PROVIDES MINERAL RESOURCE AND RESERVE ESTIMATES FOR ITS SENT
First Quantum Minerals Ltd. ("First Quantum" or the "Company", TSX Symbol "FM", LSE Symbol "FQM") today issued the mineral resource and reserve estimates for its Sentinel copper project in Zambia. The project is part of the Trident project that is located approximately 150 kilometres west of the Company's flagship Kansanshi mine.
Highlights:
· An estimated measured and indicated ("M&I") resource of 1,027 million tonnes ("Mt") @ 0.51% copper ("Cu"), using a 0.2% Cu cut-off, containing 5.2 Mt of Cu.
· An estimated recoverable proved and probable mineral reserve of 774 Mt @ 0.50% Cu, using a 0.2% Cu cut-off, containing 3.9 Mt of Cu.
· A strip ratio of 2.2:1.
· A mine life estimated to be in excess of 15 years with potential to increase with planned delineation drilling and future successful exploration.
"These independent third-party estimates confirm those of our exploration team and justify our plans to develop Sentinel into a state-of-the-art facility capable of producing up to 300,000 tonnes of copper in concentrate annually. Our strategy is to develop this facility over a two-year timeframe at the same time as a new copper smelter in Zambia that would process all of Sentinel's concentrate production, eliminating the need to export concentrate to offshore smelters."
"Altogether, we estimate Sentinel and the smelter project will require a capital investment of over US$2.4 billion, including an extensive infrastructure development program, and create approximately 2,400 direct jobs for Zambians."
"We plan to fully activate the development of Sentinel on conclusion of commercial negotiations that are currently underway," noted Mr. Philip Pascall, First Quantum's Chairman and CEO.
Qualified Persons
Sentinel's maiden mineral resource estimate has been developed and the data has been verified by G. White, BSc(Hons), FAusIMM, FGS - Principal Geologist, of CSA Global (UK) an independent consultant and a Qualified Person for the purpose of National Instrument 43-101 "Standards of Disclosure for Mineral Projects" ("NI 43-101").
The mineral reserves have been developed and the data has been verified by independent consultants N. Journet of DumpSolver Pty Ltd and A. Cameron of AJ Cameron and Associates, both Qualified Persons for the purpose of NI 43-101.
The mineral resource and reserve estimates have been made in accordance with the standards specified in NI 43-101.
Mineral Resource
The mineral resource estimate utilized over 172,000 metres of diamond drill core in 514 holes completed since the purchase of the project in February 2010. The mineral resource is reported at a 0.2% Cu cut-off and grade was estimated using Ordinary Kriging and Uniform Conditioning into a block model within constraining mineralized wireframes based on a 0.15% Cu cut-off.