Canadian mining giant ready to review adjustments to state contract

While environmental and union organizations continue their opposition, the Canadian mining giant First Quantum, whose subsidiary Minera Panamá manages the copper extraction project in Donoso (Colón), announced on Wednesday, October 4, that it is prepared to review the adjustments to the mining contract with the Panamanian State.

“We have always maintained an open position to dialogue and are prepared to analyze and review the four adjustments mentioned in the Resolution. Our objective is to collaborate with the government to find a solution that allows the approval of the contract,” is reflected in a statement published by the company.

The reaction comes after the Cabinet Council authorized the Minister of Commerce and Industries, Federico Alfaro, to request the National Assembly to withdraw bill 1043, which approves the mining concession contract, concluded between the Panamanian State and the Minera Panamá company, to make the required adjustments.

On September 28, the Assembly’s Trade and Economic Affairs Committee suspended the discussion, in the first debate, of the project. The reasons why the deputies proposed to the Executive to take their bill were: the articles that have to do with the restriction of airspace, the possibility of expropriation, and the distribution of the final benefits of the mining concession.

The company said that it was aware of the resolution of the legislative commission that proposes adjustments to the contract and that the priority is to ensure a contract that protects the investment made, guaranteeing its legal security and providing stability for workers, communities, suppliers, and shareholders.

The decision of the Commerce Commission came after several weeks of consultations with the parties involved and now it is up to the Executive and the company to sit down and discuss the points to reconsider.

Environmental and union organizations are calling for a complete review of the document.