Nov 26 (Reuters) – Canada’s First Quantum intends to start arbitration against Panama, the Central American nation’s trade ministry and the company said on Sunday, as Panama’s top court considers annulling a copper contract that opponents call unfair.
On Oct. 20, Panama’s government approved a contract for First Quantum to operate the copper Cobre Panama mine. It included a 20-year mining right with an option to extend for another 20 years. In return the miner agreed to pay Panama $375 million a year.
Opponents claim the contract favors the miner too much as the mine represents about 5% of the country’s GDP and some 1% of global copper output. Protesters have demonstrated over the mine’s environmental and economic impacts and allege corrupt practices in its approval.
A spokesperson for First Quantum confirmed to Reuters the company sent one notification of intent to start arbitration proceedings.
For the rest of this article: https://www.reuters.com/world/americas/panama-protesters-attack-workers-canadas-first-quantum-mine-union-2023-11-26/