First Quantum Provides Update on Panama

(In United States dollars, except where noted otherwise)

TORONTO, Nov. 03, 2023 (GLOBE NEWSWIRE) -- First Quantum Minerals Ltd. (“First Quantum” or “the Company”) (TSX: FM) notes that during the week commencing October 30, 2023, the National Assembly of Panama held ordinary and extraordinary sessions concerning Bill 1109 and Bill 1110. Bill 1109 relates to the initially proposed popular consultation regarding Law 406. Law 406, enacted on October 20, 2023 by the National Assembly of Panama, approved the revised contract for the Cobre Panama mine agreed between the Company’s Panamanian subsidiary, Minera Panama S.A, (“MPSA”), and the Government of Panama. Bill 1110 originally proposed a moratorium on the granting of new concession contracts related to mining in Panama.

With respect to Bill 1109, following the first of three required debates that took place during the final ordinary session of the National Assembly on October 31, 2023, no further debates took place during the extraordinary sessions on November 2 and 3, 2023. It is the Company’s understanding that no further debates of Bill 1109 are currently scheduled.

Bill 1110 progressed through two debates of the National Assembly, during which an amendment was made to the bill proposing the repeal of Law 406. During the third debate concerning Bill 1110 on November 2, 2023, the National Assembly resolved to send the bill back to the second debate and removed the amendment proposing the repeal of Law 406. An extraordinary session has been called for November 3, 2023.

The Company notes that a number of lawsuits challenging the constitutionality of Law 406 have been submitted to the Supreme Court of Justice, of which at least four have been admitted. First Quantum continues to monitor the situation and is confident with respect to its legal position and that of MPSA, in respect of all matters and developments referenced herein and reserves all of its and MPSA’s rights in Panama and internationally.

Production at the Cobre Panama mine remains uninterrupted at this time, however, like many businesses across Panama, protests, including blockades of key roads, have caused disruptions on site as well as shortages in certain supplies.

First Quantum is proud of its contribution to Panama. The Cobre Panama mine plays an important role in Panama’s economic development. Approximately 90% of the workforce at Cobre Panama is Panamanian and it is estimated that approximately 1 in 50 people from Panama’s working population is employed, directly or indirectly, by the mine¹. With Cobre Panama, the country will play a key role in the green energy transition by delivering the copper required for renewable power and electric vehicles. The copper produced by Cobre Panama in 2022 would be enough for more than 6 million electric cars².