First Quantum Minerals, a Canadian mining company known for operating copper, nickel, and gold mines worldwide, has agreed to sell its Çayeli mine in Türkiye to Cengiz Holding. Cengiz Holding is a prominent Turkish conglomerate with significant experience in mining, construction, and energy sectors. The sale, valued at $340 million in cash, is part of First Quantum’s ongoing efforts to refine its business focus and strengthen its core operations.
In mining and finance, some terms can be confusing. Here are explanations for several used in this article:
- Portfolio optimisation strategy: This means a company is reviewing and adjusting its mix of assets to focus on those that best support its goals. For First Quantum, selling the Çayeli mine helps concentrate on its strongest and most strategic projects.
- Customary closing adjustments: These are standard changes made to the final purchase price of a business, based on things like inventory levels, debts, or expenses, just before the sale is completed.
- Maiden mineral resource estimate: This refers to the first official calculation of how much valuable mineral is present in a newly discovered area of a mine. It helps determine if mining there is economically worthwhile.
Through its subsidiary Cengiz Insaat, Cengiz Holding will purchase the Çayeli mine, which operates underground and produces copper and zinc. The agreement was officially announced on Thursday. Cengiz will pay $340 million in cash for the mine, with a $50 million advance already paid. This advance will be subtracted from the total at closing. The transaction is still waiting for regulatory approvals and is expected to be finalised during the second or third quarter of 2026. As with most business sales, the final price may be adjusted based on customary closing adjustments.
Located on the Black Sea coast in north-eastern Türkiye, the Çayeli mine has been producing copper and zinc concentrates from underground operations since 1994. It has contributed significantly to the local economy by providing jobs, supporting community development, and fostering regional growth. In 2025, a maiden mineral resource estimate for a newly discovered section called the South Orebody extended the expected life of the mine to 2036. This means the mine will continue to provide economic benefits to the region for many years.
First Quantum’s CEO, Tristan Pascall, praised the Çayeli mine’s employees and its strong safety culture, noting that the sale is a disciplined step in managing the company’s portfolio. While First Quantum focuses on its core priorities, Cengiz Holding will take over operations, bringing its expertise and resources to the mine and the surrounding community.
This sale marks a significant shift for both companies and the region. First Quantum Minerals continues to strengthen its core business, while Cengiz Holding expands its mining portfolio. The Çayeli mine will remain a vital contributor to the local economy and community, with its future secured under new ownership.