• Shareholders rejected a A$170 million equity placementinvolving Afriland Bourse & Investissement and Eagle Eye Asset Holdings.
• Canyon Resources secured funding for Phase 1 of the Minim Martap bauxite project through cash reserves and an undrawn bank facility.
• The company still targets first bauxite shipment in the third quarter of 2026.

The Canyon Resources bauxite project at Minim Martap in Cameroon has encountered a setback in its financing plan after shareholders rejected part of a proposed capital raising.

The Australian mining company said in an update published on March 11, 2026 that “during the extraordinary general meeting of the company held on March 9, 2026, tranche 2 of the company’s placement was not approved by shareholders.” The rejected tranche included an equity raise of about A$70 million (around CFA27.6 billion) intended for Afriland Bourse & Investissement, as well as a A$100 million placement (around CFA39.5 billion) for Eagle Eye Asset Holdings.

As a result, the negative vote currently blocks the part of the transaction designed to open the company’s capital to the two investors. However, Canyon Resources said the decision does not affect the continuation of the project’s initial development phase. In the same document, the company stated that “notwithstanding this outcome, Phase 1 of the Minim Martap development remains fully funded.”

The company said it secured the funding through an undrawn balance of about $95 millionfrom a $140 million credit facilityprovided by AFG Bank Cameroon, combined with unaudited cash of about $43 million as of February 28, 2026.

Moreover, Canyon said updated cash-flow projections confirm that current liquidity and the remaining bank debt should cover investment needs until the first shipment. Therefore, the company said it does not require additional financing from Afriland or Eagle Eye at this stage. On that basis, the company said it remains on track to target the first ore shipment in the third quarter of 2026.

Operational Timeline Mining Schedule Maintained

Canyon also maintained its industrial timeline for the project. The company said it has already delivered the surface mining equipment to the site. It added that mining operations should start before the end of March, while the project targets first bauxite production in early second quarter 2026.

The group added that current cash resources, combined with the bank financing from AFG Bank Cameroon, should cover Phase 1 capital expenditure requirements until the first shipments. Chief Executive Peter Seckerhighlighted the project’s operational momentum. “The mobilisation of the surface miner represents an important milestone as Minim Martap rapidly approaches production,” he said in the statement. He added that the start of mining operations should occur shortly and that secured funding until the first shipment keeps the group on track for a first cargo in the third quarter of 2026.

Meanwhile, logistical preparations continue. Canyon said discussions with rail equipment manufacturer CRRC remain ongoing. The company expects the first locomotives to arrive at the Port of Douala between mid- and late second quarter 2026. The locomotives should transport ore from the inland rail facility to the port ahead of the first shipments.

The company also said it continues discussions with Camrailregarding a potential increase in its participation beyond 9.1%, an option that the company has already included in its updated cash-flow projections. Canyon said commercial discussions with potential customers are progressing. The company said it plans to finalize offtake agreements after the first shipments of bauxite so customers can verify the characteristics of the Minim Martap ore. Canyon described the ore as containing about 51% alumina and around 2% silica.

More broadly, the company said its flagship project in Cameroon contains more than 1.1 billion tonnes of bauxite resources, including 144 million tonnes of ore reserves grading 51.2% Al₂O₃ and 1.7% SiO₂.

Following the shareholder setback, attention now shifts from financing to execution. Market observers will likely focus less on the shareholder dispute and more on Canyon’s ability to meet its upcoming operational and logistical milestones.

In the short term, the project’s credibility will depend on tangible markers such as the effective launch of mining operations, the reliability of the transport chain, and the conversion of commercial discussions into firm commitments. These operational milestones, rather than the composition of the shareholder base, will determine the near-term strength of the Minim Martap project.

Baudouin Enama (Investir au Cameroun)