Panama to hold referendum on First Quantum contract, halts new projects

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Panama to hold referendum on First Quantum contract, halts new projects
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Panama will hold a referendum in December to decide the fate of Canada’s First Quantum Minerals Cobre Panama copper mine, and has also announced a halt on new mining projects as the government tries to calm mass unrest triggered by the deal.

After 10 months of negotiations between the parties, the Panamanian Congress approved on October 20 a revised operating contract for First Quantum’s flagship copper mine. The decision, which ended years of legal uncertainty and allows the company to operate for the next 20 years, was signedof the capital Panama city demanding the contract’s immediate cancellation. Protestors claimed the new contract for the giant Cobre Panamá copper mine was fast-tracked with little public input or transparency. They also cited corruption allegations against lawmakers.

First Quantum is one of the world’s top copper miners and Canada’s largest producer of the coveted metal. It churned out 816,000 tonnes of copper in 2021, its The mine complex, located about 120 km west of Panama City and 20 km from the Atlantic coast, contributes 3.5% of the Central American country’s gross domestic product, according to government figures. 3.

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