First Quantum to sell Cayeli mine for $340M (U.S.)

Executive Summary

• First Quantum Minerals Ltd. has entered into a binding agreement to sell its Cayeli mine in Turkey to Cengiz Insaat (controlled by Cengiz Holding) for $340 million in cash.
• The transaction includes an initial advance payment of $50 million, which is creditable against the final purchase price at closing.
• The deal is subject to customary conditions and regulatory approvals, with an expected closing date in the second or third quarter of 2026.

Key Details

• Transaction Value: $340 million USD cash consideration, subject to customary adjustments at closing.
• Advance Payment: $50 million paid simultaneously with the announcement, credited against the purchase price at closing.
• Buyer: Cengiz Insaat, a company controlled by Cengiz Holding.
• Closing Timeline: Expected during the second or third quarter of 2026.
• Asset Details: The Cayeli mine is located on the Black Sea coast of northeastern Turkey. It has produced copper and zinc concentrates via conventional underground mining since 1994.
• Operational Update: In 2025, a maiden mineral resource was defined for a newly identified copper and zinc deposit named the "South orebody," extending the operating life of Cayeli to 2036.
• Advisers: BMO Capital Markets served as financial adviser; Simmons & Simmons served as legal adviser.

Notable Quotes

• "For more than a decade, the performance of Cayeli within First Quantum has been underpinned by the dedication of its employees and a strong safety and operating culture. The sale reflects the company's disciplined approach to portfolio management as we focus on our core strategic priorities," said Tristan Pascall, chief executive officer of First Quantum.