First Quantum Minerals

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First Quantum Minerals Ltd.
Type Public
Traded as TSXFM
LSEFQM
S&P/TSX 60 component
Industry Mining
Founded 1996
Headquarters Vancouver, BC, Canada
Key people Philip K.R. Pascall
Employees 1,800 (2008)[1]
Website www.first-quantum.com

First Quantum Minerals Ltd. is a Vancouver, British Columbia based mining and metals company whose principal activities include mineral exploration, development and mining.

First Quantum's common shares are listed for trading on the Toronto Stock Exchange in Canada (symbol "FM"), and the London Stock Exchange (symbol "FQM") in the United Kingdom.

Recent acquisitions[edit]

  • In 2006 First Quantum acquired London-based Adastra Minerals for $245m in cash and stock.
  • In 2008 First Quantum acquired Toronto-based Scandinavian Minerals Ltd developing the Kevitsa project in Finland
  • In December 2009, First Quantum acquired the Ravensthorpe Nickel Mine for US $ 340 million from BHP Billiton.[2]
  • In October 2010, First Quantum announced plans to acquire Antares Minerals for $450 million.[3]
  • In November 2010, First Quantum sold its stake in Equinox Minerals.[4]
  • In April 2013, First Quantum successfully completes hostile takeover of Inmet Mining Corporation for 5.1 billion Canadian dollars.

Recent news[edit]

In June 2013, it was announced that FQM would have to lay off 500 workers at the Sentinel mine in Zambia as it could not sustain their upkeep while waiting for the lifting of a protection order on its operations from the Zambia Environmental Management Agency.[5]

In July 2013, the company received the best mining industry award at the Zambia International Trade Fair.[6]

Operations[edit]

Zambia[edit]

Joint Venture[edit]

At the end of September 2012, First Quantum Minerals announced that it had entered into a joint venture with a Zambian-based mining company called Mimosa Resources. The purpose of the venture is to develop the Fishtie copper project in the Central province of Zambia, in the Mkushi District near the border with the Democratic Republic of Congo.[8]

Democratic Republic of the Congo[edit]

The Kolwezi tailings project was a major project to extract copper and cobalt from tailings of older mining operations around Kolwezi. It was expected to produce around 70,000 tonnes per year of copper metal and up to 14,000 tonnes per year of cobalt hydroxide.[9] In August 2009, the DRC government revoked First Quantum's license due to a dispute over renegotiating the contract.[10] First Quantum stopped operations in September 2009, throwing about 700 people out of work.[11] First Quantum had spent $750 million on acquiring and developing the property. First Quantum took out an action against the DRC government in the International Chamber of Commerce Court of Arbitration.[12]

The Frontier Mine is an open pit copper mine located near Sakania. First Quantum obtained exploration licenses in January 2001 and July 2002. Production began in 2007, and in 2010 the mine yielded 322,700 tonnes of copper.[13] The Lonshi Mine is an open pit copper mine that produces high-grade oxide ore that was transported to Zambia for processing at the Bwana Mkubwa SX/EW plant 35 kilometres (22 mi) away. The mine was closed after the governor of Katanga province, Moses Katumbi, banned the export of ore to Zambia, insisting that it should be refined in Katanga.[14] In May 2010 a Congolese court ruled that FQM's Lonshi and Frontier copper mines had been awarded illegally and that they should revert to state-owned Sodimico.[15] According to FQM the ruling was due to FQM's decision to contest the expropriation of their Kolwezi tailings project, which was later sold to the Kazakh mining company Eurasian Natural Resources Corporation.[16]

Other[edit]

See also[edit]

References[edit]

  1. ^ "Company Profile for First Quantum Minerals Ltd (CA;FM)". Retrieved 2008-10-08. 
  2. ^ Canada's First Quantum wins bid to revive Ravensthorpe nickel mine The Australian, published: 10 December 2009, accessed: 10 December 2009
  3. ^ "Mining Journal - First Quantum to acquire Antares for C$460 million". Retrieved 2010-10-18. 
  4. ^ "Mining Journal - First Quantum sells Equinox stake for C$653 million". Retrieved 2010-11-10. 
  5. ^ Zambia: FQM to Lay Off 500 Workers, Africa: AllAfrica.com, 2013 
  6. ^ Zambia: FQM Gets Best Mine Award, International: Reuters, 2013 
  7. ^ Andrew Lanham (5 August 2005). "Kansanshi shows its mettle". Mining Weekly. Retrieved 2011-11-07. 
  8. ^ FQM, Mimosa Ink Mine Deal, International: Equities.com, 2012, retrieved 28 September 2012 
  9. ^ "Kingamyambo Musonoi Tailings SARL". International Finance Corp. Retrieved 2011-11-04. 
  10. ^ Tim Webb (6 September 2010). "Mining companies clash over Congo copper mine". The Guardian. Retrieved 2011-11-07. 
  11. ^ "First Quantum Minerals suspends Kolwezi Tailings Copper Mine Development". Proactive Investors. 18 Sep 2009. Retrieved 2011-11-07. 
  12. ^ Chanel de Bruyn (30 August 2010). "DRC withdraws permit for First Quantum's Frontier mine". Mining Weekly. Retrieved 2011-11-07. 
  13. ^ "Frontier Project". 24hGold. Retrieved 2011-11-04. 
  14. ^ Jon A. Nones (2007-12-17). "First Quantum Reopens Frontier, Lonshi Mine Remains Closed". Resource Investor. Retrieved 2011-11-07. 
  15. ^ BRENDA BOUW (May 25, 2010). "Investors flee copper miner First Quantum". Globe and Mail. Retrieved 2011-11-07. 
  16. ^ "Congo minister denies reports of mine stake sale". Reuters. Aug 17, 2011. Retrieved 2011-11-08. 

External links[edit]