We're traveling to Cameroon for this one, a very friendly jurisdiction, drilling in the ASX's next major bauxite producer, where this is Kudzai.
He is the CFO of Canyon, and he's going to explain exactly how close they are at this point in time to production. Please make him very welcome.
Good afternoon, everyone. In mining, we hear the terms world-class and tier one used pretty loosely sometimes, but every now and then, a project genuinely earns those labels. Minim Martap is one of those projects. Today, I'll walk you through why this is a globally significant, high-grade bauxite asset, how we fast-tracked it into production, and why Canyon is positioned to become ASX's next major bauxite producer in 2026. The Minim Martap project is a high-grade, low-silica bauxite project located in Cameroon that is currently in development with full-scale shipments scheduled for quarter four of 2026. Minim Martap has 1.1 billion tonnes in resource, including 144 million tonnes of 51% alumina and 1.7% silica, which we believe will command a greater than $11 per tonne premium over the GBEX, the Guinea bauxite price.
The DFS, released in 2025, highlighted that the project has robust economics, with an NPV of $835 million and an IRR of 29%. Existing infrastructure, including an 800-kilometer railway line and a port facility in Douala, has fast-tracked the project's development schedule. A $140 million debt facility is in place to fully finance the development beyond initial production, as well as a $215 million equity raise to fast-track the latter stages of the development. Canyon's management and board is highly experienced and credentialed, including within Africa and in particular in bauxite and the alumina industry. So we are not an exploration company. We are a production story. Over the past 24 months, we have systematically removed development risk. Mining convention secured, mining license granted.
The World Bank has committed over $800 million to Cameroon for the upgrade of the existing railway line, which is to be conducted by a private rail operator called Camrail, in which Canyon has acquired a 9.1% stake. We are looking to increase that stake to 35% in the not-so-distant future to further de-risk the upgrade works and ensure they're in line with our development schedule. We completed a definitive feasibility study, and Eagle Eye, a very supportive strategic investor, increased its holdings to 56%, both on-market and through equity raise participation. We have secured inland rail facilities as well as port facilities, and as mentioned, we have the debt and equity funding in place.
The surface miner for the start of production is in country, in Cameroon, with mining to commence later this quarter, and full-scale shipments to start in quarter four of 2026. This slide is just a quick slide to show you some of the pictures of the wagons and locomotives that we've ordered that are, that have been fabricated, as well as a surface miner that's at the port of Douala. In terms of asset quality, this slide illustrates the scale and quality of Minim Martap. What you see here is the Danielle Plateau, which is one of the three plateaus included in the ore reserve of 144 million tonnes. Overall, the Minim Martap project has 28 of those plateaus, making up the JORC resource of 1.1 billion tonnes.
One of the most important elements of this project is the simplicity of the pathway from resource to reserve. We leverage the existing 800 km in rail infrastructure, the dedicated port access in Douala, as well as the World Bank-funded PQ2 rail upgrade, allowing a five-year staged production with low startup CapEx for stage one. Mining involves the use of surface miners supported by front-end loaders and truck haulage, and the rehabilitation is simple and progressive, with waste backfilled into the mining voids left by the surface miners. It's a proven, cost-effective, and scalable pathway to production, similar to Guinea operations. A very simple pathway from resource to revenue, as illustrated on the slide.
Mining, hauling 42 kilometers by rail, 800 kilometers to port along an existing railway line, port rehandling, and transshipping 35 kilometers out to sea for loading onto Capesize vessels. Some quick highlights on the project economics. Stage 1 CapEx to first shipment, under $100 million, which we are fully funded beyond. Project metrics on a 100% basis include an NPV of $835 million, an IRR of 29%, C1 cash costs of $35 per wet metric tonne, and free cash flow at a throughput of 10 million tonnes per annum of $174 million per annum. That assumes a $78 per tonne dry metric tonne long-term pricing. This is a quick snapshot of our development timeline, which I've covered in earlier slides.
But what I wanted to go into next is the market dynamics and why now? Global bauxite demand is forecast to grow at greater than 3.5% CAGR over the next decade. Refineries are seeking alternative supply ex-Guinea, which you can see on the chart, as Guinea constitutes a significant portion of bauxite supply. And so Minim Martap provides premium grade, large scale, stable jurisdiction, and integrated logistics. In terms of Cameroon as a jurisdiction, Cameroon offers political stability, strong government continuity following the recent re-election of President Paul Biya. Also, a very supportive government, with Minim Martap being the most advanced mining project in the country, making it a flagship project for Cameroon, and strategic geographical position on the western side of Central Africa. On the ESG front, the project has strong foundations. The ESIA was completed to IFC and World Bank standards.
Annual rehabilitation contribution will be over XAF 7 billion per year, and with a 97% Cameroonian workforce. We are committed to local infrastructure upgrades and social development, among other initiatives. A little more on our strategic investor, Eagle Eye, with a 56% holding. They have proven mining experience across multiple countries, good working relationships with various governments and regulators, development-focused capital with experience in successfully building resource companies through the lifecycle. We have strong equity backing, debt funding has been secured, and a stable capital infrastructure. As mentioned earlier, the board of directors and management have extensive industry experience in mining, in bauxite, in alumina, and in Africa. On the long-term vision of Canyon.
While the company is starting as a bauxite producer with a staged ramp-up of starting at 1 million tons per annum and increasing to 10 million tons per annum, we're also completing an alumina refinery feasibility study expected in Q3 of 2026. As a part of a downstream value add strategy, we aim to position Canyon as a key player in the global aluminum value chain. To summarize, the Minim Martap Bauxite Project has a globally significant, high-grade, low-impurity resource and is a project with a long life. This high-grade, low-impurity resource is expected to command a premium to the Guinea bauxite price. The project has low CapEx to first shipment. The project has strong and robust economics. It's fully funded beyond stage one. There's existing infrastructure in place, and that has fast-tracked development.
Production and shipping is scheduled to commence this year. This is a production story. This is scale. This is tier one. Canyon is on track to become the ASX's next major bauxite producer. Thank you very much.