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The following is from a publication Business in Cameroon, March...

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    The following is from a publication Business in Cameroon, March edition.
    James Durrant“We are building a bauxite minein Cameroon”James Durrant, Head of exploration and exploitation at the Minim Martap andNgaoundal bauxite deposit, which could transform Cameroon into the worldleading bauxite producer, recently visited the country. During the visit, he wasinterviewed by Business in Cameroon, with which he discussed every detail of theproject.On July 11, 2018, Camalco, thesubsidiary of the AustralianJunior Mining Company CanyonResources, was grantedthree exploration licensesfor the Minim Martap andNgaoundal bauxite deposits.What progress have you madeso far on these sites?Camalco secured the tenementsin July 2018 and was granted a3-year exploration license. Theexploration license detailedobligations to progress the Projectthrough exploration andinto engineering. During 2019,Camalco delivered a very largeand high-grade resource upgradeon the Project. This wascompleted within the first yearof the 3 term and was achieveddue to the high quality of workdone by the Camalco localCameroonian technical team onthe project site.Immediately following theresource upgrade the Camalcoteam began the engineeringdesign and development phaseof the Minim Martap Projectdevelopment. Concurrent tothe engineering developmentwe continue to increase ourunderstanding of the resourcethough additional drillingand on-site investigation programmes.These additionalworks will allow us to take theProject status from Resourceto Reserve, the highest level ofdeposit classification.Alongside all of this we havebegun the environmental andsocial assessments, known as14 N° 85 / march 2020INTERVIEWESIA studies, for the project.This is a key component andinitially seeks to understandthe baseline social and environmentalconditions and thenintegrates designs and managementmeasures into the Projectdevelopment planning to minimiseadverse effects and maximisethe benefits of the Projectto the local population of theAdamawa region.The engineering, resource definitionand ESIA activities arenot only essential to the successfuldevelopment of the project,but are obligations underCameroon and internationallaw. Camalco is committed todeveloping the Minim MartapProject in a sustainable mannerthat complies with all laws andobligations, but also providesdevelopment and opportunitiesto local communities.On 17 September 2018,Camalco launched the «lastphase of research» on theMinim Martap-Ngaoundalproject. What does this phaseactually involve?The last phase of research refersto the final stage of drilling andstudies that will allow Camalcoto start construction of theMinim Martap Project.As with all mining projects, itis the resources in the groundthat counts, but it is also vital todesign solutions that allow thebauxite to mined and processedin Cameroon and exported ina profitable and sustainableway that will ensure that MinimMartap Project will be operatingfor many decades in thefuture.Since obtaining the non-renewablelicences, what resultshave exploration worksyielded?Camalco delivered an internationallyrecognised mineralresource upgrade in mid-2019,having had the explorationlicense for only 1 year. This isincredibly quick and we mustthank our employees, the communitiesand the governmentfor their support in allowingus to progress the project andreceive these results. The resultswere very positive and givesCamalco great confidence thatthe Minim Martap Project willbe a successful long-term Projectfor Cameroon.Now that the resource is understood,the engineering, miningand environmental and socialphases take priority. Typicallyengineering includes a series ofdetailed assessments – including,from mining to shipping,from the number of trains to thenumber of people, from operatingsystems to environmentalsupport systems. This is a verylarge work program and onethat the whole team is currentlyfocused on.Camalco is on target to completeall of the studies wellunder the required 3 years timeframe.What challenges have youfaced in the framework of thisproject?The Minim Martap Project resourcehas been demonstratedto be exceptionally high quality,possibly the best quality knownbauxite in the world. The deposit,however, is a long way inlandand critical to the successof the project is working withthe Government and Camrail tosuccessfully design a solutionfor the bauxite to be transportedon the existing rail network.The Camalco team has engageda wide range of internationalexperts to help work out theconcept of operations for therail operations which will bepresented to Camrail in thenear future.The Minim Martap Project islocated a long way from thecoast and the logistics for theProject are the largest challengesfaced by Camalco. Basedon our detailed work completedto date, we are very confidentthat we will have a successfulsolution for the transport andbeneficiation of the bauxite thatwill work for our logistics partnersand the State and peopleof Cameroon.Before your arrival, andafter several years of explorationand negotiations,the American-Indo-Emiraticonsortium, CameroonAlumina (CAL), was unableto conclude an investmentagreement on this miningproject with the State ofCameroon. What are the possiblescenarios at the end ofyour 3-year contract with theState of Cameroon?The current engineering andN° 85 / march 2020 15INTERVIEW“The limiting factor in the region is the capacity of the rail infrastructure”study phase of the project isdesigned to finalise the operationaldetails of the Project andfrom the results of these studiesCamalco will be able to finalisean investment agreement withthe State of Cameroon.The investment case is describedby presenting an engineeringreport called the bankablefeasibility study (BFS). The BFSneeds to show the key outcomesof the studies that comply withCameroon laws and internationalmining conventions. Akey focus of these studies, inaddition to proving the longtermcommercial viability of theProject, is the positive impactsthe Project will bring across allsections of Cameroon societyvia investment, skilled employmentopportunities, rail andtransport corridor upgrades aswell as revenue to the State.60 years after its independence,Cameroon, whichhas a significant miningpotential, still waits forthe construction of its firstindustrial mine; despite thearrival of many junior miners16 N° 85 / march 2020INTERVIEWWe are “very confident about the very high quality of the Minim Martap and Ngaoundal bauxite”like yours. What makes youdifferent from other miningcompanies that come to Cameroon?The mining business is a verydifficult business. It involvesvery large sums of money, longperiods of time and a continuouslychanging investment,competitive and political landscape.Camalco is approaching the developmentof the Minim MartapProject in a staged or phaseddevelopment process to ensurethat we can start operations inas short a timeframe as possibleand then increase the scale ofthe Project over time.We, like the people of Cameroon,are anxious and focussedon having the Project in operationas quickly as possible andthen remaining in operation forthe many decades in the future.Based on several examplesin Africa, and Cameroon inparticular, junior minersare increasingly accused ofapplying for mining licences,just to speculate on disalloweds and not out of realinterest. What is your opinionregarding this claim?We are very confident thatCamalco has demonstratedthrough our work completedon the Minim Martap andNgaoundal Projects over thelast 18 months that we are notspeculating on the Project, weN° 85 / march 2020 17“Camalco has demonstrated through our work completed on the Minim Martap and Ngaoundal Projects over the last 18 months that we are not speculating on theProject”INTERVIEWare building a bauxite mine inCameroon.Camalco has focused onemploying and offering opportunitiesto skilled and talentedCameroonian mining professionalsand we are going to builda long term and successful Projectin this country.Junior mining companies havesometimes, deservedly so, receiveda bad reputation throughoutAfrica. Camalco wouldask to be judged by our actionsover the last 18 months and thesupport and commitment of theCameroonian Camalco teambased on the camp near thetown of Bobodji and the communitysurrounding our operationsin the Adamawa.At Canyon Resources, therehas been much more talk inthe last two years about theMinim Martap and Ngaoundalproject, but very little hasbeen said about the Birsokand Mandoum licenses whichyou fully own since the exitof Altus Strategies in October2018. What are your plans forthese other two bauxite deposits?The Birsok and Mandoumdepositis are minor bauxitedeposits that are located nearto the Minim Martap deposit.The limiting factor in the regionis the capacity of the rail infrastructure.Camalco plans to incorporate18 N° 85 / march 2020INTERVIEW“Camalco is committed to developing the Minim Martap Project in a sustainable manner that complies with all laws and obligations, but also provides developmentand opportunities to local communities”.the Birsok deposit into the longtermmining plan for the Projectand improve the capacityof the rail line by working withCamrail (Cameroon Railways)on staged rail upgrades overtime.Apart from the aforementionedbauxite deposits, all ofwhich are located in the Adamaouaregion, Cameroon hasanother in Fongo Tongo, inthe western region. Is it alsoof some interest to CanyonResources?Camalco is 100% focused ondeveloping the Minim Martapand Ngaoundal deposits inCameroon.Finally, what makes CanyonResources run so much forCameroonian bauxite?The Minim Martap and Ngouandaltogether are a world-classbauxite deposit and the worldis currently looking for highquality bauxite to support thegrowing alumina and aluminiumindustries.We are competing against similarhigh quality bauxite depositsin Guinea Conakry, but Camalcois very confident that thevery high quality of the Minim
 
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