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AFRIcA DoWn UnDeR PReVIeW

All aboard the Minim Martap train

he Minim Martap bauxite project has Guinea, to the west of Cameroon, is
Ttaken on mythical status for many the poster child for bauxite mining in Af-
Cameroonians, having failed to ever ma- rica. However, a mixture of high grades
terialise and meet expectations. and existing infrastructure has Canyon
Canyon Resources Ltd, the latest cap- hopeful that Minim Martap can meet ex-
tain of the project’s venture towards pro- pectations and deliver on its longstand-
duction, speaks highly of the opportuni- ing reputation for potential.
ties at play. One of the obvious key steps on the
Canyon’s recent PFS supports produc- pathway to development is a 750km rail
tion of 4.9 mtpa at Minim Martap after an line that runs from the site to Douala port,
estimated construction cost of $US108.3 which the company plans to haul 5mt
million. Payback would follow within 3.9 across each year for export.
years of first production, based on C1 “The challenge then is just managing
costs of $US36.10/t. The project is set the scheduling…the art of train schedul-
to deliver an IRR of 41% and $US962.9 ing,” Gallagher explained. Phil Gallagher (left) on site in Cameroon
million in free cash flow over the 20-year Canyon has appointed André Henry
mine life. as its resident artist for that job as direc- director for GAC.”
Proposed production at Minim Mar- tor of port and rail. Henry first worked on Combined with the infrastructure and
tap is supported by a recently updated the rail line in the 1990s which led him personnel, Minim Martap has one of the
reserve of 99.1mt @ 51.6% alumina and to meeting his current wife who he lives highest grades of bauxite in the world. To
2.4% silica, all in the proven category. with in Cameroon today. Gallagher, these ingredients create the
Now the dream is looking like a real- “He’s invaluable,” Gallagher said. “He round-closing uppercut for the Cameroo-
ity for many of those Cameroonians who knows this rail line as well as anyone. He nian underdog.
have patiently waited, including former just delivered a rail line sharing agree- “Guinea is similar to us,” he explained.
Prime Minister Philémon Yang. ment between [Compagnie des Bauxites “[Their bauxite] used to have grades like
“Yang said to me ‘I learned about this de Guinée SA] and [Guinea Aluminium us, but now they’ve mined most of the
project when I was a child, we all heard Corp] (GAC). 50% stuff. They’re now down in the high-
about Minim Martap’,” Canyon Resourc- “He understands all about scheduling, 40s. That’s our competitive advantage.”
es managing director Phil Gallagher told multiusers, the different sorts of trains Another advantage, for Canyon and
Paydirt. and how to transport the bauxite…so, Minim Martap, ironically comes from the
“That’s something that we just hear he’s been an enormous addition. rest of the world’s dependency on Guin-
everywhere we go. The Cameroonians “We also appointed Rick Smith as our ea.
are desperate for this to happen.” country manager, who was the project According to Gallagher, 50% of China’s
consumption of bauxite this year is going
to come from Guinea, which leaves the
Cameroon connection open for a pass.
“If something was to happen to Guin-
ea…we’re the only other commercial
scale deposit of that grade with low sil-
ica,” he said.
Before production can happen, Can-
yon is focused on completing a DFS and
inking government agreements.
“The Government has shown their
positive intent and they’re working with
us,” Gallagher said.
“The Governor of the region has been
nothing but supportive. They’re all excit-
ed, they all want to see the project hap-
pen. The challenge now is just the logis-
tics, getting it down to the port at the right
price. There’s going to be regular news
flow on how we’re advancing all of this.”
In the meantime, forging relationships
for potential offtake is clear to the com-
pany.
“Chinese offtake is an obvious cus-
tomer for us,” Gallagher said. “China
Harbour and Engineering Corp, who we
Canyon will look to take advantage of the longstanding rail system to Douala port talk to regularly, built the port.”
as part of its development plan for Minim Martap
– Fraser Palamara

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