Adjustment of Conversion Price

First Quantum Minerals Announces the ADJUSTMENT OF the CONVERSION PRICE FOR Convertible Bonds due 2014

Not for Distribution to U.S. Newswire Services or for Dissemination in the United States

NOTICE TO HOLDERS OF

First Quantum Minerals Ltd. ("Company", TSX Symbol "FM", LSE Symbol "FQM")

US$500m 6.00% Convertible Bonds due 2014 convertible into common shares of First Quantum Minerals Ltd. ISIN: XS0431324663

Adjustment Events

On 10 August 2009, the Company announced that on 21 September 2009 it would pay a cash dividend of C$0.08 per common share to shareholders.

On 16 March 2010, the Company announced that on 06 May 2010 it would pay a cash dividend of C$0.512 per common share to shareholders.

On 10 August 2010, the Company announced that on 20 September 2010 it will pay a cash dividend of C$0.197 per common share to shareholders.

Adjustment of Conversion Price

Each Bond in the principal amount of US$100,000 is convertible into such number of Shares as results from dividing the principal amount of such Bond by the Conversion Price in effect on the relevant Conversion Date. The current Conversion Price is US$56.39.

Condition 5 of the Terms and Conditions of the Bonds requires an adjustment to be made to the Conversion Price on the occurrence of certain corporate events. As a result of the payment by the Company of cash dividends to shareholders, an adjustment to the Conversion Price is required pursuant to Condition 5(b)(iii) of the terms and conditions.

From and including 25 August 2010, being the first date on which the common shares traded ex-the C$0.197 cash dividend, the Conversion Price will be adjusted to US$55.82. All other Terms and Conditions of the Bonds remain unchanged.

On Behalf of the Board of Directors 12g3-2b-82-4461

of First Quantum Minerals Ltd. Listed in Standard and Poor's

G. Clive Newall

President

For further information visit our web site at www.first-quantum.com

North American contact: Sharon Loung 8th Floor, 543 Granville Street, Vancouver, British Columbia, Canada V6C 1X8 Tel: (647) 346-3934 Fax: (604) 688-3818 Toll Free: 1 (888) 688-6577 E-Mail: [email protected] United Kingdom contact: Clive Newall, President 1st Floor, Mill House, Mill Bay Lane, Horsham, West Sussex RH12 1TQ United Kingdom Tel: +44 140 327 3484 Fax: +44 140 327 3494 E-Mail: [email protected] Or Simon Hockridge

Hogarth Partnership Ltd. Tel: +44 (0) 20 7357 9477