A reassuring announcement by CANYON. Some interesting highlights ...MY BOLD
Canyon Resources Continues Development at Minim Martap – PFS Delivery on Track Highlights • Canyon has implemented a Coronavirus (COVID-19) management plan for its Head Office and Project Team allowing Canyon to continue with on-site activities. Situation is continually monitored. • All critical PFS activity on-site is able to be completed under current management measures. • All PFS related independent consultant site visits have been completed. • Development activity continues on Minim Martap, with Pre-Feasibility Study on track for delivery 2Q 2020. • PFS is underpinned by Minim Martap’s JORC 2012 mineral resource of 892Mt at 45.1% Al2O3, 2.8% SiO2.
1 • Managing Director Phillip Gallagher and Chief Development Officer Rick Smith have recently completed positive meetings in the Middle East with senior business leaders in the aluminium, alumina and bauxite industry with the aim of advancing discussions in relation to potential future strategic offtake and funding options. Canyon Resources Limited (Canyon or the Company) (ASX: CAY) wishes to advise it has prepared and executed management plans to mitigate the impact of the COVID-19 on its Minim Martap Bauxite Project (Minim Martap) in Cameroon whilst still continuing to work and deliver the targeted milestones for the project. Canyon’s operations are well set up to deliver a Pre-Feasibility Study (PFS) and maiden ore reserve for Minim Martap in the second quarter of 2020. Canyon is continuing to work on the PFS on two fronts: 1. On-site at Minim Martap.
While sensible procedures have been put in place to limit the risk of any of Canyon’s team being affected by the COVID-19, the Company is continuing to work at full capacity and execute its work plan on site at Minim Martap. Canyon’s in-country technical and operational team are all Cameroonian, unaffected by travel restrictions and fully supported by the local community. A specialist doctor visited the Minim Martap camp late last week and advised the on-site team on COVID-19, including preventative measures, modes of transmission, symptoms and management of anyone who may develop symptoms potentially consistent with the virus. 2. Technical consultants working on desktop studies and modelling. Site, port and rail visits conducted by Canyon with its technical advisers concluded in February 2020. As a result all further technical works will be completed by Canyon’s partners at their home bases. Management and further interaction is scheduled to be conducted electronically and without any disruption to the completion timeline. Managing Director Phillip Gallagher said: “We know we are in unprecedented times and that everyone is in some way affected, however, as a business we are in a strong position to continue to deliver on the project whilst protecting our people. This has been the result of careful contingency planning and having selected the right people and organisations globally to partner with for the delivery of the PFS. We are very fortunate to have a very talented and capable 1 Please refer to the ASX announcement released by Canyon on 27 September 2019. Canyon is not aware of any information or data that materially affects the information included in that announcement and all material assumptions and technical parameters underpinning the Mineral Resource estimates in that announcement continue to apply and have not materially changed Canyon Resources Continues Development at Minim Martap – PFS Delivery on Track Canyon Resources Limited Page 2 of 4 Cameroonian technical team who have delivered the high quality work completed on Minim Martap to date and will continue to work on site, under appropriate precautions. “I would like to stress to all shareholders that although we are adjusting the way we do business in line with current global warnings and appropriate practices, we are still on track to deliver on our commitments, including the upcoming Minim Martap PFS.” Figure 1: Canyon’s Project team at Minim Martap receiving a medical presentation on Friday 20 March
Although all non-essential travel has been cancelled, under the control of a thorough risk assessment, Managing Director Phillip Gallagher and recently appointed Chief Development Officer (CDO) Rick Smith have completed recent meetings in the Middle East with senior business leaders in the aluminium, alumina and bauxite industry. The very positive meetings were to advance discussions with potential future strategic offtake and funding partners as the Project enters the next stage of its development.
