By: Creamer media

In its June quarterly report, released on Wednesday, First Quantum said that it had resumed shipments of concentrate from the controversial Cobre Panama mine, marking the first exports since the government ordered a suspension of operations in late 2023.

The restart follows formal approval of a preservation and safety plan by authorities, allowing the company to begin exporting 8 248 t of copper stockpiled on-site. The first shipment left Panama in June, with two more loads dispatched in July and a final shipment expected soon.

First Quantum reported that government officials and independent citizen observers were present for the initial shipments.

The company is using the proceeds from these shipments to fund salaries, local suppliers, and environmental stewardship as it implements the preservation plan.

The mine’s thermoelectric power plant is expected in the fourth quarter, with pre-commissioning under way. Preservation costs averaged $15-million a month in the second quarter and are expected to rise to between $17-million and $19-million when the plant restarts.

PRODUCTION SLIPS

Outside Panama, First Quantum reported a 9% drop in copper output for the second quarter to 91 069 t. Kansanshi production fell to 40 103 t owing to lower ore grades, while Sentinel produced 43 108 t. Nickel production at Enterprise dropped 14% to 4 018 t.

Despite the decline, First Quantum maintained full-year guidance and highlighted progress at its Kansanshi S3 expansion in Zambia, which is on schedule for first production in the second half of the year. Gold production also remained strong at 27 764 oz, bolstered by upgraded gravity concentrators.

The company posted second-quarter adjusted earnings of $17-million, supported by higher gold sales and improved copper prices. A new gold hedging programme was initiated during the quarter to strengthen liquidity.

"While copper production was lower during the quarter, we are confident of a stronger second half of the year and we remain on track to achieve our 2025 guidance," said CEO Tristan Pascall.