FOR IMMEDIATE RELEASE
WITH PICTURES
SEPTEMBER 30, 2024
KANSANSHI MINING REPORTS STRONG HALF-YEAR PERFORMANCE, DESPITE POWER CHALLENGES
LUSAKA, ZAMBIA – Higher copper prices and improved ore grades helped boost Kansanshi Mining’s financial performance for the first half of 2024, despite continued electricity challenges.
The company, which is a subsidiary of First Quantum Minerals (FQM), reported a net profit of US$117 million, compared with a net loss of US$1.1 million in the same period of last year, with an associated income tax rise to US$56 million from US$3.6 million.
Revenue rose by 25 percent to US$927 million for the half-year, largely on the strength of a 28 percent rise in copper price and a 15 percent increase in copper production to 72,980 tonnes at the mine.
“Our strong performance in the first half of this year is a testament to the company’s continued operational resilience and resourcefulness in the face of the challenging power crisis in Zambia. The progress on the Kansanshi S3 Expansion and the successful mitigation of power disruptions demonstrate our commitment to maintaining operations and investing in the future of Zambia’s mining and energy sectors,” said FQM Director – Zambia Anthony Mukutuma.
The mining firm reported steady progress on its S3 Expansion project at Kansanshi in Solwezi, a key growth initiative for the company, with the installation of major equipment, including the SAG mill and primary crusher, advancing on schedule.
This investment into the Zambian mining sector, with an expected completion date in mid-2025, reaffirms First Quantum’s commitment to the region and its future economic prosperity. The project remains unaffected by the seasonal weather and positions the company for increased output next year.
Production in 2024 is expected to be between 140,000 and 150,000 tonnes of copper, and between 65,000 and 75,000 ounces of gold.
Zambia’s power crisis, exacerbated by drought, has posed significant challenges to the mining sector. Despite ZESCO’s power curtailments increasing to 40 percent as of July, First Quantum has responded by securing alternative power sources. The company is now sourcing 193 MW, or 52 percent of its power needs, from regional suppliers through the Southern African Power Pool. This strategic move has mitigated disruptions, enabling the continuation of operations at Kansanshi, Sentinel, and Enterprise.
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About First Quantum Minerals Ltd
First Quantum Minerals Ltd is a global metals and mining company producing mainly copper, gold and nickel. The company’s assets are in Zambia, Spain, Mauritania, Australia, Finland, Turkey, Panama, Argentina and Peru.
In 2023, First Quantum globally produced 707,678 tonnes of copper, 226,885 ounces of gold and 26,252 tonnes of nickel.
In Zambia it operates the Kansanshi mine and smelter in Solwezi, and the Sentinel copper mine and the Enterprise nickel mine in Kalumbila.
The company is listed on the Toronto Stock Exchange.
http://www.first-quantum.com/
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