NEWS RELEASE :
FIRST QUANTUM MINERALS LTD.
Suite 450 - 800 West Pender Street,
Vancouver, BC, V6C 2V6
Ph: (604) 688-6577 Fax: (604) 687-7657 Toll Free 1-888-688-6577
NEWS RELEASE
Bwana Mkubwa Copper Mine at Full Production
March 30, 1998 Trading Symbol: FM
First Quantum is pleased to announce that copper production at its 100% owned Bwana Mkubwa
Copper Mine ("BMCM") at Ndola in northwest Zambia is now running at full capacity. First
Quantum is the first company to start a new operation under Zambia's new mining code.
Commissioning has been completed successfully ahead of schedule and within budget. Copper
grades of the monitored slurries and recoveries are to expectations and first cathodes will be
stripped of copper in the next few days ready for shipment via rail by month's end.
On a recent tour of BMCM by Zambian government officials, Mines Minister Syamukayumbu
Syamujaye was impressed with the fast pace and optimistic atmosphere surrounding the
development. The Honourable Minister was also pleased by the strong cooperation between the
government and First Quantum in making BMCM a model result of Zambia's new economic
policies.
The BMCM is an integrated copper and acid operation based on the famous Bwana Mkubwa
copper mine on the Zambian Copperbelt. The project involves the re-treatment of 8.4 million tonnes
of 0.73% copper oxide tailings emanating from previous mining operations by SXEW technology.
At full production, the US$30 million plant will produce annually 10,000 tonnes of copper cathode
and 110,000 tonnes of sulphuric acid of which 70,000 tonnes will be available for sale to satisfy the
growing demand for acid in an area where a critical shortage has existed for several years. The
stand-alone sulphuric acid plant has been operational since January 1998 and acid sales have
commenced.
It is anticipated that by the end of the company's fiscal year (November '98) over 7080 tonnes of
Grade A copper cathode and 150 tonnes of scrap copper as well as 44,000 tonnes of excess
sulphuric acid will be produced. Net operating costs for copper are projected at US$0.33/lb. When
acid credits are considered, based on a weighted average selling price for 1998 of US$209 per
tonne, copper production will be at zero cost. Furthermore, the company has sold forward to
August 1999, 9600 tonnes of copper cathode at an effective price of US$0.874 cents/pound or
US$1923 per tonne.
Management is optimistic that the current 5 year reserve base can be doubled using ore from the old
open pit and other waste deposits within the license area. Furthermore the 5800 hectare license
offers tremendous exploration potential. Using modern geophysical and geochemical techniques an
exploration program has recently started. A number of prospective targets along strike from the
Bwana Mkubwa deposit have been identified and a rotary air blast drill program will commence
shortly.
Management is confident that the acquired experience and knowledge in bringing Bwana Mkubwa
into production will be instrumental in successfully developing the four large, high-grade
copper/cobalt tailings dumps recently acquired in the Democratic Republic of Congo.
On Behalf of the Board of Directors
of First Quantum Minerals Ltd. 12G3-2b-82-4461
Listed in Standard & Poor's
"signed" Sedar Profile #00006237
____________________________ Web Site: www.first-quantum.com
Michael D. Philpot, Director Email: info@first-quantum.com |
