First Quantum said to seek buyer for Turkish copper mine

First Quantum Minerals Ltd. is looking to sell its copper and zinc mine in Turkey as it seeks to strengthen its balance sheet, according to people familiar with the situation.

The Canadian company started a sales process this month for Çayeli, one of Turkey’s largest underground mining operations, said the people, who asked not to be identified discussing confidential information. The mine, which is among First Quantum’s smaller assets, is valued at around $400 million, the people said.

There’s no guarantee First Quantum will proceed with the sale, the people said. The company declined to comment.

First Quantum has sought to offload assets since Panama’s government ordered a shutdown of the company’s flagship Cobre Panama copper mine in late 2023, slashing the company’s cash flow. It tried selling a stake in its Zambian mining operations before scrapping the plan last August. The company agreed to sell the Cobre Las Cruces mine in Spain to Global Panduro last month for as much as $190 million.

Çayeli, located on the Black Sea coast of northeastern Turkey, is one of the firm’s smaller operations, producing 11,491 metric tons of copper in 2024. The mine has been producing since 1994.

Panama President José Raúl Mulino said earlier this month that he aims to announce by June a decision on whether to allow a restart of Cobre Panama. The status of the mine has become one of the biggest uncertainties in the global copper market.

(By Jacob Lorinc and Patrick Sykes)