What will Panama’s Role be as Global Demand for Copper Increases

Thousands of former workers, members of supplier companies and local residents staged a march on Sunday in the Panamanian town of Penonomé asking President José Raúl Mulino to initiate talks on a potential reopening of the giant Cobre Panama copper mine, local media reported.  Minera Panamá, a subsidiary of Canada’s First Quantum Minerals (TSX: FM), operated the mine until Panama’s Supreme Court ruled its contract to operate the only mining operation in the Central American country, was unconstitutional in 2023.

Challenges against the contract, which would have allowed Cobre Panama to keep operating for the next 20 years, piled up in court following public protests against the deal reached in October between the government and Minera Panamá.  The demonstration occupied a section of the Inter-American Highway in the direction of Nata de Los Caballeros and took place peacefully, with a rally in which the sectors affected by the closure and their families participated, the media reported.  Cecilia Martínez, a resident of the community of Coclesito in the Omar Torrijos Herrera district, told local media the residents of the areas adjacent to the Cobre Panama mine they participated in the demonstration to “demand their right to have a decent job.” 

She also called for the need “to contribute to the construction of a country that advances socially and economically in peace”, and rejected the accusations of those who demonstrated against the mine as “sellouts of the homeland” for demanding “equal rights and opportunities” for those who reside in the rest of the country.  Panama legislators had ratified the new contract between the executive and First Quantum, but reconsidered their decision after massive protests almost paralyzed the country.  The land and sea ongoing demonstrations blocked the delivery of crucial supplies to the mine.  Martínez told the news agency that after the closure of the Cobre Panama mine, local economies experienced a breakdown and left residents without opportunities to earn a livelihood. 

Katherine A. Marquez P. – Field Supervisor – Cobre Panamá

Meanwhile, Katherine Márquez pictured above, a former worker at the Cobre Panama mine, described to news reporters it was “shocking” to see how businesses, communities and people who were growing hand in hand with mining activity “have been left without dreams or opportunities” with the closure of the mine.  Cobre Panama, Central America’s largest open-pit copper mine, produced 330,863 tonnes of copper in 2023 before the government ordered to shut it down. It would have become a 100 million tonnes a year operation in 2024, placing it near the top of the world’s copper throughput ranking.  In April, a joint venture between First Quantum Minerals and the Panamanian government was presented as a practical solution to the dispute that has kept the Cobre Panama copper mine shut since November 2023.

Citizens Stage Rally for Re-Opening of Cobre Panama Copper Mine

Panamanians March on June 22. Image submitted by organizing unions Comité Cívico and Apimpa.

In a world moving toward decarbonization, electrification, and accelerated digitalization, critical minerals like copper have taken on an unprecedented strategic role. 

This scenario poses urgent challenges and historic opportunities for Latin America and Panama, a region rich in mineral resources but still in search of sustainable and socially responsible mining development models. 

Amalia Toro, partner and manager of McKinsey & Company, Panama, and Juan Camilo Nariño, president of the Colombian Mining Association, analyzed the economic scenarios and international outlook for this industry at the Mining 2025 forum.

Mitchell vs Noriega – Can Panama Resume Metal Mining?

Metallic mining in Panama returns to the center of debate. Experts analyze whether Law 407 represents a definitive ban or leaves a legal path open. Is the door closed on metal mining in Panama? Two lawyers debated the legality of any attempt to revive the sector. 

Attorneys Harley Mitchell and Rodrigo Noriega presented their positions on the legality of metal mining in Panama, based on constitutional frameworks and divergent interpretations of Law 407.

The result: a contrasting perspective that makes it clear that the issue is not settled, either in law or in policy.

Contrasting Positions Between Environmentalists and Cobre Panamá’s Legal Representatives – Reopen or Close the Mine?

Two different visions on the present and future environmental situation of First Quantum Minerals’ Cobre Panamá mine were presented by experts during the 2025 Mining Forum. One of the main discussions was the current status of the mining project located in Donoso, Colón province, as well as the role that the State should play as an auditor and guarantor in environmental matters. 

Joana Ábrego on the right from the Environmental Advocacy Center, and Ramón Varela on the left, from the firm Morgan & Morgan, discuss the current and future environmental situation of the Cobre Panamá mine.