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Japanese trading giant, Mitsui & Co, has reportedly emerged as the leading bidder for a 20 percent stake in First Quantum Minerals’ (FQM) Zambian copper operations, including the Sentinel and Kansanshi mines.
According to a Bloomberg report cited by Mining Weekly, Mitsui’s bid outpaces a competing offer from Saudi Arabia’s state-backed Manara Minerals Investment Company.
Sources close to the matter disclosed that Mitsui’s proposal values the stake at approximately US$2 billion, although details remain private.
If successful, the deal would mark Mitsui as the first Japanese company to secure a significant share in Zambia’s mining sector.
However, deliberations are ongoing, and there was no certainty that a transaction would be finalised. FQM may consider other buyers or decide against a sale entirely.
Read more:Saudi Mining giant, Manara Minerals, reportedly set to acquire $2 billion stake in FQM
First Quantum’s stock has surged by 67 percent on the Toronto Stock Exchange this year, bringing its market value to C$15.1 billion ($10.8 billion). Zambia accounted for nearly half of the company’s copper output and revenue in 2023.
Copper remains a key focus for investors due to its critical role in electric vehicle production and renewable energy infrastructure.
Despite surging demand, a lack of new mining projects has heightened interest in established assets like those of FQM.
Representatives for Mitsui, FQM, and Manara Minerals have declined to comment on the ongoing negotiations.
In March this year, the Canadian mining giant First Quantum Minerals began seeking equity partners to raise capital for its Zambian operations.
The move has since attracted bids from several high-profile investors vying for a stake in the company’s copper mining projects.
In October, Manara Minerals, a joint venture between Saudi Arabia’s Ma’aden and the country’s US$925 billion Public Investment Fund, reportedly entered advanced talks to acquire a 20 percent stake in First Quantum.
Additionally, global mining powerhouse Rio Tinto Group and Manara Minerals are among the suitors said to be considering offers, highlighting the rising interest in First Quantum’s strategic copper assets as demand for the metal continues to surge globally.
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