Canyon Resources, via its subsidiary Camalco Cameroon, will acquire a 9.1% stake in Camrail, enhancing strategic logistics for the Minim Martap bauxite mine. The investment includes a 3.8% stake from SEBC and a 5.3% stake from TotalEnergies, totaling A$3.4 million. This acquisition is pending approval from Total Cameroon.
Canyon Resources, through its subsidiary Camalco Cameroon, has received authorization to acquire a 9.1% stake in Camrail, a railway transportation company. This acquisition comprises a 3.8% stake obtained last February from Société d’Exploitation des Bois du Cameroun (SEBC) and a 5.3% stake from energy firm TotalEnergies, expected to finalize by the end of March.
The total investment involves around A$1.4 million for the stake from SEBC and A$2 million for the stake from TotalEnergies. Following these acquisitions, Camalco Cameroon will gain representation on the Camrail board. Canyon Resources anticipates that this investment will enhance logistics support for the Minim Martap bauxite mine located in northern Cameroon’s Adamawa Region.
Jean-Sebastien Boutet, CEO of Canyon Resources, emphasized the potential of the Minim Martap project, stating, “Minim Martap is a standout, Tier 1 bauxite project, which Canyon believes has all the required characteristics to become a long-term, low-cost operation, supplying a high-quality product into a growing and constrained market.” The finalization of the TotalEnergies acquisition is contingent upon approval from the apex committee of Total Cameroon, the company’s local subsidiary.
In conclusion, Canyon Resources is set to enhance its operational foothold in Cameroon by acquiring a 9.1% stake in Camrail. This investment is strategically aimed at improving logistics for the Minim Martap bauxite mine, with the acquisitions expected to solidify Camalco Cameroon’s influence on the Camrail board. Canyon Resources views Minim Martap as a significant opportunity in the evolving bauxite market.
Original Source: energycapitalpower.com
