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First Quantum Minerals Ltd reported comparative earnings of USD 87 million, net earnings attributable to shareholders of the Company of USD 78 million and cash flows from operating activities of USD 179 million for the three months ended June 30, 2019. Production in the quarter was 168,399 tonnes of copper including 30,896 tonnes of pre commercial production, gold production of 59,647 ounces including 10,550 ounces of pre commercial production and zinc production of 4,123 tonnes.
SUMMARY:
Operational Highlights:
1. Quarterly record copper production of 168,399 tonnes of copper produced including 30,896 tonnes of pre commercial production at Cobre Panama. Total production is 12% higher than the same period in 2018.
-- Cobre Panama produced 30,896 tonnes of copper (pre-commercial) in the quarter and commenced the shipping of copper concentrate with the first shipment in late June.
-- Guelb Moghrein Q2 copper production of 7,750 tonnes is a 34% increase from the same period in 2018.
-- Sentinel copper production was comparable with Q2 2018 producing 54,977 tonnes of copper.
-- Kansanshi production was impacted by the lower grades in the oxide ore circuit and lower recoveries in the oxide and mixed ore circuits slightly offset by higher throughput in all circuits. Copper production totalled 58,634 tonnes for Q2.
2. 28% increase in total gold production of 59,647 ounces from Q2 2018, including 10,550 ounces of pre-commercial gold production at Cobre Panama. Commercial gold production increased by 6%.
3. Q2 unit cost of copper production3: All-in sustaining cost = USD 1.77 per pound; Cash cost = USD 1.32 per pound; Total cost = USD 2.17 per pound.
-- Sentinel C1 and AISC declined by over 10%, to USD 1.55 per pound and USD 2.06 per pound respectively, related to efficiencies in labour and contractor costs, maintenance costs and foreign exchange.
4. Safety improved in the quarter with the 12- month rolling Lost Time Injury Frequency rates declining to 0.05 per 200,000 hours worked, an improvement from 0.06 in Q1 2019.