HomeBase MetalsFirst Quantum's big fourth quarter loss

First Quantum’s big fourth quarter loss

The conveyor system
at First Quantum’s
Kanshansi mine in
north-western Zambia
Vancouver, Canada — MININGREVIEW.COM — 09 March 2009 – First Quantum Minerals Limited – a growing mining and metals company whose principal activities include mineral exploration, development and mining in Africa – has reported a wider-than-expected fourth-quarter loss, hurt by weak markets and a decline in the price of copper.

The results statement for the fourth quarter of 2008 issued here revealed that the copper and gold miner’s quarterly loss was US$491.6 million (R5.1 billion), or US$7.19 (R75) per share, compared with net income of US$135.3 million (R1.4 billion), or US$1.97 (R20.5) a share, a year earlier.

The First Quantum release pointed out that the effects of the global economic crisis and consequential significant reduction in the demand for copper had resulted in the London Metal Exchange copper price declining by 54% in the fourth quarter.

For 2009, First Quantum is forecasting copper production at 380 000 tonnes and gold at 240 000 ounces.

It also revealed that development of its Kevista facility in Finland had been deferred, pending a detailed engineering review and capital costing, and further delineation.

Shares of the company closed at C$33.24 Friday on the Toronto Stock Exchange.