First Quantum to develop new Zambia mine with locals

LUSAKA Mon Aug 6, 2012 3:25am EDT

LUSAKA Aug 6 (Reuters) - Canadian miner First Quantum Minerals has partnered with a Zambian company to develop a new copper mine in central Zambia, the company's director said on Monday.

First Quantum's internal mine model for Fishtie, developed by external mining consultants, indicated a preliminary resource of some 500,000 tonnes of copper, Kwalela Lamaswala told Reuters.

Zambia's Mimosa Resources Ltd and First Quantum were planning further work programmes to advance the development of the project, including drilling and an update of the current resource statement, he said.

"The Fishtie project is significant as it is the first and, until very recently, the only new copper discovery which has proceeded to a mining licence in Zambia," Lamaswala said.

First Quantum was granted a 25-year large scale mining licence for Fishtie in 2010 as the company's attention started shifting to bigger projects like Trident mine and the expansion of Kansanshi, he said.

Lamaswala said First Quantum would retain an interest in Fishtie in order to support Mimosa Resources through the early stages of development.