Saudi player Manara eyes Zambia copper stake

Zambia

LUSAKA, October 18, 2024 – Saudi Arabia’s Manara Minerals Investment Company is eyeing a stake in First Quantum’s Zambia copper and nickel projects, Reuters reported on Friday.

A source close to the matter said the globally active Saudi minerals investor is in advanced talks with the Canadian mining company.

The acquisition of a minority stake of 15-20% – worth as much as USD 2 billion – is reportedly on the table. If a deal is reached, it is likely to be signed by the end of this year.

First Quantum operates Zambia’s Kansanshi and Sentinel copper mines, as well as the Enterprise nickel mine. At Kansanshi, the company is implementing an expansion that aims to double the mine’s 2023 production level to reach 277,000 tonnes per year by 2033.

The Kansanshi Mining venture is currently 80% held by the Canadian player, with Zambia’s state-owned ZCCM-IH holding the remaining 20%.

Manara is a venture between the Saudi Arabian Mining Company (Ma’aden) and the country’s Public Investment Fund for investment in mining assets globally and supporting the development of resilient global supply chains.

Vancouver-headquartered First Quantum is a global mining company producing copper, nickel, gold and cobalt.

Various forecasts have predicted that global copper demand will soar beyond 30 million tonnes per year by 2030, up from 24.8 million tonnes in 2022.

Photo of the Kansanshi mine courtesy of First Quantum.

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