Canadian miner holds out hope May elections will bring change in fortune for its besieged Cobre Panama mine
The Panamanian government’s order to shut down Toronto-based First Quantum Minerals Ltd.‘s lucrative copper mine in December seemed like the final straw for the company, which has faced several issues in the Central American country in recent years.
Panama and First Quantum initially tussled over the terms of a new contract to run the mine. Although a deal was reached, thousands of protestors demonstrated against it on environmental grounds. The nation’s Supreme Court then intervened and annulled the deal, which led to the order to close the Cobre Panama mine, about 120 kilometres west of Panama City.
Two months on, however, things have taken a slightly positive turn for First Quantum, according to chief executive Tristan Pascall. The protests have cooled down and there may be a space opening up to discuss mining’s contribution to Panama’s economy as the country heads to an election in May.
“We see that some of the emotion (from the protests) has really dialled back,” he said. “There’s significant economic challenges emerging in the country … and we believe it’s impossible for the next government to ignore the contribution that a responsible mining sector can make.”
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