The financing structure of the Minim Martap bauxite project in Cameroon has run into a setback after shareholders of Australian mining company Canyon Resources rejected part of the company’s capital-raising plan.
In a March 11 update, the company said that during an extraordinary general meeting held on March 9, shareholders voted against approving the second tranche of the placement.
According to Canyon Resources, that tranche included an equity raise of about A$70 million (around CFA27.6 billion) from Afriland Bourse & Investissement and a separate placement of A$100 million (about CFA39.5 billion) for Eagle Eye Asset Holdings. The negative vote effectively blocks, for now, the portion of the transaction that would have opened the company’s capital to those two investors.
Despite the setback, Canyon said the initial phase of the Minim Martap project remains fully funded. The company pointed to about $95 million still available from a $140 million credit facility provided by AFG Bank Cameroon, along with roughly $43 million in unaudited cash on hand as of February 28, 2026.
The company said updated cash flow projections show that its current liquidity and the remaining credit facility should cover capital spending through the first shipment of ore, without additional funding from Afriland or Eagle Eye Asset Holdings. Based on that assessment, Canyon said it still expects to ship its first cargo of bauxite in the third quarter of 2026.
Mining Operations Move Ahead
Operationally, Canyon says the project timeline remains unchanged. The company reported that its surface miner has already arrived on site, with mining operations expected to begin before the end of March. Initial bauxite production is targeted for early in the second quarter of 2026.
The company added that its current cash position, combined with the financing secured from AFG Bank, should be enough to cover the capital expenditures required for the first phase of development until the first shipments.
Chief Executive Officer Peter Secker said the arrival of the surface miner marks an important milestone as the Minim Martap project moves closer to production. He said mining activity is expected to start soon and that the secured financing through the first shipment keeps the project on track for an initial cargo in the third quarter of 2026.
Logistics and Commercial Talks Continue
Logistics preparations are also moving forward. Discussions with rail manufacturer CRRC remain ongoing, and the first locomotives are expected to arrive at the port of Douala between mid- and late second quarter of 2026. They will be used to transport bauxite from the inland rail terminal to the port ahead of the first exports.
The company also said it continues discussions with Camrail about potentially increasing its stake beyond the current 9.1%. That option has already been factored into its updated financial projections.
On the commercial front, Canyon said negotiations with potential buyers are progressing. The company expects to finalize offtake agreements after the first shipments, allowing customers to confirm the characteristics of Minim Martap’s ore, which is estimated to contain about 51% alumina and around 2% silica.
More broadly, the company says its flagship project in Cameroon holds more than 1.1 billion tons of bauxite resources, including ore reserves of 144 million tons grading 51.2% Al₂O₃ and 1.7% SiO₂.
For now, the focus is shifting from the shareholder vote to the project’s execution. In the near term, the credibility of Minim Martap will depend less on its financing structure than on its ability to meet operational milestones, including the start of mining, the reliability of the transport chain, and the conversion of commercial discussions into firm contracts.
Baudouin Enama
