<PAGE>   1

===============================================================================



                                 UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-Q

                   QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                            -----------------------

              [X] Quarterly Report Pursuant to Section 13 or 15(d)
                     of the Securities Exchange Act of 1934
                       For the period ended June 30, 1997
                                       or
            [ ] Transition Report Pursuant to Section 13 or 15(d) of
                      the Securities Exchange Act of 1934
                     For the transition period from      to

                            -----------------------

                         Commission file number 0-14329

                          CANYON RESOURCES CORPORATION
                            (a Delaware Corporation)


                I.R.S. Employer Identification Number 84-0800747


                      14142 Denver West Parkway, Suite 250
                                Golden, CO 80401
                                 (303) 278-8464



         Indicate by check mark whether the registrant (1) has filed all
         reports required to be filed by Section 13 or 15(d) of the Securities
         Exchange Act of 1934 during the preceding 12 months (or for such
         shorter period that the registrant was required to file such reports),
         and (2) has been subject to such filing requirements for the past 90
         days. Yes   X   No  
                   -----    -----

         Indicate the number of shares outstanding of each of the issuers
         classes of common stock, as of the latest practicable date: 41,032,074
         shares of the Company's Common Stock were outstanding as of August 5,
         1997.



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<PAGE>   2


                          PART I FINANCIAL INFORMATION


ITEM 1.           FINANCIAL STATEMENTS

         The following consolidated financial statements have been prepared by
Canyon Resources Corporation ("the Company") pursuant to the rules and
regulations of the Securities and Exchange Commission ("SEC"). Certain
information and footnote disclosures normally included in financial statements
prepared in accordance with generally accepted accounting principles have been
condensed or omitted pursuant to such SEC rules and regulations. In the opinion
of the Company's management, the consolidated financial statements include all
adjustments, consisting only of adjustments of a normal, recurring nature,
necessary to present fairly the financial information set forth therein.

         These consolidated financial statements should be read in conjunction
with the financial statements and accompanying notes included in the Company's
Form 10-K for the year ended December 31, 1996.


<TABLE>

<S>   <C>                                                            <C>
      Consolidated Balance Sheets....................................Page 3

      Consolidated Statements of Operations .........................Page 4

      Consolidated Statements of Cash Flows..........................Page 5-6

      Notes to Interim Consolidated Financial Statements.............Page 7-10

</TABLE>

ITEM 2.          MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                 CONDITION AND RESULTS OF OPERATIONS ................Page 11-13


                                       2

<PAGE>   3
CANYON RESOURCES CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)

<TABLE>
<CAPTION>
                                                                   JUNE 30,     DECEMBER 31,
                                                                     1997          1996
                                                                ------------   ------------
<S>                                                            <C>            <C>
ASSETS


Cash and cash equivalents                                       $  9,927,300   $  4,181,100  
Restricted cash                                                    4,693,900      2,557,500  
Accounts receivable                                                1,117,200        574,300  
Inventories                                                        5,719,600      4,382,400  
Prepaid and other assets                                             908,000        591,200  
                                                                ------------   ------------
     Total current assets                                         22,366,000     12,286,500  
                                                                ------------   ------------
Property and equipment, at cost                                                              
     Mining claims and leases                                     19,238,000     17,561,600   
     Producing properties                                         57,937,500     53,875,000   
     Other                                                           903,500        898,200   
                                                                ------------   ------------
                                                                  78,079,000     72,334,800   
     Accumulated depreciation and depletion                       (4,472,100)    (1,995,200)  
                                                                ------------   ------------
       Net property and equipment                                 73,606,900     70,339,600   
                                                                ------------   ------------ 
Other assets                                                       1,680,200      1,758,200
                                                                ------------   ------------ 

     Total Assets                                                 97,653,100   $ 84,384,300
                                                                ============   ============

LIABILITIES AND STOCKHOLDERS EQUITY

Accounts payable                                                $  2,575,200   $  1,616,400    
Notes payable - current                                            3,415,600      2,071,800    
Accrued taxes, other than payroll and income                         191,400        104,300    
Accrued reclamation costs                                          1,288,300      1,421,000    
Other accrued liabilities                                            531,400        612,400    
                                                                ------------   ------------
     Total current liabilities                                     8,001,900      5,825,900    

Notes payable - long term                                         29,940,000     28,125,000    
Accrued reclamation costs                                          1,197,900      1,584,000    
Other noncurrent liabilities                                         426,000        408,800    
                                                                ------------   ------------
     Total Liabilities                                            39,565,800     35,943,700   
                                                                ------------   ------------
Commitments                                                       
                                                                  
Common stock ($.01 par value) 100,000,000 shares authorized;      
  issued and outstanding: 41,032,100 at June 30, 1997, and        
  37,503,600 at December 31, 1996                                    410,300        375,000   
Capital in excess of par value                                    90,756,900     81,440,400    
Deficit                                                          (33,079,900)   (33,374,800)  
                                                                ------------   ------------
     Total Stockholders Equity                                    58,087,300     48,440,600    
                                                                ------------   ------------
     Total Liabilities and Stockholders Equity                  $ 97,653,100   $ 84,384,300   
                                                                ============   ============
</TABLE>


The accompanying notes are an integral part of these consolidated financial 
statements.


                                       3

<PAGE>   4

CANYON RESOURCES CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)

<TABLE>
<CAPTION>
                                            THREE MONTHS ENDED JUNE 30,      SIX MONTHS ENDED JUNE 30,
                                                1997          1996             1997            1996
                                           -------------  --------------   -------------   ------------
<S>                                        <C>            <C>             <C>             <C>          
REVENUE

Sales                                      $   9,668,800  $    1,303,100   $  13,108,400   $  2,447,200 
                                           -------------  --------------   -------------   -------------
                                                                                                  
EXPENSES                                                                                               
                                                                                                       
Cost of sales                                  6,155,100       1,234,400       8,395,600      2,146,200
Depreciation, depletion, and amortization      1,820,300          59,700       2,391,800        120,000
Selling, general and administrative              889,100         927,500       1,670,600      1,739,000
Exploration costs                                 47,900          92,600         118,500        222,100
                                           -------------  --------------   -------------  --------------
                                               8,912,400       2,314,200      12,576,500      4,227,300
                                           -------------  --------------   -------------  --------------
OTHER INCOME (EXPENSE)                                                                                 
                                                                                               
Interest income                                  104,400         392,200         168,400        724,600  
Interest expense                                (393,400)       (399,600)       (540,000)      (802,300) 
Gain (loss) on asset disposals                   149,400          (4,000)        149,400         (4,000) 
Other                                            (11,200)         22,800         (14,800)        33,900  
                                           -------------  --------------   -------------  --------------
                                                (150,800)         11,400        (237,000)       (47,800)
                                           -------------  --------------   -------------  --------------
                                                                                               
Net income (loss)                          $     605,600  $     (999,700)  $     294,900   $ (1,827,900) 
                                           =============  ==============   =============   =============
                                                                                                       
Net income (loss) per share                $        0.02  $        (0.03)  $        0.01   $      (0.06)
                                           =============  ==============   =============   =============
                                                                                                       
Weighted average shares outstanding           38,756,500      30,872,700      38,147,500     29,072,300 
                                           =============  ==============   =============   =============
                                                                                                       
                                                                                              
</TABLE>

The accompanying notes are an integral part of these consolidated financial 
statements.

                                       4


<PAGE>   5
CANYON RESOURCES CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)

<TABLE>
<CAPTION>
                                                                          SIX  MONTHS ENDED JUNE 30,
                                                                          1997                1996
                                                                       -------------      ------------
<S>                                                                   <C>                 <C>
Cash flows from operating activities:                                   
  Net income (loss)                                                    $     294,900      $ (1,827,900)    
  Adjustments to reconcile net income (loss) to net cash               -------------      ------------
  provided by (used in)
  operating activities:
    Depreciation and depletion                                             2,391,800           120,000    
    Amortization of financing costs                                           75,200           144,800    
    (Gain) loss on asset disposals                                          (149,400)            4,000    
    Other                                                                      3,600             -
 Changes in assets and liabilities,
    (Increase) in receivables                                               (546,500)         (330,900)   
    (Increase) in inventories                                             (1,337,200)          (98,800)   
    (Increase) in prepaid and other assets                                  (314,000)          (57,000)   
    (Decrease) increase in accounts payable and accrued liabilities        2,085,400          (388,800)   
    (Decrease)in other liabilities                                          (386,200)         (123,900)   
    (Increase) in restricted cash                                         (1,821,700)            -
                                                                       -------------      ------------    
    Total adjustments                                                          1,000          (730,600)
                                                                       -------------      ------------    
    Net cash provided by (used in) operating activities                      295,900        (2,558,500)   
                                                                       -------------      ------------
Cash flows from investing activities:   
  Purchases of property and equipment                                    (10,178,000)      (21,075,500)    
  Production proceeds during mine development and restricted cash          3,894,300             -
  Proceeds from asset sales                                                  150,500             5,300
  Other                                                                        -                20,000
                                                                       -------------      ------------
    Net cash used in investing activities                                 (6,133,200)      (21,050,200)   
                                                                       -------------      ------------ 
Cash flows from financing activities:                                                               
Issuance of stock, net                                                     9,410,200        14,444,200
Payments on debt                                                            (841,200)         (123,900)   
  Payments on capital lease obligations                                      (66,700)          (24,200)   
Proceeds from loans and restricted cash, net                               3,081,200        17,853,200
Payments to escrow account                                                    -                (47,800)   
Payments for debt issuance costs                                              -               (154,500)   
                                                                       -------------      ------------
    Net cash provided by financing activities                             11,583,500        31,947,000

Net increase in cash and cash equivalents                                  5,746,200         8,338,300
Cash and cash equivalents, beginning of year                               4,181,100         1,893,800
                                                                       -------------      ------------
Cash and cash equivalents, end of period                               $   9,927,300      $ 10,232,100
                                                                       =============      ============


</TABLE>

Accompanying notes are an integral part of these consolidated financial 
statements.         

                                       5
<PAGE>   6
CANYON RESOURCES CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)



Supplemental disclosures of cash flow information:

1.   The Company paid $803,300 of interest during the first half of 1997, and
     $653,500 during the corresponding period of 1996. Of the total payments,
     capitalized interest during the first half of 1997 and 1996 was $338,600
     and $741,000, respectively.

2.   The Company paid no income taxes during the first half of 1997, and no
     income taxes during the corresponding period of 1996.

Supplemental schedule of noncash investing and financing activities:

1.   The Company acquired $31,200 in equipment through capital leases during
     the first half of 1997, and $275,800 in equipment through capital leases
     during the first half of 1996.

2.   Debentures in the principal amount of $100,000 were converted into 29,000 
     shares of common stock during the first six months of 1996.


         The accompanying notes are an integral part of these consolidated
financial statements.


                                       6


<PAGE>   7
                          CANYON RESOURCES CORPORATION
               NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS
                                  (Unaudited)

1.       BASIS OF PRESENTATION:

         During interim periods, Canyon Resources follows the accounting
         policies set forth in its Annual Report to Stockholders and its Report
         on Form 10-K filed with the Securities and Exchange Commission. Users
         of financial information produced for interim periods are encouraged
         to refer to the footnotes contained in the Annual Report to
         Stockholders when reviewing interim financial results and to the
         following additional information.

         The Company uses derivative commodity instruments (gold loans, gold
         forward contracts, and put options) to manage market risks associated
         with fluctuating gold prices. Gold loans are monetized at the original
         proceeds amount and are recognized into revenue at the time of
         physical delivery of the metal. Costs or premiums, if any, and gains
         or losses related to changes in values of other derivative commodity
         instruments are included in revenues when the underlying production is
         delivered to meet the commitment, or at the originally designated
         maturity dates in the event of early settlement of such instruments.
         Cash flow resulting from hedge contracts is included in net cash
         provided by operating activities on the statements of cash flows.

         In February, 1997, the Financial Accounting Standards Board issued
         Statement of Financial Accounting Standards No. 128, (SFAS128),
         Earnings per Share. SFAS128's objective is to simplify the computation
         of earnings per share (EPS) and to make the U.S. standard more
         compatible with that of other countries and the International
         Accounting Standards Committee. SFAS128 superceeds APB Opinion 15,
         replacing the presentation of "primary" and "fully diluted" EPS with
         "basic" and "diluted" EPS. SFAS128 will become effective for the
         Company's year ended December 31, 1997, and all prior period EPS
         calculations will be restated to conform with the new standard. Upon
         adoption, the Company does not anticipate a material impact on its
         EPS.

         In the opinion of management, the accompanying interim financial
         statements contain all material adjustments, consisting only of normal
         recurring adjustments necessary to present fairly the financial
         position, the results of operations, and the cash flows of Canyon
         Resources and its consolidated subsidiaries for interim periods.
         Certain amounts in the prior period financial statements have been
         reclassified to conform to the current period presentation.

2.       INTERIM RESULTS:

         The foregoing interim results are not necessarily indicative of the
         results of operations for the full year ending December 31, 1997, as
         the Briggs Mine attained commercial production levels during March,
         1997.


                                       7

<PAGE>   8
3.       USE OF ESTIMATES:

         The preparation of financial statements in conformity with generally
         accepted accounting principles requires management to make estimates
         and assumptions that affect the reported amounts of assets and
         liabilities and disclosure of contingent assets and liabilities at the
         date of the financial statements and the reported amounts of revenues
         and expenses during the reporting period. Actual results could differ
         from those estimates.

4.       RESTRICTED CASH:

         Restricted cash consisted of the following:

<TABLE>
<CAPTION>
-------------------------------------------------------------------------------
                                                  JUNE 20,    DECEMBER 31, 
                                                    1997          1996
-------------------------------------------------------------------------------
<S>                                               <C>           <C>
 Collateral for Letter of Credit (a)           $  1,953,000   $  1,953,000     
 Unexpended proceeds from loan drawing (b)          919,000            100     
 Unexpended proceeds from gold sales (c)          1,821,700        604,200     
 Contingency account (d)                                200            200     
                                               ------------   ------------
                                               $  4,693,900   $  2,557,500     
 Current portion                                  4,693,900      2,557,500
                                               ------------   ------------
 Noncurrent portion                            $      -       $     -
                                               ============   ============     
                                                                               
-------------------------------------------------------------------------------
</TABLE>

         (a)      In connection with the issuance of certain bonds for the
                  performance of reclamation obligations at the Kendall and
                  Briggs Mines, a bank Letter of Credit has been provided in
                  favor of the Surety as partial collateral for such bond
                  obligations. The Letter of Credit is fully collateralized
                  with cash and will expire no earlier than December 31, 1997.
                  At the bank's option, the Letter of Credit may be renewed for
                  successive one-year periods.

         (b)      Loan proceeds are restricted solely for the development of 
                  the Briggs Mine.

         (c)      The Briggs Mine loan facility requires all proceeds from gold
                  sales to be held in trust and disbursed from the collected
                  credit balance in certain orders of priority.

         (d)      As a condition precedent to securing the Briggs loan
                  facility, the Company transferred $2.0 million to an escrow
                  account to be held in reserve against construction cost
                  overruns at the Briggs Mine. These funds were utilized in
                  1996 due to higher than anticipated construction costs and
                  working capital needs.



                                       8

<PAGE>   9
5.       INVENTORIES:

         Inventories consisted of the following at:

<TABLE>
<CAPTION>
-------------------------------------------------------------------------------
                                                  JUNE 20,    DECEMBER 31, 
                                                    1997          1996
-------------------------------------------------------------------------------
          <S>                                 <C>           <C>
          Gold-in-process (a)                  $  4,574,300   $  3,451,400     
          Industrial minerals - in process (a)      327,000        394,900     
          Materials and supplies                    818,300        536,100     
                                               ------------   ------------
                                               $  5,719,600   $  4,382,400
                                               ============   ============     
-------------------------------------------------------------------------------
</TABLE>

         (a)      Includes all direct and indirect costs of mining, crushing, 
                  processing, and site overhead expenses.

6.       NOTES PAYABLE:

         Notes payable consisted of the following at:

<TABLE>
<CAPTION>
-------------------------------------------------------------------------------
                                             JUNE 20,        DECEMBER 31, 
                                               1997             1996
-------------------------------------------------------------------------------
          <S>                            <C>               <C>
          Briggs Loan (a)                $  33,275,000     $  30,000,000   
          Caterpillar Finance Note (b)          80,600           196,800   
                                         -------------     -------------
                                            33,355,600        30,196,800   
          Current portion                    3,415,600         2,071,800   
                                         -------------     -------------
          Notes Payable - Long Term      $  29,940,000     $  28,125,000   
                                         =============     =============
                                                                               
-------------------------------------------------------------------------------
</TABLE>

         (a)      On December 6, 1995, the Company's wholly owned subsidiary, 
                  CR Briggs Corporation, secured a $34.0 million
                  loan facility to finance the capital require ments of mine
                  construction and working capital for its Briggs Mine in
                  California. Drawings on the facility include $25.0 million
                  principal in the form of a gold loan and $9.0 million
                  principal as dollar loans. The gold loan portion was
                  monetized at $388.05 per ounce, or 64,425 ounces. Weighted
                  average interest rates on the drawings during the three
                  months ended June 30, 1997 were (i) 3.2% on the $25.0 million
                  gold loan and (ii) 10.0% on the $9.0 million cash loans. For
                  the comparable period in 1996, weighted average interest
                  rates on the gold loan and dollar loans were 3.7% and 9.7%,
                  respectively. For the six months ended June 30, 1997,
                  weighted average interest rates on the gold loan and dollar
                  loans were (i) 3.4% and 10.0%, respectively. For the
                  comparable period in 1996, weighted average interest rates
                  were 4.6% and 9.7%, respectively. Interest payments of
                  $422,900 and $346,400 were made during the three months ended
                  June 30, 1997 and 1996, respectively. For the six month
                  period interest payments of $767,400 and $732,300 were made
                  during 1997 and 1996, respectively. The Company repaid
                  $725,000 principal in June, 1997 as per the facility's
                  amortization schedule.


                                       9
<PAGE>   10
CANYON RESOURCES CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS, CONTINUED
(UNAUDITED)

6.       NOTES PAYABLE, CONTINUED:

                  The Company was not in compliance with certain conditions of
                  the loan agreement as of June 30, 1997, relating to (i)
                  achieving project completion (as defined) (ii) certain
                  coverage ratios (as defined) and (iii) operating cost
                  performance (as defined). The lenders have agreed to waive
                  compliance for achieving project completion to June 1, 1998
                  and to waive compliance with the other conditions through
                  September 30, 1997.

         (b)      In August 1994, the Company exercised purchase options on its 
                  leased mining equipment at the Kendall Mine for $899,900.
                  Caterpillar Financial Services Corporation subsequently
                  agreed to finance the purchase price over a three-year period
                  at a fixed rate of 9.5%. During the three months ended June
                  30, 1997, the Company paid $2,900 of interest and reduced the
                  principal balance by $58,800. For the comparable period of
                  1996, the Company paid $7,700 of interest and reduced the
                  principal balance by $54,000. For the six month period ended
                  June 30, 1997, the Company paid $7,100 of interest and
                  reduced the principal balance by $116,200. For the comparable
                  period of 1996, the Company paid $20,000 of interest and
                  reduced the principal balance by $123,900.

7.       SALE OF AN EXPLORATION PROPERTY:

         The Company executed an agreement during the second quarter of 1997 to
         sell an exploration property for $3.0 million, payable over a
         twenty-four month period and, until the purchase price is paid in
         full, an aggregate work commitment of $1,250,000. At any time, the
         buyer, upon proper notice, may terminate its then remaining
         obligations. Due to the contingent nature of the transaction, gain
         will be recognized only upon receipt of cash over the twenty-four
         month period. Accordingly, the Company recorded a gain of $150,000
         during the second quarter of 1997.


8.       INCOME TAXES:

         No current provision for income taxes was recorded as the Company does
         not expect taxable income for the year. No deferred tax benefit was
         recorded as the Company applies a full valuation allowance to its
         gross deferred tax assets, except to the extent of offsetting
         reversals of expected deferred tax liabilities.


                                       10

<PAGE>   11
ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION 
         AND RESULTS OF OPERATIONS

CAUTIONARY STATEMENT FOR PURPOSES OF THE "SAFE HARBOR" PROVISIONS OF THE 
PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995.

         The matters discussed in this report on Form 10-Q, when not historical
matters, are forward-looking statements that involve a number of risks and
uncertainties that could cause actual results to differ materially from
projected results. Such factors include, among others, the speculative nature
of mineral exploration, commodity prices, production and reserve estimates,
environmental and government regulations, availability of financing, force
majeure events, and other risk factors as described from time to time in the
Company's filings with the Securities and Exchange Commission. Many of these
factors are beyond the Company's ability to control or predict. The Company
disclaims any intent or obligation to update its forward-looking statements,
whether as a result of receiving new information, the occurrence of future
events, or otherwise.

RESULTS OF OPERATIONS

         The Company recorded net income of $605,600, or $0.02 per share, on
revenues of $9,668,800 during the second quarter of 1997 and net income of
$294,900, or $0.01 per share, on revenues of $13,108,400 for the first half of
1997. This compares to a net loss of $999,700, or $0.03 per share, on revenues
of $1,303,100 during the second quarter of 1996, and a net loss of $1,827,900,
or $0.06 per share on revenues of $2,447,200 during the first six months of
1996.

         For the three months ended June 30, 1997, the Company sold 20,262
ounces of gold and 6,500 ounces of silver from its Briggs mine at an average
realized price of $409 per equivalent gold ounce. For the comparable period of
1996, the Company sold 1,069 ounces of gold and 808 ounces of silver from its
Kendall Mine, which was in its final months of productive life. For the first
half of 1997, 25,862 ounces of gold and 6,500 ounces of silver (all from the
Briggs Mine) were sold at an average realized price of $408 per equivalent gold
ounce. In addition, proceeds realized from the sale of 8,150 ounces of gold
during the first two months of 1997 were credited against capitalized
development costs at the Briggs Mine. For the comparable period in 1996, 2,069
ounces of gold and 1,408 ounces of silver (all from the Kendall Mine) were sold
at an average realized price of $387 per equivalent gold ounce. The New York
Commodity Exchange (COMEX) gold price averaged $343 and $348 per ounce,
respectively for the three and six months ended June 30, 1997. For the
comparable periods of 1996, the COMEX gold price averaged $395 and $390 per
ounce. Revenue from the sales of industrial minerals products increased 55% and
57%, respectively, for the three and six months ended June 30, 1997 as compared
to the prior year, reflecting continued growth in diatomite sales and the
effect of pumice/volcanic glass sales from a processing facility acquired in
mid-1996. Sales of industrial mineral products accounted for 14% and 20% of the
Company's revenues for the three and six months ended June 30, 1997,
respectively.

         Total cash costs (as computed under The Gold Institute's Production
Cost Standard) for the three and six months ended June 30, 1997, were $260 per
ounce and $256 per ounce,


                                       11

<PAGE>   12
respectively.  The prior period unit costs are not comparable due to the 
nominal sales from the Kendall Mine.

         Depreciation depletion and amortization increased in the current
periods due to the attainment of commercial production levels at the Briggs
Mine.

         Interest income was lower in the current periods due to lower cash
balances. Interest expense was not materially different for the three months
ended June 30, 1997, and was lower for the current six month period as interest
associated with the Briggs loan was capitalized during the first two months of
the year.

         The Company executed an agreement during the second quarter of 1997 to
sell an exploration property for $3.0 million, payable over a twenty-four month
period and, until the purchase price is paid in full, an aggregate work
commitment of $1,250,000. At any time, the buyer, upon proper notice, may
terminate its then remaining obligations. Due to the contingent nature of the
transaction, gain will be recognized only upon receipt of cash over the
twenty-four month period. Accordingly, the Company recorded a gain of $150,000
during the second quarter of 1997.

LIQUIDITY & CAPITAL RESOURCES

         CASH FLOW

         Net cash provided by operating activities during the six months ended
June 30, 1997, was $295,900 as compared to $2,558,500 used in operating
activities for the same period in 1996. The current year positive operating
cash flow was due to commercial production levels being attained at the Briggs
Mine. Cash and cash equivalents at June 30, 1997, was $9,927,300.

         The Company spent $6,133,200, net, on capital programs ending June 30,
1997, principally relating to final working capital requirements at the Briggs
Mine, improvements to the industrial minerals business, drilling within the
Panamint Range near the Briggs Mine, and funding the Company's share of costs
on the McDonald Project.

         The Company borrowed the final $4.0 million tranche under its loan
facility during March, 1997, to provide funding for a leach pad expansion phase
scheduled for completion in the third quarter of 1997. Principal payments of
$725,000 were made during the second quarter of 1997 as per the facility's
amortization schedule.

         In June, 1997, the Company completed an equity financing which raised
$9,987,500 ($9.2 million net of expenses), through the sale of 3.4 million
shares of common stock. Planned use of the proceeds include: (i) $3.0 million,
for Briggs Mine reserve and production expansion, (ii) $2.5 million, for
resource and reserve definition of the Cahuilla Project, (iii) $1.5 million,
for Panamint Range exploration, and (iv) $2.2 million, for McDonald and other
general corporate purposes.


                                       12

<PAGE>   13
         BRIGGS MINE LOAN FACILITY

         The Company was not in compliance with certain conditions of the loan
agreement as of June 30, 1997, relating to (i) achieving project completion (as
defined) (ii) certain coverage ratios (as defined) and (iii) operating cost
performance (as defined). The lenders have agreed to waive compliance for
achieving project completion to June 1, 1998 and to waive compliance with the
other conditions through September 30, 1997.

         BRIGGS MINE RESERVES

         Drilling conducted in the first half of 1997 to the north and south of
the initial orebody has increased mineable reserves since year end by 234,100
ounces. The Company will be required to obtain a new permit to enable mining of
the new reserves.


                                       13

<PAGE>   14
                           PART II OTHER INFORMATION

<TABLE>

<S>          <C>                                                      <C>
ITEM 1.      LEGAL PROCEEDINGS:......................................   None

ITEM 2.      CHANGES IN SECURITIES:..................................   None

ITEM 3.      DEFAULTS UPON SENIOR SECURITIES:........................   None

ITEM 4.      SUBMISSION OF MATTERS TO VOTE OF SECURITY HOLDERS:......   None

ITEM 5.      OTHER INFORMATION:......................................   None

ITEM 6(A)    EXHIBITS:

             No. 11 - Calculation of primary and fully diluted income (loss) 
                      per share
             No. 27 - Financial Data Schedule

ITEM 6(B)    REPORTS ON FORM 8-K:

             None

</TABLE>
                                       14

<PAGE>   15
                                   SIGNATURES



Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.



                                         CANYON RESOURCES CORPORATION


                                         /s/ Richard T. Phillips 
Date:    August 14, 1997                 -------------------------------------
                                         Richard T. Phillips
                                         Treasurer


                                         /s/ Gary C. Huber
Date:   August 14, 1997                  -------------------------------------
                                         Gary C. Huber
                                         Chief Financial Officer


                                       15
<PAGE>   16

                                 EXHIBIT INDEX
<TABLE>
<CAPTION>

EXHIBIT NO.             EXHIBIT DESCRIPTION                               PAGE

        <S>             <C>    
         11             Calculation of primary and fully 
                        diluted income (loss) per share

         27             Financial Data Schedule
</TABLE>