Canyon Resources’ subsidiary, Camalco Cameroon, is acquiring a 9.1% stake in Camrail, which includes a 3.8% stake from SEBC and a 5.3% stake from TotalEnergies. The total investment amounts to approximately A$3.4 million, enhancing logistics for the Minim Martap bauxite mine. The acquisition is pending approval from Total Cameroon.
Canyon Resources’ subsidiary, Camalco Cameroon, has received the necessary approval to acquire a 9.1% stake in the railway transportation company Camrail. This purchase includes a 3.8% stake previously acquired from Société d’Exploitation des Bois du Cameroun in February, alongside a 5.3% stake to be acquired from TotalEnergies by the end of March.
The acquisitions are valued at approximately A$1.4 million and A$2 million, respectively. Upon completion, Camalco Cameroon will gain a position on the Camrail board, enhancing its strategic influence. Canyon Resources emphasizes that this investment will mitigate risk while optimizing logistics for the Minim Martap bauxite mine, located in northern Cameroon.
Jean-Sebastien Boutet, the CEO of Canyon Resources, remarked on the Minim Martap project, asserting it possesses characteristics indicative of a long-term, low-cost operation capable of delivering a high-quality product to a growing market.
The acquisition from TotalEnergies remains contingent upon internal approval by Total Cameroon’s apex committee, which must finalize the transaction before its completion.
In summary, Camalco Cameroon, a subsidiary of Canyon Resources, is set to acquire a 9.1% stake in Camrail, reinforcing its logistics strategy for the Minim Martap bauxite mine. The total investment of approximately A$3.4 million positions Camalco Cameroon strategically within Camrail’s board. This acquisition is crucial for optimizing the logistical framework supporting the bauxite project, which is characterized as a high-potential long-term operation.
Original Source: energycapitalpower.com
