Australian miner Canyon Resources has confirmed positive economics in a definitive feasibility study (DFS) for the Minim Martap bauxite project, in Cameroon, with early works already having started in July.

The DFS confirms a Stage 1 capital expenditure requirement of $96-million, a pre-tax net present value of $835-million and a pre-tax internal rate of return of 29%.

The company plans to produce first ore during the first quarter of next year, with its first bauxite shipment expected during the first half of the year.

Stage 1 development of the project will involve production capacity of 1.2-million tonnes a year, which could expand to 2.1-million tonnes a year with an additional $63-million of capital investment during the second year of operation.

A further $187-million by year five can take production to 6.5-million tonnes a year before peaking at 10-million tonnes a year by year seven of operations and following an additional $101-million investment. 

Pending mine plans being completed for the Makan and Ngoundal deposits, the overall project lifespan can be increased beyond 20 years.

Minim Martap currently has ore reserves or 144-million tonnes grading 51.2% aluminium oxide and 1.7% silicon dioxide.

Notably, Canyon explains Minim Martap’s production will be ramped up accordingly with the PQ2 rail upgrade initiative in Cameroon, which will see existing rail capacity being upgraded.

The company has a 9.1% stake in Cameroon’s rail network operator Camrail, which will ensure the strategic implementation of the PQ2 works.

The World Bank has committed $818-million to upgrade the rail corridor under the PQ2 funding programme, with Camrail being on track to complete this work in 2030.

Moreover, access to existing port infrastructure at Port du Bois supports Minim Martap’s low capital cost development strategy.

Canyon has signed contracts for mining, ore haulage and road upgrades, with first mining equipment scheduled to arrive on site in the first quarter of 2026.

“The compelling DFS outcome and ore reserves upgrade adds to the significant momentum Canyon has achieved at Minim Martap. We have a world-class bauxite project on any measure, with scale, a quality resource and a highly supportive jurisdiction backing the project,” says Canyon CEO Peter Secker.

He adds that the staged approach to the project’s development, coupled with an efficient planned mining process and $140-million of debt financing in place, makes Minim Martap a compelling opportunity for investors.