Canyon commences mining convention negotiations for Minim Martap project
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Canyon Resources has begun mining convention negotiations with the Ministry of Mines in Cameroon for its Minim Martap Bauxite Project.
It’s a big deal, because once finalised, the Mining Convention will specify all the key terms of the project between the company and the state across all areas – including justification and scope of the project, taxes, state participation in the project, social and environmental obligations, conditions of local employment and other key areas of agreement.
Meetings will commence in the coming days, where the Camalco technical team will present the technical aspects of the project to the Ministry of Mines, the Cameroon State owned mining company, SONAMINES as well as other relevant government ministries.
Canyon Resources (ASX:CAY) expects the negotiations to conclude in early December with a mining convention agreed upon.
“The commencement and finalisation of negotiations for the Mining Convention is an important pre-construction milestone for the Minim Martap project,” Canyon managing director Phillip Gallagher said.
“This is the culmination of the last three years’ work since being granted the project.
“Over this period of time, the Canyon and Camalco teams have achieved an enormous amount, including identifying a JORC compliant 1 billion tonne reserve and a very high grade 100 million tonne proven reserve, along with the completion of the ESIA and logistical studies.”
“Completing a Mining Convention this year would be a great result over what has been a very hard year with global COVID-19 restrictions,” he said.
Alongside the negotiations, final presentations are being made to villagers throughout the project area regarding the outcomes of the completed environmental and social studies for the project.
Canyon’s local subsidiary, Camalco Cameroon S.A. and the Ministry of Environment, Nature Protection and Sustainable Development, are hosting ‘town hall’ style forums in six local villages and cities throughout the project area.
The meetings are being held at Ngaoundere, Tibati, Belabo, Ngaoundal, Minim and Martap and occur daily for five days in each location.
The company says the presentations are an opportunity for people living in the area to ask questions and gain a better understanding of the timing of the commencement of construction of the project and expected impacts on the local communities.
This article was developed in collaboration with Canyon Resources Limited, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.