Toronto-based company First Quantum Minerals announces that it has initiated arbitration proceedings to protect its rights to its Cobre Panama mine, which has been the subject of environmental protests.
The Canadian mining company says its subsidiary Minera Panamá SA has initiated action before the International Court of Arbitration to protect its rights under a concession agreement reached with the Panamanian government earlier this year.
First Quantum suspended operations at its Cobre Panama mine in Colón province earlier this week after Panama’s Supreme Court unanimously ruled Tuesday that the 20-year concession agreement covering the mine of copper was unconstitutional.
The company says it is seeking additional details regarding the court ruling and its implications.
The mine was temporarily closed last year when negotiations between the company and the government broke down over payments requested by Panama, but the two sides had reached an agreement by March.
The deal, which received final approval on October 20, was the subject of widespread protests, including a blockade by small boats that prevented supplies from the mine.
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