Kansanshi S3 Expansion Reaches 83% Completion, First Output Expected in Second Half of 2025

First Quantum Minerals reported that construction of the Kansanshi S3 expansion project in Zambia reached 83% completion by the end of the first quarter of 2025. The company confirmed that 20% of systems have already been handed over for commissioning, with first production on track for the second half of the year. Commissioning activities have started, including energizing the majority of the 33kV distribution network and substations, introducing water to the site, and initial operation of the SAG mill.

In the first quarter of 2025, total copper production across the company’s operations was 99,703 tonnes, representing an 11% decline from the previous quarter. Kansanshi contributed 46,544 tonnes of copper, while Sentinel produced 46,361 tonnes, both affected by seasonal heavy rains that constrained mill throughput. The Enterprise operation achieved a 25% increase in nickel output, reaching 4,649 tonnes as ore supply ramped up.

First Quantum maintained and extended supplementary power arrangements with regional traders to support the S3 expansion, anticipating that up to 60% of electricity could be imported as the project ramps up. The company also secured a USD 500 million copper prepayment agreement, guaranteeing delivery of 50,000 tonnes of Zambian copper anode annually for the next three years. Additionally, roughly half of planned 2025 copper production is protected by zero-cost collar hedges.

Operational readiness for the S3 expansion reached 75%, with ongoing training and recruitment. At the smelter, major equipment installations and commissioning are underway, including the Wet Gas Booster Fan, oxygen plant, and Acid Plant 5. The S3 project is considered a key contributor to Zambia’s goal of reaching 3 million tonnes of annual copper output by 2031.