First Quantum Minerals Invests $15.2M in Prospect Resources to Boost Zambia Copper Project
Strategic Partnership Accelerates Mumbezhi Copper Development
Johannesburg: Global mining leader First Quantum Minerals (FQM) has made a strategic $15.2 million investment in Australian explorer Prospect Resources, acquiring a 15% stake to accelerate development of the Mumbezhi copper project in Zambia’s prolific copper belt.
Premium Investment Signals Strong Confidence
The deal involves Prospect issuing 101.06 million new shares to FQM at $0.15 each – representing a 36% premium over the last closing price and 28% above the 20-day average. This premium investment underscores FQM’s confidence in the Mumbezhi deposit’s potential.
Located just 25km from FQM’s Sentinel copper mine, Mumbezhi contains an estimated 107.2 million tonnes grading 0.5% copper, totaling 514.6 kilotonnes of the red metal.
Game-Changing Partnership for Copper Exploration
Prospect Managing Director Sam Hosack called the partnership transformative: “First Quantum’s investment provides crucial funding and technical expertise to accelerate our Mumbezhi exploration. Their regional knowledge will help us identify new prospects and expand resources faster than we could alone.”
FQM brings extensive Zambian experience, operating the Sentinel and Kansanshi mines which produced 402,000 tonnes of copper-in-concentrate in 2024. The company is currently expanding Kansanshi’s smelting capacity to handle increasing lower-grade sulphide ores.
Strengthening Position in Copper Belt
As part of the agreement, FQM gains board representation rights while maintaining at least a 10% stake. This strategic move strengthens FQM’s position in one of the world’s most promising copper regions while providing Prospect with financial backing and technical support.
The deal highlights growing global demand for copper assets amid the energy transition, with major players securing stakes in high-potential projects across Africa’s copper belt.