroon to outline its development progress, financing position, and timeline toward first full-scale shipments. Speaking at the event, CFO Kudzai described Minim Martap as a “globally significant, high-grade bauxite asset” and said the company is positioned to become the ASX’s next major bauxite producer in 2026.
Project overview and timeline to shipments
Minim Martap is described as a high-grade, low-silica bauxite project in Cameroon currently under development. The company said “full-scale shipments” are scheduled for the fourth quarter of 2026. Kudzai also stated that a surface miner for the start of production is already in Cameroon, with mining expected to commence “later this quarter.”
Resource size, reserves, and expected pricing premium
Canyon said Minim Martap has a JORC resource of 1.1 billion tonnes, including an ore reserve of 144 million tonnes grading 51% alumina and 1.7% silica. Kudzai said the company believes this quality will command a premium of “greater than $11 per tonne” over the GBEX (which he described as the Guinea bauxite price).
The presentation also provided detail on project scale. Canyon said Minim Martap comprises 28 plateaus within the broader resource, with three plateaus included in the 144 million tonne ore reserve. One example cited was the Danielle Plateau, presented as illustrative of scale and quality.
Development milestones and infrastructure de-risking
Kudzai said Canyon has spent the past 24 months “systematically” removing development risk and listed a series of steps completed:
- Mining convention secured
- Mining license granted
- Definitive feasibility study completed (released in 2025)
- Inland rail facilities and port facilities secured
- Debt and equity funding put in place
He also highlighted planned rail upgrades in Cameroon, stating that the World Bank has committed over $800 million for upgrades to the existing railway line, to be conducted by a private rail operator called Camrail. Canyon has acquired a 9.1% stake in Camrail and said it is looking to increase that stake to 35% in the future, which it views as a further de-risking step to align upgrade works with the company’s schedule.
On the mining and transport route, Canyon described a “simple pathway from resource to revenue” using surface miners supported by loaders and trucks. Material would be hauled about 42 kilometers to rail, transported roughly 800 kilometers to port along the existing line, rehandled at port, then transshipped about 35 kilometers out to sea for loading onto Capesize vessels. Rehabilitation was described as “simple and progressive,” with waste backfilled into voids left by surface miners.
Economics, funding, and capital structure
The company’s 2025 definitive feasibility study (DFS) was cited as supporting “robust economics,” including an NPV of $835 million and an IRR of 29%. Additional metrics provided during the presentation included:
- Stage 1 capex to first shipment: under $100 million
- C1 cash costs: $35 per wet metric tonne
- Free cash flow at 10 million tonnes per annum throughput: $174 million per year
- Long-term pricing assumption used: $78 per tonne dry metric tonne
On financing, Kudzai said a $140 million debt facility is in place to fund development beyond initial production, and that a $215 million equity raise has been completed to fast-track later stages of development. He also said the project is “fully funded beyond stage one.”
Canyon also discussed its shareholder base, noting that strategic investor Eagle Eye increased its holdings to 56% through on-market purchases and participation in equity raising. The company described Eagle Eye as having mining experience across multiple countries, working relationships with governments and regulators, and development-focused capital.
Market rationale, jurisdiction, ESG, and longer-term strategy
Addressing “why now,” Kudzai said global bauxite demand is forecast to grow at greater than 3.5% compound annual growth over the next decade. He also said refineries are seeking alternative supply outside Guinea, which he characterized as a significant portion of current supply, and positioned Minim Martap as offering premium grade, scale, and integrated logistics in what he called a stable jurisdiction.
On Cameroon, he cited political stability and “strong government continuity” following the re-election of President Paul Biya. He said the government is supportive and characterized Minim Martap as the most advanced mining project in the country and a “flagship project” for Cameroon.
On ESG, Canyon said the environmental and social impact assessment (ESIA) was completed to IFC and World Bank standards. The company also cited an annual rehabilitation contribution expected to exceed XAF 7 billion per year, and said the workforce is expected to be 97% Cameroonian. Canyon added that it is committed to local infrastructure upgrades and social development initiatives.
Finally, Canyon outlined a staged ramp-up plan beginning at 1 million tonnes per annum and increasing to 10 million tonnes per annum. It also said it is completing an alumina refinery feasibility study expected in the third quarter of 2026 as part of a downstream value-add strategy aimed at positioning the company within the global aluminum value chain.
In closing, Kudzai reiterated that Minim Martap is intended to be a “production story,” emphasizing the project’s size, grade, low impurities, low capex to first shipment, and planned production schedule leading to full-scale shipments in late 2026.
About Canyon Resources (ASX:CAY)
Canyon Resources Limited, together with its subsidiaries, engages in the development and exploration of bauxite properties in West Africa. Its flagship property is the 100% owned Minim Martap Bauxite project located in central Cameroon. The company was formerly known as Castlemaine Resources Limited and changed its name to Canyon Resources Limited in March 2010. Canyon Resources Limited was incorporated in 2009 and is based in West Perth, Australia.
