First Quantum Pronounces Board Approval of the Kansanshi S3 Enlargement and Enterprise Nickel Mission

Article content material

(in United States {dollars}, tabular quantities in tens of millions, besides the place famous)

TORONTO, Could 08, 2022 (GLOBE NEWSWIRE) — First Quantum Minerals Ltd. (“First Quantum” or “the Firm”) (TSX: FM) is happy to announce that the Firm’s Board of Administrators has accepted the S3 Enlargement on the Kansanshi mine and the Enterprise nickel undertaking.

“First Quantum has been working constructively with the Authorities of Zambia’s New Daybreak administration as a part of their efforts to reform the mining sector, appeal to funding and improve Zambia’s copper manufacturing. The approval of the initiatives displays First Quantum’s elevated confidence within the funding local weather in Zambia,” commented Tristan Pascall, Chief Govt Officer. “The S3 Enlargement and the Enterprise nickel undertaking are a key a part of our brownfield progress technique. The Kansanshi mine has been a cornerstone asset for First Quantum for 15 years and the S3 Enlargement will develop manufacturing and prolong the mine life for an additional twenty years. The low-cost, high-grade Enterprise nickel undertaking is nicely positioned to produce the quickly rising electrical automobile battery sector. The approval of those two initiatives is a crucial milestone for the Firm’s path in direction of accountable manufacturing progress of the metals wanted for the worldwide inexperienced power transition.”

Article content material

Work on each initiatives will begin instantly. The Firm is re-commencing detailed engineering works for the S3 Enlargement to find out buy orders for key long-lead objects, together with the SAG mill, ball mill and in-pit crushing station. A mining contractor shall be mobilized for the Enterprise nickel undertaking in an effort to start pre-stripping of the pit in June 2022. The event timeline and capital commitments of each initiatives stays in step with the three-year steerage lately offered by the Firm on January 17, 2022.

ZAMBIAN INVESTMENT CLIMATE

The approval of the initiatives follows the efforts of the New Daybreak administration to reinforce each the funding local weather for mining and to hunt commitments from the mining sector to contribute to the nationwide financial system and to company social accountability. These initiatives will assist set up a platform for extra steady, sturdy and accountable mining in Zambia.

Article content material

The Authorities of Zambia’s (the “Authorities”) commitments tackle the convenience of doing enterprise in Zambia, overlaying areas corresponding to expediting immigration procedures in change for commitments for native employment ranges, aggressive pricing of energy transmission and energy procurement from unbiased sources which in flip will assist renewable power initiatives, and measures to make sure the convenience of importing and exporting items.

The approvals comply with the re-introduction of the deductibility of mineral royalties for company earnings tax evaluation functions that grew to become efficient January 2022. This measure realigned Zambia with worldwide greatest apply. The Authorities’s dedication to enhance the predictability of the mining fiscal regime additionally offers the understanding wanted to assist giant capital investments in Zambia.

Article content material

Moreover, First Quantum and the Authorities have efficiently resolved all factors of rivalry which have been obstacles to progress on the S3 Enlargement and Enterprise nickel undertaking. This consists of reaching settlement in respect to the excellent value-added tax receivable sum and an method for reimbursement based mostly on offsets in opposition to future mining taxes and royalties.

S3 EXPANSION

The S3 Enlargement is anticipated to transition the present selective high-grade, medium-scale operation to a medium-grade, larger-scale mining operation that shall be extra applicable for the upper proportion of main, lower-grade sulphide ores at depth. As outlined within the NI 43-101 Technical Report filed in September 2020, the S3 Enlargement, when accomplished, will comprise of a standalone 25 million tonne each year (“Mtpa”) processing plant with a brand new bigger mining fleet that can improve Kansanshi’s complete annual throughput to 53 Mtpa. As soon as the growth is accomplished, copper manufacturing from Kansanshi is anticipated to common roughly 250 thousand tonnes each year (“Ktpa”) for the remaining lifetime of mine to 2044.

Article content material

A good portion of the preliminary development works for the S3 Enlargement have been beforehand undertaken with a lot of the civil and structural work onsite accomplished. The remaining work consists of completion of the remaining engineering design works, procurement and set up of kit, electrics, controls and infrastructure. The S3 processing prepare will comprise of a 28-megawatt SAG mill and a 22-megawatt ball mill. The open pit mine shall be expanded to extend the provision of sulphide ore from the Fundamental Pit and prolong into the South East Dome deposit. The expanded mining fleet will use related ultra-class gear as First Quantum’s different key mines and can profit from new electrical loading and drilling gear together with the extension of the present electrical trolley help infrastructure.

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In parallel with the growth of the mine and processing services, the Firm plans to extend the throughput capability of the Kansanshi smelter from 1.38 Mtpa to 1.65Mtpa of focus. It will allow the smelter to supply over 400 Ktpa of copper anode.

The overall capital expenditures related to the S3 Enlargement is anticipated to be $1.25 billion, which incorporates $900 million on the S3 plant and mine fleet and $350 million for pre-stripping of the South East Dome pit. Roughly $800 million of this spending is included within the Firm’s present three-year steerage launched on January 17, 2022 with the steadiness falling past the steerage interval. First manufacturing from the S3 Enlargement is anticipated in 2025.

Article content material

ENTERPRISE NICKEL PROJECT

The Enterprise nickel sulphide deposit is situated 12 kilometers northwest of the Sentinel copper mine. As outlined within the NI 43-101 Technical Report filed in March 2020, confirmed and possible reserves at Enterprise complete 34.7 million tonnes of ore at 0.99% nickel.

The Enterprise nickel undertaking will include a single, essential open pit and one extension to the southwest. It’s going to make the most of the present 4 Mtpa nickel circuit that was beforehand constructed as a part of the unique Sentinel processing advanced. The primary workstream to deliver the undertaking on-line would be the pre-strip of waste. The event timeline for Enterprise is anticipated to be roughly twelve months. At full manufacturing, Enterprise is anticipated to supply a mean of 30 Ktpa of nickel in high-grade focus.

Article content material

The overall capital expenditures related to the Enterprise nickel undertaking is anticipated to be roughly $100 million. Pre-stripping of the Enterprise pit of $60 million is included within the three-year steerage offered earlier this 12 months together with $40 million associated to infrastructure and plant commissioning. Anticipated first nickel manufacturing of 5,000 to 10,000 tonnes of nickel in 2023 is included within the Firm’s three-year steerage.

RESPONSIBLE MINING

The S3 Enlargement and the Enterprise nickel undertaking underlines First Quantum’s continued standing as the biggest non-public sector employer and the biggest contributor to company social accountability within the mining sector in Zambia. The Firm is dedicated to native procurement and the development of Zambian small and medium sized enterprise growth in North Western Province. Energy for each initiatives shall be provided predominantly from renewable sources, together with the present hydropower inside Zambia, in addition to potential wind and solar energy initiatives which can be into consideration by third events.

Article content material

For additional data, go to our web site at www.first-quantum.com or contact:

Bonita To, Director, Investor Relations
(416) 361-6400 Toll-free: 1 (888) 688-6577
E-Mail: data@fqml.com

CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION

Sure statements and knowledge herein, together with all statements that aren’t historic info, comprise forward-looking statements and forward-looking data inside the that means of relevant securities legal guidelines. The forward-looking statements embody estimates, forecasts and statements as to: the anticipated timing of completion of the S3 Enlargement, the Enterprise nickel undertaking; anticipated manufacturing, processing and gross sales volumes; the completion of engineering design works; procurement and set up of kit, electricals, controls and infrastructure; and the anticipated quantity and timing of capital expenditures related to the S3 Enlargement and the Enterprise nickel undertaking. The forward-looking data and statements herein are topic to the affect of ore grades on future manufacturing, the profitable and well timed completion of the S3 Enlargement and the Enterprise nickel undertaking; development, manufacturing, operational, labour or advertising disruptions because of the COVID-19 world pandemic or in any other case; capital expenditure and mine manufacturing prices; the result of mine allowing and different required allowing; the result of authorized proceedings which contain the Firm; data with respect to the longer term value of copper, gold, nickel, silver, iron, cobalt, pyrite, zinc and sulphuric acid; estimated mineral reserves and mineral sources; First Quantum’s exploration and growth program; estimated future bills, exploration and growth capital necessities; the Firm’s hedging coverage, and objectives and methods; plans, targets and commitments concerning local weather change-related bodily and transition dangers and alternatives (together with meant actions to handle such dangers and alternatives); greenhouse fuel emissions, power effectivity and sources of energy and carbon depth; the usage of renewable power sources; the design, growth and operation of the Firm’s initiatives and future reporting concerning local weather change and environmental issues; the Firm’s expectations concerning elevated demand for copper and nickel; the Firm’s undertaking pipeline and growth and progress plans. Usually, however not all the time, forward-looking statements or data could be recognized by way of phrases corresponding to “plans”, “expects” or “doesn’t count on”, “is anticipated”, “funds”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “doesn’t anticipate” or “believes” or variations of such phrases and phrases or statements that sure actions, occasions or outcomes “could”, “may”, “would”, “may” or “will” be taken, happen or be achieved.

Article content material

With respect to forward-looking statements and knowledge contained herein, the Firm has made quite a few assumptions together with amongst different issues, assumptions about persevering with manufacturing in any respect working services, the value of copper, gold, nickel, silver, iron, cobalt, pyrite, zinc and sulphuric acid, anticipated prices and expenditures (together with capital expenditures required for completion of the S3 Enlargement and the growth of the Kansanshi smelter); the success of Firm’s actions and plans to cut back greenhouse fuel emissions and carbon depth of its operations and the power to realize the Firm’s objectives. Ahead-looking statements and knowledge by their nature are based mostly on assumptions and contain identified and unknown dangers, uncertainties and different elements which can trigger the precise outcomes, efficiency or achievements, or trade outcomes, to be materially totally different from any future outcomes, efficiency or achievements expressed or implied by such ahead wanting statements or data. These elements embody, however usually are not restricted to, future manufacturing volumes and prices, the short-term or everlasting closure of uneconomic operations, prices for inputs corresponding to oil, energy and sulphur, political stability in Zambia, Panama, Peru, Mauritania, Finland, Spain, Turkey, Argentina and Australia, opposed climate situations in Zambia, Panama, Finland, Spain, Turkey, Mauritania, and Australia, labour disruptions, potential social and environmental challenges (together with the affect of local weather change), energy provide, mechanical failures, water provide, procurement and supply of elements and provides to the operations, the manufacturing of off-spec materials and occasions typically impacting world financial, political and social stability. For mineral useful resource and mineral reserve figures showing or referred to herein, various cut-off grades have been used relying on the mine, methodology of extraction and sort of ore contained within the orebody.

Article content material

See the Firm’s Annual Data Type for extra data on dangers, uncertainties and different elements referring to the forward-looking statements and knowledge. Though the Firm has tried to establish elements that might trigger precise actions, occasions or outcomes to vary materially from these disclosed within the forward-looking statements or data, there could also be different elements that trigger precise outcomes, performances, achievements or occasions not as anticipated, estimated or meant. Additionally, many of those elements are past First Quantum’s management. Accordingly, readers mustn’t place undue reliance on forward-looking statements or data. The Firm undertakes no obligation to reissue or replace forward-looking statements or data because of new data or occasions after the date hereof besides as could also be required by legislation. All forward-looking statements made and knowledge contained herein are certified by this cautionary assertion.

Article content material

(in United States {dollars}, tabular quantities in tens of millions, besides the place famous)

TORONTO, Could 08, 2022 (GLOBE NEWSWIRE) — First Quantum Minerals Ltd. (“First Quantum” or “the Firm”) (TSX: FM) is happy to announce that the Firm’s Board of Administrators has accepted the S3 Enlargement on the Kansanshi mine and the Enterprise nickel undertaking.

“First Quantum has been working constructively with the Authorities of Zambia’s New Daybreak administration as a part of their efforts to reform the mining sector, appeal to funding and improve Zambia’s copper manufacturing. The approval of the initiatives displays First Quantum’s elevated confidence within the funding local weather in Zambia,” commented Tristan Pascall, Chief Govt Officer. “The S3 Enlargement and the Enterprise nickel undertaking are a key a part of our brownfield progress technique. The Kansanshi mine has been a cornerstone asset for First Quantum for 15 years and the S3 Enlargement will develop manufacturing and prolong the mine life for an additional twenty years. The low-cost, high-grade Enterprise nickel undertaking is nicely positioned to produce the quickly rising electrical automobile battery sector. The approval of those two initiatives is a crucial milestone for the Firm’s path in direction of accountable manufacturing progress of the metals wanted for the worldwide inexperienced power transition.”

Article content material

Work on each initiatives will begin instantly. The Firm is re-commencing detailed engineering works for the S3 Enlargement to find out buy orders for key long-lead objects, together with the SAG mill, ball mill and in-pit crushing station. A mining contractor shall be mobilized for the Enterprise nickel undertaking in an effort to start pre-stripping of the pit in June 2022. The event timeline and capital commitments of each initiatives stays in step with the three-year steerage lately offered by the Firm on January 17, 2022.

ZAMBIAN INVESTMENT CLIMATE

The approval of the initiatives follows the efforts of the New Daybreak administration to reinforce each the funding local weather for mining and to hunt commitments from the mining sector to contribute to the nationwide financial system and to company social accountability. These initiatives will assist set up a platform for extra steady, sturdy and accountable mining in Zambia.

Article content material

The Authorities of Zambia’s (the “Authorities”) commitments tackle the convenience of doing enterprise in Zambia, overlaying areas corresponding to expediting immigration procedures in change for commitments for native employment ranges, aggressive pricing of energy transmission and energy procurement from unbiased sources which in flip will assist renewable power initiatives, and measures to make sure the convenience of importing and exporting items.

The approvals comply with the re-introduction of the deductibility of mineral royalties for company earnings tax evaluation functions that grew to become efficient January 2022. This measure realigned Zambia with worldwide greatest apply. The Authorities’s dedication to enhance the predictability of the mining fiscal regime additionally offers the understanding wanted to assist giant capital investments in Zambia.

Article content material

Moreover, First Quantum and the Authorities have efficiently resolved all factors of rivalry which have been obstacles to progress on the S3 Enlargement and Enterprise nickel undertaking. This consists of reaching settlement in respect to the excellent value-added tax receivable sum and an method for reimbursement based mostly on offsets in opposition to future mining taxes and royalties.

S3 EXPANSION

The S3 Enlargement is anticipated to transition the present selective high-grade, medium-scale operation to a medium-grade, larger-scale mining operation that shall be extra applicable for the upper proportion of main, lower-grade sulphide ores at depth. As outlined within the NI 43-101 Technical Report filed in September 2020, the S3 Enlargement, when accomplished, will comprise of a standalone 25 million tonne each year (“Mtpa”) processing plant with a brand new bigger mining fleet that can improve Kansanshi’s complete annual throughput to 53 Mtpa. As soon as the growth is accomplished, copper manufacturing from Kansanshi is anticipated to common roughly 250 thousand tonnes each year (“Ktpa”) for the remaining lifetime of mine to 2044.

Article content material

A good portion of the preliminary development works for the S3 Enlargement have been beforehand undertaken with a lot of the civil and structural work onsite accomplished. The remaining work consists of completion of the remaining engineering design works, procurement and set up of kit, electrics, controls and infrastructure. The S3 processing prepare will comprise of a 28-megawatt SAG mill and a 22-megawatt ball mill. The open pit mine shall be expanded to extend the provision of sulphide ore from the Fundamental Pit and prolong into the South East Dome deposit. The expanded mining fleet will use related ultra-class gear as First Quantum’s different key mines and can profit from new electrical loading and drilling gear together with the extension of the present electrical trolley help infrastructure.

Article content material

In parallel with the growth of the mine and processing services, the Firm plans to extend the throughput capability of the Kansanshi smelter from 1.38 Mtpa to 1.65Mtpa of focus. It will allow the smelter to supply over 400 Ktpa of copper anode.

The overall capital expenditures related to the S3 Enlargement is anticipated to be $1.25 billion, which incorporates $900 million on the S3 plant and mine fleet and $350 million for pre-stripping of the South East Dome pit. Roughly $800 million of this spending is included within the Firm’s present three-year steerage launched on January 17, 2022 with the steadiness falling past the steerage interval. First manufacturing from the S3 Enlargement is anticipated in 2025.

Article content material

ENTERPRISE NICKEL PROJECT

The Enterprise nickel sulphide deposit is situated 12 kilometers northwest of the Sentinel copper mine. As outlined within the NI 43-101 Technical Report filed in March 2020, confirmed and possible reserves at Enterprise complete 34.7 million tonnes of ore at 0.99% nickel.

The Enterprise nickel undertaking will include a single, essential open pit and one extension to the southwest. It’s going to make the most of the present 4 Mtpa nickel circuit that was beforehand constructed as a part of the unique Sentinel processing advanced. The primary workstream to deliver the undertaking on-line would be the pre-strip of waste. The event timeline for Enterprise is anticipated to be roughly twelve months. At full manufacturing, Enterprise is anticipated to supply a mean of 30 Ktpa of nickel in high-grade focus.

Article content material

The overall capital expenditures related to the Enterprise nickel undertaking is anticipated to be roughly $100 million. Pre-stripping of the Enterprise pit of $60 million is included within the three-year steerage offered earlier this 12 months together with $40 million associated to infrastructure and plant commissioning. Anticipated first nickel manufacturing of 5,000 to 10,000 tonnes of nickel in 2023 is included within the Firm’s three-year steerage.

RESPONSIBLE MINING

The S3 Enlargement and the Enterprise nickel undertaking underlines First Quantum’s continued standing as the biggest non-public sector employer and the biggest contributor to company social accountability within the mining sector in Zambia. The Firm is dedicated to native procurement and the development of Zambian small and medium sized enterprise growth in North Western Province. Energy for each initiatives shall be provided predominantly from renewable sources, together with the present hydropower inside Zambia, in addition to potential wind and solar energy initiatives which can be into consideration by third events.

Article content material

For additional data, go to our web site at www.first-quantum.com or contact:

Bonita To, Director, Investor Relations
(416) 361-6400 Toll-free: 1 (888) 688-6577
E-Mail: data@fqml.com

CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION

Sure statements and knowledge herein, together with all statements that aren’t historic info, comprise forward-looking statements and forward-looking data inside the that means of relevant securities legal guidelines. The forward-looking statements embody estimates, forecasts and statements as to: the anticipated timing of completion of the S3 Enlargement, the Enterprise nickel undertaking; anticipated manufacturing, processing and gross sales volumes; the completion of engineering design works; procurement and set up of kit, electricals, controls and infrastructure; and the anticipated quantity and timing of capital expenditures related to the S3 Enlargement and the Enterprise nickel undertaking. The forward-looking data and statements herein are topic to the affect of ore grades on future manufacturing, the profitable and well timed completion of the S3 Enlargement and the Enterprise nickel undertaking; development, manufacturing, operational, labour or advertising disruptions because of the COVID-19 world pandemic or in any other case; capital expenditure and mine manufacturing prices; the result of mine allowing and different required allowing; the result of authorized proceedings which contain the Firm; data with respect to the longer term value of copper, gold, nickel, silver, iron, cobalt, pyrite, zinc and sulphuric acid; estimated mineral reserves and mineral sources; First Quantum’s exploration and growth program; estimated future bills, exploration and growth capital necessities; the Firm’s hedging coverage, and objectives and methods; plans, targets and commitments concerning local weather change-related bodily and transition dangers and alternatives (together with meant actions to handle such dangers and alternatives); greenhouse fuel emissions, power effectivity and sources of energy and carbon depth; the usage of renewable power sources; the design, growth and operation of the Firm’s initiatives and future reporting concerning local weather change and environmental issues; the Firm’s expectations concerning elevated demand for copper and nickel; the Firm’s undertaking pipeline and growth and progress plans. Usually, however not all the time, forward-looking statements or data could be recognized by way of phrases corresponding to “plans”, “expects” or “doesn’t count on”, “is anticipated”, “funds”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “doesn’t anticipate” or “believes” or variations of such phrases and phrases or statements that sure actions, occasions or outcomes “could”, “may”, “would”, “may” or “will” be taken, happen or be achieved.

Article content material

With respect to forward-looking statements and knowledge contained herein, the Firm has made quite a few assumptions together with amongst different issues, assumptions about persevering with manufacturing in any respect working services, the value of copper, gold, nickel, silver, iron, cobalt, pyrite, zinc and sulphuric acid, anticipated prices and expenditures (together with capital expenditures required for completion of the S3 Enlargement and the growth of the Kansanshi smelter); the success of Firm’s actions and plans to cut back greenhouse fuel emissions and carbon depth of its operations and the power to realize the Firm’s objectives. Ahead-looking statements and knowledge by their nature are based mostly on assumptions and contain identified and unknown dangers, uncertainties and different elements which can trigger the precise outcomes, efficiency or achievements, or trade outcomes, to be materially totally different from any future outcomes, efficiency or achievements expressed or implied by such ahead wanting statements or data. These elements embody, however usually are not restricted to, future manufacturing volumes and prices, the short-term or everlasting closure of uneconomic operations, prices for inputs corresponding to oil, energy and sulphur, political stability in Zambia, Panama, Peru, Mauritania, Finland, Spain, Turkey, Argentina and Australia, opposed climate situations in Zambia, Panama, Finland, Spain, Turkey, Mauritania, and Australia, labour disruptions, potential social and environmental challenges (together with the affect of local weather change), energy provide, mechanical failures, water provide, procurement and supply of elements and provides to the operations, the manufacturing of off-spec materials and occasions typically impacting world financial, political and social stability. For mineral useful resource and mineral reserve figures showing or referred to herein, various cut-off grades have been used relying on the mine, methodology of extraction and sort of ore contained within the orebody.

Article content material

See the Firm’s Annual Data Type for extra data on dangers, uncertainties and different elements referring to the forward-looking statements and knowledge. Though the Firm has tried to establish elements that might trigger precise actions, occasions or outcomes to vary materially from these disclosed within the forward-looking statements or data, there could also be different elements that trigger precise outcomes, performances, achievements or occasions not as anticipated, estimated or meant. Additionally, many of those elements are past First Quantum’s management. Accordingly, readers mustn’t place undue reliance on forward-looking statements or data. The Firm undertakes no obligation to reissue or replace forward-looking statements or data because of new data or occasions after the date hereof besides as could also be required by legislation. All forward-looking statements made and knowledge contained herein are certified by this cautionary assertion.