First Quantum Minerals Ltd. · TSX:FM

First Quantum Minerals — Q3 2017 Earnings Presentation

26 slides from First Quantum Minerals's earnings presentation, Oct 27, 2017

1. Slide 1: First Quantum Minerals Third Quarter 2017 Conference Call & Webcast

   FIRST QUANTUM MINERALS THIRD QUARTER 2017 CONFERENCE CALL & WEBCAST TSX: FM October 27, 2017 1

2. Slide 2: Cautionary Note Regarding Forward-Looking Statement

   CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENT Certain statements and information herein, including all statements that are not historical facts, contain forward-looking statements and forward-looking information within the meaning of applicable securities laws. The forward-looking statements i

3. Slide 3: Cobre Panama Progress – Power Station & Port Overview

   COBRE PANAMA PROGRESS – POWER STATION & PORT OVERVIEW TSX: FM 3

4. Slide 4: Jetty Service Platform Coal & Copper Conveyor Galleries

   COBRE PANAMA PROGRESS – JETTY SERVICE PLATFORM COAL & COPPER CONVEYOR GALLERIES TSX: FM 4

5. Slide 5: Power Station

   COBRE PANAMA PROGRESS – POWER STATION Set 1 Set 2 TSX: FM 5

6. Slide 6: Power Station – Looking South

   COBRE PANAMA PROGRESS – POWER STATION – LOOKING SOUTH TSX: FM 6

7. Slide 7: Power Station – Looking West

   COBRE PANAMA PROGRESS – POWER STATION – LOOKING WEST TSX: FM 7

8. Slide 8: Power Station – Looking East

   COBRE PANAMA PROGRESS – POWER STATION – LOOKING EAST TSX: FM 8

9. Slide 9: Minesite Overview

   COBRE PANAMA PROGRESS – MINESITE OVERVIEW TSX: FM 9

10. Slide 10: Primary Crusher Assembly

    COBRE PANAMA PROGRESS – PRIMARY CRUSHER ASSEMBLY TSX: FM 10

11. Slide 11: Secondary Crushing

    COBRE PANAMA PROGRESS – SECONDARY CRUSHING TSX: FM 11

12. Slide 12: Milling Area

    COBRE PANAMA PROGRESS – MILLING AREA TSX: FM 12

13. Slide 13: Flotation Area

    COBRE PANAMA PROGRESS – FLOTATION AREA TSX: FM 13

14. Slide 14: Thickeners

    COBRE PANAMA PROGRESS – THICKENERS TSX: FM 14

15. Slide 15: Process Water Piping

    COBRE PANAMA PROGRESS – PROCESS WATER PIPING TSX: FM 15

16. Slide 16: Financial Review

    FINANCIAL REVIEW

17. Slide 17: Quarterly Production

    QUARTERLY PRODUCTION Copper production above Q3 2016 Sentinel production 38% above Q3 2016 • Record Sentinel production 15kt higher than Q3 2016 and 10kt higher than Q2 2017. This is despite the power restrictions that were in place from mid-August to mid-September • Kansanshi 8kt below due to lower

18. Slide 18: Q3 2017 Overview

    Q3 2017 OVERVIEW Comparative EBITDA up 38% on Q3 2016 38% Comparative EBITDA $ million $ million (except earning loss per share) Q3 2016 Q2 2017 Q3 2017 Revenue 605 782 877 Gross Profit 80 66 83 Comparative EBITDA1 220 267 304 1 Comparative Earnings (Loss) 37 (18) (28) Comparative Earnings (Loss) pe

19. Slide 19: Quarterly Unit Cash Costs

    QUARTERLY UNIT CASH COSTS Q3 2017 C1 in line with guidance Q3 2017 AISC reflects phasing of capital expenditure 1.71 1.75 1.59 0.15 0.10 1.50 1.36 0.14 0.34 1.61 1.60 1.36 1.45 1.16 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Group excl Sentinel Sentinel impact • Sentinel C1 was $1.62/lb down $0.24/lb o

20. Slide 20: Strengthening the Balance Sheet

    STRENGTHENING THE BALANCE SHEET Debt Maturity Profile at 31 Dec 2016 Pro Forma Debt Maturity Profile with Refinancing $ billion Refinanced in October 2017 Refinanced in March 2017 Covenant Ratio Pro Forma Liquidity with $1.6bn Net debt/EBITDA covenant ratio of 4.7x which is below covenant requiremen

21. Slide 21: Hedging Program Outlook

    HEDGING PROGRAM OUTLOOK Increase in hedge prices going forward Swaps • Copper price protection program continues, up to 1 year forward • Increased use of zero cost collars in 2018 providing protection and potential upside TSX: FM 21

22. Slide 22: Capital Expenditure

    COBRE PANAMA CAPITAL EXPENDITURE Capex estimate revised as several improvements, from experience at both Sentinel and the Kansanshi smelter have been embedded YTD 2017 2017 2018 2019 Cobre Panama $ million Actual Guidance Guidance Guidance Funding ($bn) Total Cobre Panama 865 1,250 868 110 First Qua

23. Slide 23: Market Guidance 2017 - 2019

    MARKET GUIDANCE 2017 - 2019 Copper guidance unchanged Nickel guidance reflects Ravensthorpe C&M Production1 (000’s) 2017 Guidance 2018 Guidance 2019 Guidance Copper – tonnes 570 600 605 Nickel – contained tonnes 18 - - Gold – ounces 200 200 200 Zinc – tonnes 20 20 15 Copper upper guidance range redu

24. Slide 24: Appendix

    APPENDIX FIRST QUANTUM MINER ALS LTD

25. Slide 25: Quarterly Net Debt Movement

    QUARTERLY NET DEBT MOVEMENT Opening Net Debt at June 30, 2017 ($ million) (4,771) Comparative EBITDA 304 Working Capital (74) Gross capital expenditure (480) Net Interest 1 (148) Franco-Nevada precious metal stream 72 KPMC contribution 72 Taxes paid (6) Exchange gains on cash and cash equivalents 11

26. Slide 26: First Quantum Minerals Third Quarter 2017 Conference Call & Webcast

    FIRST QUANTUM MINERALS THIRD QUARTER 2017 CONFERENCE CALL & WEBCAST TSX: FM October 27, 2017 26

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