Building an InternationalMining Company

TSX: FM LSE: FQM

September 2008

2

Cautionary Note Concerning Forward-Looking Statements

Some of the statements contained in the following material are forward-looking statements and not statement of facts. Such statements are based on the current beliefs of management, as well as assumptions based on management information currently available.Forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results to differ materially from expected results. Readers must rely on their own evaluation of these uncertainties.

Note: all dollar amounts in US dollars unless otherwise indicated

3

Agenda

The company today

2008 � Growth & diversification

Growth beyond 2008

4

Building an International Mining Company

Core Strength

Discovering, developing andoperating base metal mines efficiently and cost-effectively

5

New Mines $/lb of Capex per Annual Copper Production

6

Delivering Impressive Results

Growth in CopperProduction000�s tonnes

Growth inEarnings$ millions

Growth in OperatingCash Flow

$ millions

3042

119

183

227

�03 �04 �05 �06 �07

528

155

399

520

�03 �04 �05 �06 �07

18 46

237

564

772

�03 �04 �05 �06 �07

7

2008 � Impressive Results Continue

Q2 2008 vs. Q2 2007 Increase

Copper production ↑ 62%

Copper sales

Revenue

Net earnings

Operating cash flow

↑ 85%

↑ 86%

↑ 69%

↑ 73%

8

2008 � Strong Outlook

Operating Targets

� Copper production forecast to increase >35%

� Average cash cost of production between $1.20 - $1.25

30 42

119

183

227

310

�03 �04 �05 �06 �07 �08F

Growth inCopper Production

000�s tonnes

9

Agenda

The company today

2008 � Growth & diversification� new acquisition� existing operations

Growth beyond 2008

10

2008 � A Year of Growth and Diversification

Corporate Developments

� Geographic and commodity diversification

� Acquired 100% of Scandinavian Minerals for approximately $280M� main asset � Kevitsa project (100%)� located 142 kilometres north

of Rovaniemi, the capital of Finnish Lapland

FINLAND

SWEDEN

NORWAY

ESTONIA

Vaasa

Helsinki

Barents Sea

Gulf ofBothnia

White Sea

RUSSIA

Rovaniemi

Kevitsa

Mauritania

DRC

Zambia

11

Kevitsa � One of the World�s Largest Undeveloped Sulphide Nickel Deposits

� Plus important copper, cobalt and platinum by-product credits

0.120.090.090.010.460.292910.2

0.090.080.070.010.320.225440.1

Inferred

0.280.180.120.010.420.301410.2

0.200.130.090.010.290.222870.1

Measured and Indicated

0.250.160.110.010.440.30510.2

0.180.110.080.010.300.221020.1

Indicated

0.300.190.130.010.420.31900.2

0.210.130.090.010.290.221850.1

Measured

grams/tonne%MillionTonnesNi cutoff %

PtPdAuCoCuNi

Resources(to 1,000 metres)

12

Kevitsa: Pre-Feasibility Results Very Positive

� Estimated operating cost $1.48/lb (pre-feasibility study), net of by-product credits (at �1 = US$1.4)

� Planned mining rate of 5M tonnes of ore per year

� Possible bigger pit and higher tonnage

Open Pit Mineral Reserve(Pre-feasibility)

Mine reserve @ 0.18% Ni cutoff

Co

grams/tonne%MillionTonnes

0.3030.1960.1410.0140.4270.29566.8 Total

0.2670.1710.1420.0150.4920.29510.6 Probable

0.3100.2010.1410.0140.4150.29556.2 Proven

PtPdAuCuNi

13

Kevitsa � Short Timeframe to Production

2008 2009 2010

Further drill results

Permitting &feasibility study

Construction

Production

� Senior technical team in place

� Engineering review underway

14

Kevitsa�s Competitive Advantages

� Large, undeveloped sulphide nickel deposit

� Suitable for low cost, open pit mining

� Ideal location � Finland� political and economic stability� mining-friendly� clear security of title� attractive tax & investment regime� well developed infrastructure� highly productive, skilled workforce

An excellentfit with

First Quantum

15

Mauritania

DRC

Zambia

2008

Growthfrom

existingoperations�

KANSANSHI FRONTIER GUELB MOGHREIN

16

Kansanshi Copper-Gold Mine: A Foundation Asset

� 80% owned, in Zambia

� Located in the North Western Province

� Achieved commercial production in 2005

� Long-life operation with a 25+ year mine life Zambia

17

Kansanshi: Targeting 10% Growth in 2008

2008 Targets

� 10% increase in copper production to 185,000 tonnes

� sulphide throughput expansion project to 12M tpy completed inQ2 2008

� electrowinning capacity expansion to 140,000 tpy of copper cathode on track for completion in Q3 2008

0

50

100

150

200

2005 2006 2007 2008F

Production(000�s tonnes)

18

Frontier Copper Mine:Newest Producing Mine

� 95% owned, in DRC

� Located within 2 km of the Zambian border

� Achieved commercial production in Q4 2007

� Open pit mine with a 20-year mine life

DRC

19

Frontier: 2008 Production Ramping Up

0

25

50

75

100

2007 2008F

Copper Production000�s tonnes

2008 Targets

� Increase copper production to 84,000 tonnes

� full year of production� process optimization

� Prepare site to minimize effect of next wet season

� Significantly reduce copper concentrate inventories

20

Guelb Moghrein Copper-Gold Mine:2007 First Full Production Year

� 80% owned, in Mauritania

� Located in the northeast region

� Achieved commercial production in 2006

� Open pit mine with a 15-year mine life

Mauritania

21

Guelb Moghrein Copper-Gold Mine:Targeting 15% Growth in 2008

0

10

20

30

40

2006 2007 2008F

Copper Production000�s tonnes

2008 Targets

� 15% increase in copper production to 33,000 tonnes� process optimization

� Finalize study for capacity expansion to 45,000 tpy

� Complete construction and begin commissioning of gold flotation circuit and power station expansion

22

Agenda

The company today

2008 � A year of growth

Growth beyond 2008

23

Growth Beyond 2008

0

100

200

300

400

500

�04 �05 �06 �07 �08F �09F �10F �11F

Copper Production Growth Profile000�s tonnes

Kansanshi

Guelb Moghrein

Frontier

Kolwezi

Kashime

Note: Chart does not include projections for Kevitsa

24

Growth Beyond 2008

Capital Expenditures 000's millions

0

100

200

300

400

500

600

2007A 2008E 2009E 2010E

25

Growth from Kolwezi Copper-Cobalt Project (65%), DRC

� Located in the Katanga province

� Estimated capital investment of $553M

� Initial annual capacity of 35,000 tonnes of copper and 7,000 tonnes of cobalt hydroxide

� Commercial production targeted for Q1 2010

� Designed and constructed to double capacity at minimal cost

� 22-year mine life at expanded capacity

26

Kolwezi Copper-Cobalt Project:Moving Forward

� Engineering approximately 80% complete

� $213M of the budget committed

� Infrastructure construction underway:� process plant construction� concrete works � onsite tankage� first delivery of structural steel

27

Growth Drivers Beyond 2008

� Expansions at existing operations

� Kolwezi copper-cobalt project

� Kevitsa nickel-copper-PGE project

� Kashime copper deposit

� Exploration

� Acquisitions

Note: Chart does not include projections for Kevitsa

0

100

200

300

400

500

�04 �05 �06 �07 �08F �09F �10F �11F

Copper ProductionGrowth Profile

28

Strong Balance Sheet andCash Flows to Fund Growth

As at June 30, 2008

Cash on hand $393M

Product inventory

Net debt / net debt + capital

Cash flow generated, before working capital changes6 months to June 30, 2008

Capital expenditures estimate � full year 2008

$200M

11%

$575M

$500M

29

Addressing Challenges

Scarcity of qualified, experienced personnel

Strained infrastructure� power supply� smelter constraints

Long lead delivery times for capital items

Inflation

Commodity price variations

Local political issues and impacts

30

Corporate and Social Responsibility:Investing in the Communities

� Focused mainly on education and health

� Malaria and HIV/Aids programs

� Rehabilitation of hospital wards and clinics

� Construction of classrooms

� University scholarship programs

� Provide access to clean water supply

31

Building an International Mining Company

� Unmatched copper production growth profile� from 40K tonnes in 2004 to over 400K tonnes by 2010

� Geographic and commodity diversification strategy taking hold� adding nickel to the commodity mix

� Proven track record� developing and operating projects efficiently and cost effectively� development and operations team among the best in the industry

Building an InternationalMining Company

Additional Information

33

Corporate Profile

Average daily trading volume - shares

Market capitalization � C$ millions

Recent share price � September 15, 2008

Dividend policy

52-week share price range

Geographic breakdown of institutional shareholders

Fully diluted

Shares issued and outstanding

Stock exchange listings & symbols � (S&P/TSX 60 Index)

600,000

$3.5 billion

$51.00

10% of annual profit

$103.93-$45.77

NA=46%; Eur=44%; other=10%

69.7 million

68.7 million

TSX: FM LSE: FQM

34

Financial Summary

Three months ended June 30, 2008

Investing activities

Financing activities

Cash flow before working capital movements

Cash flow per share after working capital movements

Basic earnings per share

Cash and equivalents � as at June 30, 2008

Net earnings

Cost of sales

Total revenues

$403M

$211M

$303M

$4.45

$3.06

$393M

$208M

$200M

$652M

Average shares outstanding for the period 68.0M

35

Financial Summary

Six months ended June 30, 2008

Investing activities

Financing activities

Cash flow before working capital movements

Cash flow per share after working capital movements

Basic earnings per share

Cash and equivalents � as at June 30, 2008

Net earnings

Cost of sales

Total revenues

$503M

$237M

$576M

$6.76

$5.74

$393M

$390M

$326M

$1,164M

Average shares outstanding for the period 67.9M

36

Operating Summary

Three months ended June 30, 2008

Realized copper price � (per lb)

Total cost � (per lb)

Cash cost � (per lb)

Realized gold price � (per oz)

Copper in concentrate inventory � (tonnes)

Gold sold � (ozs)

Copper sold � (tonnes)

Copper produced � (tonnes)

$3.38

$1.87

$1.18

$982

28,738

26,797

84,007

80,977

37

Operating Summary

Six months ended June 30, 2008

Realized copper price � (per lb)

Total cost � (per lb)

Cash cost � (per lb)

Realized gold price � (per oz)

Copper in concentrate inventory � (tonnes)

Gold sold � (ozs)

Copper sold � (tonnes)

Copper produced � (tonnes)

$3.44

$1.57

$1.09

$922

28,738

55,868

146,810

156,593

Building an InternationalMining Company

September 2008