FQM.L Regulatory News (FQM)

12 Feb 2008 18:00

First Quantum Minerals Ld12 February 2008 NEWS RELEASE 08-02 February 12, 2008 www.first-quantum.com FIRST QUANTUM MINERALS PUBLISHES RESOURCE FOR GUELB MOGHREIN COPPER-GOLD MINE IN MAURITANIA First Quantum Minerals Ltd. ("First Quantum" or the "Company", TSX Symbol "FM",LSE Symbol "FQM") is pleased to announce the completion of an independentmineral resource estimate for the Mauritania Copper Mines S.A. ("MCM") GuelbMoghrein copper-gold mine in Mauritania, Northwest Africa. First Quantum holdsan 80% interest in MCM. Independent Mineral Resource The independent mineral resource estimate includes the results of an infill andexploration drilling program conducted by MCM between May and September 2006.The program included 28 diamond core holes totaling 4,011 meters. A total of2,047 half core samples were assayed for copper and gold at two offshoreindependent laboratories (SGS, Lakefield, Canada, and Genalysis LaboratoryServices Pty Ltd., Maddington, Western Australia). Data verification wasundertaken by Snowden Mining Industry Consultants Ltd. ("Snowden") in accordancewith normal industry practices. The mineral resource is quoted at a cut off grade (COG) of 0.75 % copper. NoCOG was applied to gold and the gold grades represent those associated with thecopper mineralization. Guelb Moghrein Occidental Deposit Mineral Resource (as at end July 2007(1)) Resource Copper Ore tonnes Copper Gold Contained Contained Classification COG (%) (Mt) (%) (g/t) copper (Kt) gold (t) SulphideMeasured 0.75 12.38 1.59 1.38 197.10 17.09Indicated 0.75 20.64 1.44 0.93 296.36 19.27Total Sulphide 0.75 33.02 1.49 1.10 493.47 36.37(2) OxideMeasured 0.75 0.36 2.87 2.41 10.31 0.87Indicated 0.75 0.01 2.46 1.81 0.33 0.02Total Oxide 0.75 0.37 2.85 2.39 10.64 0.89 (Sulphide & Oxide)Total Measured &Indicated 0.75 33.39 1.51 1.12 504.11 37.26 (Sulphide & Oxide)Inferred 0.75 2.45 1.37 0.73 33.51 1.78 Guelb Moghrein Project Overview Guelb Moghrein is located near the town of Akjoujt in the interior ofMauritania. Akjoujt is linked to the capital, Nouakchott, via a 250 kilometerpaved road. Nouakchott has an international airport, with regular flights toParis and Las Palmas, and port facilities. Guelb Moghrein exploits copper and gold bearing sulphide ore from the Occidentalopen-pit. The new measured and indicated mineral resources for the Occidentaldeposit, total 33.02 million tonnes of sulphide ore, grading 1.49% total copperand 1.10 grams/tonne of gold, at a cut-off of 0.75% copper; effective from theend of July 2007. This mineral resource represents the remaining in-situmaterial at the Occidental deposit. A small resource of oxide ore is presentwhich will continue to be stockpiled separately for potential processing in thefuture. The Occidental deposit at Guelb Moghrein is considered to be an example of theIron Oxide Copper Gold (IOCG) type deposit that, in terms of its structure andmineralogy, has common features with other IOCG deposits elsewhere in the world.The mineralization is predominantly hosted by ferromagnesian carbonates (FMC).The copper-gold mineralization is hosted primarily within chalcopyrite andpyrrhotite. Magnetite becomes abundant outside the sulphide rich zones of theFMC. The Occidental deposit extends approximately 600 meters along strike anddips to the southwest at 30o to 40o. The eastern and western flanks of theOccidental deposit are fault bounded and the deposit is open at depth. Mining commenced in April 2006. The current mining rate is two million tonnes ofore per year at a strip ratio of 3:1 (waste:ore). Sufficient ore is stockpiledto satisfy production feed for a period of one month. Commissioning of thecopper flotation plant commenced in July 2006 and commercial production began inOctober 2006. The plant currently produces approximately 12,000 tonnes ofconcentrate per month at a grade 25% copper, with credits received for gold inconcentrate. The gold flotation circuit and carbon-in-leach plant is currentlybeing upgraded and will be fully operational by mid-2008. This will result inadditional gold production. There is considerable exploration potential on both the Guelb Moghrein MiningConcession and on Guelb Moghrein's substantial Exploration Permits. In February2007 an exploration program commenced with the objective of locating additionalcopper-gold mineralization. Diamond drilling has been underway on explorationtargets at Guelb Moghrein since August, 2007. NI 43-101 and Qualified Persons The resource estimate was compiled by Snowden on behalf of MCM in accordancewith the standards specified in National Instrument 43-101. The site visit inJuly 2007 was undertaken by Mr. C. J. Bargmann FGS (CGeol) MAusIMM, PrincipalConsultant. The resource estimate and report compilation was undertaken by Mr.C. J. Bargmann and Dr. S. C. Dominy FGS (CGeol) FAusIMM (CP), PrincipalConsultant/General Manager. Both Qualified Persons ("QP") are employees ofSnowden and hold no interests in First Quantum or its associated companies. TheQP's have read and consent to the content of this News Release. The associated technical report will be filed on SEDAR within 45 days of thisnews release. Further Work MCM will use the new mineral resource estimate for Guelb Moghrein to supportlong term planning goals and allow for several expansion options to be fullyevaluated. Mineral reserves will be announced in due course. On Behalf of the Board of Directors 12g3-2b-82-4461of First Quantum Minerals Ltd. Listed in Standard and Poor's G. Clive NewallPresident For further information visit our web site at www.first-quantum.com Contact: Clive Newall, President1st Floor, Mill House Mill Bay Lane Horsham West Sussex RH12 1TQ United Kingdom Tel: +44 140 327 3484 Fax: +44 140 327 3494 E-Mail: clive.newall@fqml.com. Or Harriet Pask or Sarah MacLeod Hogarth Partnership Ltd. Tel: +44 (0) 20 7357 9477 The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. Certain information contained in this news release "forward-looking statements"within the meaning of the Private Securities Litigation Reform Act of 1995 andforward-looking information under applicable Canadian securities legislation.Such forward-looking statements or information, including but not limited tothose with respect to the prices of gold, copper, cobalt and sulphuric acid,estimated future production, estimated costs of future production, the Company'shedging policy and permitting time lines, involve known and unknown risks,uncertainties, and other factors which may cause the actual results, performanceor achievements of the Company to be materially different from any futureresults, performance or achievements expressed or implied by suchforward-looking statements or information. Such factors include, among others,the actual prices of copper, gold, cobalt and sulphuric acid, the factualresults of current exploration, development and mining activities, changes inproject parameters as plans continue to be evaluated, as well as those factorsdisclosed in the Company's documents filed from time to time with the Alberta,British Columbia, and Ontario Securities Commissions, the Autorite des marchesfinanciers in Quebec, the United States Securities and Exchange Commission andthe London Stock Exchange. ENDS -------------------------- 1 The mineral resource statement details remaining in-situ material at theOccidental deposit. Additional optimization work is being undertaken by MCM todefine in-pit mineral resources and reserves. (2) Total Sulphide Measured and Indicated contained gold = 1.17 million ounces This information is provided by RNS The company news service from the London Stock Exchange