• Genmin completed an equity placement of A$25.7 million ($16.9 million) to advance the Baniaka iron ore project toward a final investment decision.
• The company targets first commercial production by the end of 2026, with initial capacity of 5 million tonnes per year and expansion potential to at least 10 million tonnes.
• A Chinese partner expressed interest in providing up to 60% of the estimated $200 million construction funding.

In a note published on Thursday, December 18, Australian mining company Genmin Limited announced the completion of an equity placement totaling 25.7 million Australian dollars ($16.9 million). The company initially disclosed the transaction in late November. Genmin said the proceeds position the company to accelerate development of its Baniaka iron ore project in Gabon.

Specifically, the company structured the transaction in two tranches. Genmin raised an initial A$1.32 million in November. The company has now secured the second tranche of A$24.4 million after shareholders granted approval earlier this week. Genmin said the financing will support ongoing site work at Baniaka and help advance the project toward a final investment decision.

“Thanks to the successful completion of the second tranche, Genmin now benefits from a very strong financial position, with no debt, strong capitalization, and the backing of a highly committed board and management team. This funding allows us to accelerate the critical work required to advance the Baniaka project toward a final investment decision,” Genmin Executive Chairman Greg Lilleyman said.

Through this initiative, the company aims to meet its previously announced target of achieving commercial production at Baniaka by the end of 2026. According to the 2022 pre-feasibility study, the mine could initially produce 5 million tonnes of iron ore per year, with the potential to scale output to at least 10 million tonnes. In parallel with pre-FID work, Genmin is also seeking to secure construction financing estimated at $200 million.

In this context, the company announced earlier in December that it received a letter of intent from a Chinese partner interested in supporting the project. The partner, Sino-Hunan International Engineering and Development (SHICO), has expressed interest in providing up to 60% of Baniaka’s financing. However, Genmin has not announced any binding agreement and said it continues discussions with other third-party partners.

Completion of the Baniaka project would add a new iron ore operation in Gabon, alongside the Belinga project operated by Fortescue. Under a mining convention signed in March 2025, the Gabonese state is entitled to a 10% free carried interest in the future mine and holds an option to acquire an additional stake of up to 25%.

Aurel Sèdjro Houenou