First Quantum Minerals Sees Strong Second Quarter Despite Cobre Panamá Challenges

First Quantum Minerals (TSE:FM) reported strong second-quarter results, driven by higher copper production and revenue at its Zambian assets. The company produced just over 100,000 metric tons of copper during the quarter, a 4% increase from Q1. Copper sales totaled 93,300 tons, about 7,000 tons below production due to timing differences between production and sales.

Revenue increased by 8% to $1.5 billion, while earnings before interest, taxes, depreciation, and amortization (EBITDA) rose 23% to $400 million. Higher copper prices and increased sales supported the results, although higher fuel costs, hedge losses, and preservation and safe management program expenses at Cobre Panamá affected profitability.

Cobre Panamá's stockpile processing began in June, ahead of its prior third-quarter target. The operation processed 2.1 million tons of ore during the second quarter and produced approximately 3,200 tons of copper in concentrate. First Quantum expects its first concentrate shipment from Cobre Panamá in August.