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ADU PReVIeW

Switching on the lights in Cameroon

he release of a BFS for Canyon Re- The positive BFS forecast a pre-tax NPV disruptions sprouting from Russia’s inva-
Tsources Ltd’s Minim Martap bauxite of $US452 million, IRR of 22%, a 20-year sion of Ukraine. Since the conflict began,
project signals not only a crucial moment mine life and payback within 4.1 years. the Cameroon Government has spent up
for the company but also for Cameroon Minim Martap will produce up to 6.4 mtpa to $US500 million in subsidies, historically
which has long lacked a formidable mining bauxite @ 51.5% total alumina, a 28% in- buying more than half of its gasoline from
industry. crease in production volume from the PFS. Russia.
It contrasts with the neighbouring Gabon Historical hurdles for Cameroon’s mining Meanwhile in the country’s south, the
and DRC which have grown their own suc- have included deficient skills, infrastructure Mekin hydroelectric power station – which
cess in mining, as well as the abundance and energy supply. has faced several hurdles and delays –
of bauxite and iron ore in Cameroon’s Canyon chief executive Jean-Sebastien partially restarted operations in July and
grounds which has laid dormant for years. Boutet, who joined the company in Janu- could reach full capacity later this year. It
Bauxite is integral for the production ary, is hoping to see an improvement to is currently contributing 11.2MW to Cam-
of aluminium in a range of products from Cameroon’s energy situation alongside the eroon’s national electricity network.
manufactured goods like cans, to electron- construction of Minim Martap. “Cameroon does have a lot of access
ics and even aerospace infrastructure. “There’s a lot of large aluminium com- to hydro and they’re building additional
Global bauxite output grew 1.2% in 2020 panies, now that the BFS is out, realising capacity with hydro dams,” Boutet said. “I
to 359mt and could reach up to 406.7mt there is a huge potential in Cameroon to hope for an energy solution to be devel-
by 2025. The sector’s demand continues become a key leader in the future for high- oped because that would put Canyon and
to be driven by stimulated economies and grade bauxite,” Boutet told Paydirt. Minim Martap right to the top.”
goods consumption following the onset of “If Cameroon can unlock an economical Boutet’s experience in bauxite includes
the COVID-19 pandemic. energy solution, then [alumina production] serving on the board of Compagnie des
Canyon plans to be a producer by ship- in Cameroon is a possibility mid-to-long Bauxites de Guinée which has extracted
ping product through the Port of Douala, term. It’s all about the energy and econom- bauxite resources from Guinea since the
travelling by rail. Minim Martap has a ics.” 1960s.
108.91mt @ 51.1 aluminium oxide reserve Like other countries this year, Cameroon “Cameroon is actually very similar to
and 1,027mt @ 45.3% resource. has faced fuel pains due to supply chain Guinea is some ways,” he said. “But the

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