(Toronto) First Quantum Minerals says the Panama government has failed to provide a legal basis to pursue a plan to close its Cobre Panama copper mine.
The company, which is headquartered in Vancouver, says that earlier this week the government announced that it was pursuing a plan to close the mine that it intends to present in June.
However, First Quantum maintains that its subsidiary Minera Panama SA has not been able to formally engage with the Panamanian government “to clarify the legal situation and associated environmental obligations”.
The company suspended operations at the mine at the end of November, after Panama’s Supreme Court ruled a 20-year concession agreement for the copper mine unconstitutional.
The agreement raised both nationalist and environmental concerns, sparking widespread protests.
First Quantum says it is crucial that steps are taken to ensure the mine is maintained safely, and that the company will “pursue all appropriate legal avenues to protect its investment and rights.”