FIRST QUANTUM MINERALS PROVIDES 2017-2019 MARKET GUIDANCE (In United States dollars, except where noted otherwise)
NEWS RELEASE
17-03
January 26, 2017
www.first-quantum.com
FIRST QUANTUM MINERALS PROVIDES 2017-2019 MARKET GUIDANCE
(In United States dollars, except where noted otherwise)
First Quantum Minerals Ltd. (“First Quantum” or the “Company”, T SX Symbol “FM”) today provided its market
guidance for production, capital expenditure, C1 cash cost and all-in sustaining cost for the years 2017 to 2019.
This guidance does not include any production for the start - up and commissioning of Cobre Panama and any expansion
of the Kansanshi mine as the timing of both depends on a number of factors, which cannot be properly assessed at this
stage.
PRODUCTION GUIDANCE
000’s 2017 2018 2019
Copper – tonnes 570 600 605
Nickel – contained tonnes 25 25 25
Gold – ounces 200 200 200
Zinc – tonnes 20 20 15
PRODUCTION GUIDANCE BY OPERATION
Nickel - 000’s contained tonnes 2017 2018 2019
Ravensthorpe 25 25 25
Copper - 000’s tonnes 2017 2018 2019
Kansanshi 240 245 245
Sentinel 195 215 235
Las Cruces 70 70 70
Guelb Moghrein 34 36 30
Çayeli 21 23 20
Pyhäsalmi 10 11 5
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PRODUCTION GUIDANCE BY OPERATION - continued
Gold - 000’s ounces 2017 2018 2019
Kansanshi 145 145 145
Guelb Moghrein 50 50 50
Pyhäsalmi 5 5 5
Zinc - 000’s tonnes 2017 2018 2019
Çayeli 5 5 5
Pyhäsalmi 15 15 10
CAPITAL EXPENDITURE GUIDANCE1
$ millions 2017 2018 2019
Total Cobre Panama 1,060 830 110
Third-party contribution (420) (330) (200)
First Quantum’s share of Cobre Panama 640 500 (90)
Capitalized stripping 200 200 200
Sustaining capital and other non-major projects 230 150 150
Total net capital expenditure 1,070 850 260
1Excludes capitalization of any net pre-commercial production costs and capitalized interest.
C1 CASH COST AND ALL-IN SUSTAINING COST GUIDANCE2
C1 Cash Cost3 - $ per pound 2017 2018 2019
Copper 1.20 – 1.40 1.20 – 1.40 1.20 – 1.40
Nickel 4.60 – 4.80 4.60 – 4.80 4.60 – 4.80
All-in sustaining cost4 – $ per pound
Copper 1.65 – 1.80 1.65 – 1.80 1.65 – 1.80
Nickel 5.10 – 5.40 5.10 – 5.40 5.10 – 5.40
2Copper guidance provided includes estimates for Sentinel but not for Cobre Panama.
3C1 cash cost includes all mining and processing costs less any profit s from by-products such as gold, cobalt or
zinc. TC/RC and freight deductions on metal sales, which are typically recognized as a component of sales
revenues, are added to C1 cash cost to arrive at an approximate cost of finished metal.
4All-in sustaining cost is defined as C1 cash cost plus general and administrative expenses, sustaining capital
expenditure, deferred stripping and royalties.
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On Behalf of the Board of Directors of First Quantum Minerals Ltd.
G. Clive Newall
President
For further information visit our website at www.first-quantum.com
North American contact: Sharon Loung, Director, Investor Relations
Tel: (647) 346-3934 Fax: (604) 688-3818 Toll Free: 1 (888) 688-6577 E-Mail: [email protected]
United Kingdom contact: Clive Newall, President
Tel: +44 140 327 3484 Fax: +44 140 327 3494 E-Mail: [email protected]
Cautionary statement on forward-looking information
Certain statements and information herein, including all statements that are not historical facts, contain forward -looking
statements and forward -looking information within the meaning of applicable securities laws. The forward -looking
statements include estimates, forecasts and statements as to the Company’s expectations of production and sales volumes,
commissioning and reaching commercial production at Sentinel and expected timing of completion of project
development at Enterp rise and Cobre Panama and are subject to the impact of ore grades on future production, the
potential of production disruptions, capital expenditure and mine production costs, the outcome of mine permitting, the
outcome of legal proceedings which involve t he Company, information with respect to the future price of copper, gold,
cobalt, nickel , zinc, pyrite and sulphuric acid, estimated mineral reserves and mineral resources, First Quantum’s
exploration and development program, estimated future expense s, exploration and development capital requirements, the
Company’s hedging policy, and goals and strategies. Often, but not always, forward -looking statements or information
can be identified by the use of words such as “plans”, “expects” or “does not expe ct”, “is expected”, “budget”,
“scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate” or “believes” or variations of such
words and phrases or statements that certain actions, events or results “may”, “could”, “would”, “mig ht” or “will” be
taken, occur or be achieved.
With respect to forward -looking statements and information contained herein, the Company has made numerous
assumptions including among other things, assumptions about continuing production at all operating facilities, the price of
copper, gold, nickel, zinc , pyrite, cobalt and sulphuric acid, anticipated costs and expenditures and the ability to achieve
the Company’s goals. Forward-looking statements and information by their nature are based on assumptions and involve
known and unknown risks, uncertainties and other factors which may cause the actual results, performance or
achievements, or industry results, to be materially different from any future results, performance or achievements
expressed or implied by such forward -looking statements or information. These factors include, but are not limited to,
future production volumes and costs, the temporary or permanent closure of uneconomic operations, costs for inputs such
as oil, power and sulphur, political stability in Zambia, Peru, Mauritania, Finland, Spain, Turkey, Panama, Argentina and
Australia, adverse weather conditions in Zambia, Finland, Spain, Turkey and Mauritania, labour disruptions, power
supply, mechanical failures, water supply, procurement a nd delivery of parts and supplies to the operations, and the
production of off-spec material.
See the Company’s Annual Information Form for additional information on risks, uncertainties and other factors relating
to the forward -looking statements and inf ormation. Although the Company has attempted to identify factors that would
cause actual actions, events or results to differ materially from those disclosed in the forward -looking statements or
information, there may be other factors that cause actual res ults, performances, achievements or events not to be
anticipated, estimated or intended. Also, many of these factors are beyond First Quantum’s control. Accordingly, readers
should not place undue reliance on forward -looking statements or information. The Company undertakes no obligation to
reissue or update forward-looking statements or information as a result of new information or events after the date hereof
except as may be required by law. All forward -looking statements and information made herein are qualified by this
cautionary statement.