Birsok Project - Bauxite

Canyon has completed a Prime Ministerial committee review process regarding the company's proposal to develop a Direct Shipping Ore (DSO) bauxite mining and export operation. Having received positive feedback regarding the results of that process, the Company continues to await a final approval regarding its proposal from the Government of Cameroon. Company Management has been in Cameroon and continues to meet with senior Government officials to complete this process.

Canyon sees the potential for the Birsok Project to be a material part of Cameroon's emergence as a potential world-class producer of bauxite.

The Birsok Project is located in central Cameroon and is contiguous to the world-class high-grade Minim Martap bauxite deposit. The Project is comprised of two permits over 1,462km2 and is located along raised plateaux similar to the nearby Minim Martap Deposit. The project is highly prospective for high grade, low contaminant, DSO bauxite, and importantly is within 10km of the rail line to the Douala port facility.

 

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Birsok Project Cameroon

Canyon Resources Limited has entered into a binding Joint Venture agreement to acquire up to a 75% interest in the Birsok Bauxite Project in an emerging bauxite province in Cameroon.

About Cameroon

Cameroon is located in Western Central Africa. It is bordered by Nigeria to the west, Chad to the northeast, the Central African Republic to the east, and the Republic of the Congo to the south.

Cameroon is part of the Commonwealth of Nations and is officially bilingual, speaking both English and French. Compared with other African nations, Cameroon is regarded as being both socially and politically stable. This has resulted in the development of infrastructures such as roads, railways and ports as well as industries such as agriculture, oil and gas and mining projects.

About The Birsok Project

The Project is highly prospective for high grade, low contaminant, DSO bauxite and is located near the town of Ngaoundal in central Cameroon. It is comprised of two permits over 1,462km2 and is located along raised plateaux similar to the nearby Minim Martap deposit. Access to Ngaoundal is via a sealed road from the capital Yaounde and then on laterite road to the Project area. The rail line passes within 10km of the Project and travels to the Douala Port facility.

Initial rock chip sampling has confirmed the presence of high-grade gibbsite hosted bauxite and indicated the potential for a premium DSO ore.

The Birsok Project is comprised of two exploration licenses, the Birsok and Mandoum licences, which are strategically located at the heart of the Adamawa bauxite province in central Cameroon. The geology, elevated topography and tropical climate of the Adamawa region make it highly prospective for the formation of large economic bauxite deposits. The existing rail line from Ngaoundere to Douala, via Yaoundé, passes within 5km of the licence area and passes two operational Hydro Electric Power (‘HEP’) stations (Nachitagal with 280MW and d’Edea with 264MW). Further HEP potential is reportedly being developed by Hydromine, with a project at Mouséré, downstream of Lake Mbakaou, which will have an estimated capacity of 300MW. This project aims to support the refining 9Mt of bauxite per year by Cameroon Alumina Limited (CAL); a joint venture between Hindalco Industries Ltd, Dubai Aluminium Co and Hydromine Inc.

The Adamawa Region

This region borders Nigeria to the west and the Central African Republic to the east. It constitutes a plateau ranging from 1,000m to 2,000m elevation with savannah type vegetation and relatively cool tropical climate (22-25°C) with a rainy season between April and August. The regional city of Ngaoundéré (population c.190,000) has strong communication links, being served by the main rail line to Yaoundé, a regional airport and a network of bituminised and laterite roads. The geology of the region is dominated by upper Proterozoic granite, gneissic and metasedimentary belts of Birimian / Eburnean age with Cenozoic volcanics and migmatites.

Bauxite potential of Cameroon

The geology, elevated topography and tropical climate of the Adamawa plateau make it highly prospective for the formation of large economic bauxite deposits. The contiguous Minim-Martap and nearby Ngaoundal deposits are subject to exploration and development by Cameroon Aluminium Ltd (CAL), a joint venture between Hindalco Industries Ltd, Dubai Aluminium Co. and Hydromine Inc. CAL has reportedly identified 14 plateaux with an estimated bauxite resource of 0.5Bt1 occurring at shallow depths of less than 10 metres from surface.