(Business in Cameroon) - Altus Strategies announced October 11 it has signed a letter of intent with Australian Canyon Resources to terminate its joint venture agreement giving Canyon 100% stake in the Birsok bauxite project.
Under the agreement, Canyon would issue Altus up to 30 million shares and a $1.5/ton royalty on the ore mined and sold from the project. Altus thus increases its shareholding in Canyon to 38 million shares, which are currently traded at A$ 0.10 per unit on the ASX exchange. The transaction is expected to close at the end of 2018.
The project is located in the central region and covers the Birsok and Mandoum permits. It is close to the Minim Martap bauxite deposit, owned by Canyon.
“The Minim Martap and Birsok projects are potentially very substantial, having high grades, low impurities and being strategically located adjacent to an operating rail line that runs to the coast. We believe that significant potential exists for Canyon to fast-track the mining and export of a premium grade bauxite product,” commented CEO of Altus Steven Poulton.
Let’s note that Altus Strategies operates throughout Africa, in Ethiopia, Liberia and Morocco notably. It targets gold, bauxite, copper, iron ore, zinc and silver.