~US$140M Credit Facility Secured for the Minim Martap Bauxite Project

Canyon Resources' subsidiary, Camalco Cameroon SA, secured a XAF 82 billion (~US$140M) syndicated credit facility from AFG Bank Cameroon to fund infrastructure development for its Minim Martap Bauxite Project. This credit facility, combined with AU$24.5 million from Eagle Eye Asset Holdings exercising options, will support Stage One operations, with Canyon anticipating drawdown in Q3 2025 and aiming for first bauxite shipment in the first half of 2026. The financing marks a significant milestone for the project, enabling the acquisition of locomotives, wagons, and the development of rail and port facilities.

Analysis

Canyon Resources Limited (ASX: CAY) has achieved a significant financial milestone by securing a XAF 82 billion (~US$140 million) medium-term syndicated credit facility for its wholly-owned subsidiary, Camalco Cameroon SA, from AFG Bank Cameroon. This debt, combined with a planned AU$24.5 million injection from major shareholder Eagle Eye Asset Holdings through option exercises, fully funds Stage One operations of the flagship Minim Martap Bauxite Project. The proceeds are designated for crucial infrastructure, including locomotives, wagons, and the development of rail and port facilities. Key terms of the credit facility include a fixed 8.00% per annum interest rate (plus VAT) and an 8-year repayment term commencing from the first drawdown, anticipated in Q3 2025. This financing builds upon recent progress, including obtaining the Mining Licence in September 2024 and securing essential land for port and rail infrastructure. Canyon Resources is now advancing towards a Final Investment Decision and the completion of its Definitive Feasibility Study, with a target for the first shipment of bauxite in the first half of 2026. The partnership with AFG Bank CM, a prominent Cameroonian bank, and the successful capital raise signal strong project endorsement and substantially de-risk Canyon's path to becoming a bauxite producer.

Key Decisions for Investors

• Acknowledge the significantly reduced funding risk for Canyon Resources' Minim Martap Stage One operations due to the secured ~US$140M credit facility and AU$24.5M equity injection.
• Monitor progress towards the Final Investment Decision and Definitive Feasibility Study completion, as these are critical near-term catalysts for further project validation and refined economic projections.
• Factor the Q3 2025 drawdown and H1 2026 first shipment targets into investment timelines, while remaining cognizant of project execution risks associated with developing a large-scale mining operation in Cameroon.
• Evaluate Canyon Resources' strengthened financial position and accelerated development trajectory, supported by strongly positive sentiment, when assessing current or potential investment positions.