First Quantum Minerals (FQVL.F) Update / Briefing August 05, 2025 09:00 AM ET Speaker0Good morning, everyone, and thank you for joining us on today's Kansanshi Goldstream acquisition. My name is Drew, and I'll be the operator on today's call. During the call, we will have a Q and A session following the prepared remarks. It's now my pleasure to hand over to Alastair Baker, Senior Vice President, Investor Relations and Business Development to begin. Please go ahead when you're ready.Speaker1Thank you, Drew. ...

Core Viewpoint - First Quantum Minerals Ltd. has entered into a gold streaming agreement with RGLD Gold AG, securing a $1.0 billion upfront cash payment in exchange for gold deliveries linked to copper production from the Kansanshi Mine in Zambia [1][2]. Transaction Highlights - The transaction preserves the company's exposure to copper production while maintaining a majority of its gold production [2]. - The upfront cash payment of $1.0 billion will be received on August 6, 2025 [6]. - The agreement allows for ongoing production payments equivalent to 20% of the prevailing spot gold price, increasing to 35% upon achieving certain leverage thresholds [6]. Agreement Terms Summary - First Quantum will deliver gold based on copper production with stepdown terms: 75 ounces of gold per million pounds of copper until 425,000 ounces are delivered, 55 ounces until an additional 225,000 ounces are delivered, and 45 ounces thereafter [6]. - The transaction is expected to significantly strengthen the company's balance sheet by providing long-term, unsecured, non-debt capital [6]. - The company retains full exposure to 84% of its total gold production linked to spot gold prices based on production guidance for 2026 and 2027 [6]. Financial Impact - The transaction is anticipated to reduce the company's net debt to EBITDA ratio markedly upon closing [6]. - Proceeds from the transaction will be allocated towards capital expenditure, working capital, and bank loan repayment [6]. Strategic Partnership - The partnership with Royal Gold is viewed as a strong endorsement of the operations at Kansanshi and Zambia's mining jurisdiction [2].