First Quantum Turns to Arbitration Ahead of Panama Court Ruling
- Company issues arbitration notice to Cortizo administration
- Output has been suspended as protests choke key mine supplies
Demonstrators block a road during a protest against First Quantum Minerals Ltd. in Panama City, Panama, on Wednesday, Oct. 25, 2023. The company took the first step in an arbitration process with Panama.
Photographer: Walter Hurtado/BloombergFirst Quantum Minerals Ltd. took the first step in an arbitration process with Panama as the Canadian firm’s flagship copper operation faces anti-mining protests and a Supreme Court ruling on whether its contract is constitutional.
The company said late Sunday that it issued an arbitration notice to President Laurentino Cortizo’s administration. Panama extended First Quantum’s mining license last month, before reacting to protests by proposing to put the mine’s future to a popular vote. The referendum proposal and a push for congress to repeal the contract were subsequently shelved as the government waits to see if the Supreme Court will kill the agreement instead.