Panama Commerce Ministry Issues Resolution Permitting First Quantum Minerals to Remove Material from Cobre Panama Mine

Panama's Ministry of Commerce and Industries has issued a resolution permitting First Quantum Minerals Ltd. to remove material from the Cobre Panama mine. The mine, located in Colon province, was shut down in December 2023 following nationwide protests over environmental concerns.

The resolution enables the Canadian mining company to conduct removal activities under specified conditions. The Cobre Panama mine is one of the world's largest copper deposits, with an estimated annual production capacity of 375,000 metric tons of copper. First Quantum Minerals, headquartered in Vancouver, Canada, operates the site through its subsidiary.

6% contraction in Panama's economy in 2023.

against the mine began in October 2023, citing risks to water supplies and biodiversity in the Mesoamerican Biological Corridor.

The government declared a state of emergency and ultimately suspended operations on November 28, 2023. First Quantum Minerals reported losses exceeding $1 billion due to the shutdown. The resolution from the Commerce Ministry, dated October 2024, allows for the removal of materials such as equipment and stockpiled ore.

According to @FirstSquawk, the statement from the ministry outlines that the process must comply with environmental regulations and safety protocols. No specific timeline for the removal was detailed in the announcement.

Local communities, environmental groups, and indigenous populations near the mine site have expressed concerns over potential long-term ecological impacts.

First Quantum Minerals has stated intentions to resume operations if legal challenges are resolved. The company faces ongoing arbitration proceedings under international trade agreements. Panama's government has emphasized that the resolution does not permit full reopening of mining activities.