Panama’s government is throwing its support behind a new contract for a copper mine operated by First Quantum Minerals Ltd., saying that politics are fueling some of the opposition.
(Bloomberg) — Panama’s government is throwing its support behind a new contract for a copper mine operated by First Quantum Minerals Ltd., saying that politics are fueling some of the opposition.
The Cobre Panama mine has found itself the target of protests calling for lawmakers to reject a new tax arrangement brokered between the government and the Vancouver-based company six months ago after a drawn-out negotiating process. The tentative deal requires congressional approval.
The government responded to the controversy Friday, saying the new contract is far more favorable for the nation and its people than previous terms. The mine is an economic engine for Panama and accounts for about 1.5% of global copper production.
“We recognize that many actors are using this situation to misrepresent information and politicize the issue, especially due to the upcoming electoral race,” Commerce & Industry Minister Federico Alfaro Boyd said in comments sent in a text message. Panama “respects legal certainty, free enterprise, and the attraction and growth of foreign investment.”
Read More: First Quantum Strikes New Deal With Panama Over Copper Mine
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