First Quantum Minerals Ltd. (TSX: FM) announces that the Government of Panama has formally approved the removal, processing and export of stockpiled ore at Cobre Panamá that was extracted prior to the suspension of operations.

The processing of stockpiled ore is intended to mitigate environmental and operational risks associated with prolonged on‑site storage, including the potential for acid rock drainage, while also providing important feed material to the tailings management facility. This activity does not constitute a reopening of the mine and will not involve any new drilling, blasting, or reactivation of mining operations.

“We welcome the formal approval to proceed with the removal and processing of stockpiled ore, which represents an important step in the responsible environmental management of Cobre Panamá, particularly with respect to water and tailings stewardship. The Processing Program is expected to create more than 1,000 direct jobs and generate meaningful economic contributions through royalties and local economic activity.” said Tristan Pascall, Chief Executive Officer of First Quantum.

The total stockpile is estimated at approximately 38 million tonnes of mineralized ore at varying grades, containing approximately 70,000 tonnes of recoverable copper. The Company is focused on the safe and responsible execution of preparation works ahead of the commencement of stockpile processing:

• Rebuilding the workforce: Cobre Panamá has initiated the hiring and training of approximately 1,000 additional employees to expand the current workforce to 3,000 employees. Employment is expected to be generated across maintenance, processing, environmental management, logistics, and support services. First Quantum intends, where possible, to prioritize the re‑employment of local community members and former Cobre Panamá workers. In addition, the Processing Program is expected to support further employment through contractors and indirect jobs across equipment supply, transportation, logistics, food services, and other local industries.
• Re‑establishing critical supply chains and inventory replenishment: Cobre Panamá has begun re‑establishing critical supply chains, including with local Panamanian suppliers, for the replenishment of consumables, spare parts, reagents, fuel, and other essential materials required for safe and efficient processing activities.
• Site readiness and facilities preparation: The Processing Program will utilize the existing in‑pit crushers, conveyors, process plant, and flotation circuit. Inspections conducted to date indicate that minor repairs are required, primarily related to the flotation and concentrate handling circuits. While the Processing Program will allow for testing of all three milling circuits, it is expected that facilities will initially operate at approximately one‑third of nameplate capacity in order to ensure the highest quality operations as is practically achievable after a long period of shutdown.

The Company expects these preparation and pre-commissioning works to require up to three months until the commencement of stockpile processing. The required capital is estimated at approximately $250 million, primarily comprised of working capital to replenish inventories. The processing of stockpiled ore will be carried out in close coordination with the GOP and in strict compliance with the approved Preservation and Safe Management plan.

About First Quantum

First Quantum is engaged in the production of copper, nickel and gold, and related activities including exploration and development. The Company has operating mines located in Zambia and Mauritania. The Company’s Cobre Panamá mine was placed into a phase of Preservation and Safe Management in November 2023. The Company’s Ravensthorpe mine was placed into a care and maintenance process in May 2024. The Company is progressing the Taca Taca copper-gold-molybdenum project in Argentina and is exploring the La Granja and Haquira copper deposits in Peru.