Environmental audit a positive step

Research evidence excerpt

Environmental audit a positive step

Deutsche Bank

Research

Rating Company Date

Buy First Quantum 19 June 2026

Company Update

Latin America

North America

Reuters Bloomberg Exchange Ticker Price at 18 Jun 2026 (CAD) 43.31

FM.TO FM CN TOR FM

Price target 50.00

Industrials

52-week range 46.13 - 21.36

Metals & Mining

Valuation & Risks

Cody Hayden

Environmental audit released Research Analyst

The Government of Panama ('GoP') has released the final environmental audit for +44-20-754-13230

the Cobre Panamá ('CP') mine, which highlights broad compliance with most of its

Bastian Synagowitz

~370 environmental commitments under the EIA (and no major breaches). This is Research Analyst

a positive step that paves the way for mine restart negotiations to begin, in our view. +41-44-227-3377

While the audit does not constitute a restart approval, it provides the formal

Liam Fitzpatrick

technical basis required for the GoP to move towards decision-making. We recently

Research Analyst

upgraded FM to Buy as we see attractive risk/reward into a potential CP restart

+44-20-754-13233

decision. We expect the potential restart of CP to also kickstart the next phase of

FM's equity story centred around its attractive growth options in Latam.

Environmental audit the reference point for next steps

The final environmental audit, commissioned by the Panamanian authorities and

released by the government, shifts the debate onto an official technical footing. We

expect it to serve as the reference document in future discussions around

environmental performance and potential restart conditions. While the audit

identified operational strengths, it also revealed findings related to administration,

biodiversity, ecological restoration, and the coordination of environmental

monitoring.