In a significant move for Australia's mining sector, former Fortescue Metals Group chief operating officer Greg Lilleyman has emerged as a cornerstone investor in Genmin's ambitious $18.3 million capital raising effort to develop an iron ore project in Gabon, Africa.
Executive Backing and Investment Details
Greg Lilleyman, who recently assumed the role of executive chairman at Genmin earlier this month, has joined forces with non-executive director John Hodder to commit a substantial $8.3 million to the company's share placement. The investment comes at a critical time for the emerging iron ore developer.
The placement, priced at 1 cent per share, will see a portion of both executives' allocations offset against previous loans they've provided to the company. Mr Lilleyman had previously lent $2.8 million to Genmin, while Mr Hodder advanced $1.7 million in funding.
Genmin shares last traded at 2.2 cents, giving the company a current market capitalisation of approximately $16.3 million. The capital raising structure includes additional incentives for investors, with every two new shares attracting one free option exercisable at 1.5 cents, plus an unlisted "piggyback option" with a 2 cent strike price.
Baniaka Project: Gabon's First Large-Scale Iron Ore Mine
The funds generated from this complex placement are earmarked for advancing Genmin's flagship Baniaka iron ore project in the Central African nation of Gabon. Company officials are promoting Baniaka as what would become "Gabon's first large-scale iron ore mine", with initial production targeted for late 2026.
This development follows Fortescue's earlier entry into the Gabonese iron ore sector, where Mr Lilleyman previously served as COO. In 2023, Fortescue shipped its first and only batch of iron ore from the Belinga project in Gabon to date.
While Fortescue has maintained its commitment to developing Belinga into a commercial-scale operation, the company has revealed little about the project's progress over the past two years, creating an opportunity for Genmin to potentially lead the charge in Gabon's emerging iron ore industry.
Strategic Advantages and Development Timeline
The Baniaka project boasts several strategic advantages that position it for success. The deposit contains high-grade iron ore and benefits from proximity to existing infrastructure, sitting within short trucking distance of Gabon's transnational railway system.
Construction has already commenced on a 60-kilometre haul road, though work on the actual mine infrastructure has yet to begin. The total development cost for bringing Baniaka into production is estimated at US$200 million (approximately A$305 million).
Mr Lilleyman's substantial investment and leadership role signal strong confidence in Genmin's ability to navigate the challenges of developing Africa's next major iron ore province, bringing Australian mining expertise to a new frontier in global resources development.
