First Quantum launches legal action against Panama
2022.12.24 11:27
First Quantum launches legal action against Panama
Budrigannews.com – First Quantum Minerals, a miner based in Canada (OTC:) The ministry of commerce and industry of Panama said on Saturday that Ltd and its subsidiary Minera Panama have begun arbitration proceedings against Panama. The two parties have been at odds over payments and mine operations.
On Monday, First Quantum (NASDAQ:) was ordered by the government of Panama. to stop tasks at its lead Cobre Panama mine after the organization missed a cutoff time to finish an arrangement that would have expanded installments to the public authority by something like $375 million.
The ministry said in a statement, without providing any additional details, that the company decided on Friday to “advance efforts” by proceeding with two arbitration processes despite agreeing to meet with the government.
On Friday, a representative of the economy and finance ministry of Panama told Reuters that the country was looking for a “fair” deal in which the company fulfilled the demands of its large operations.
A request for comment was not immediately met by First Quantum.
The organization started one of the discretion processes under a 1997 agreement, which controls its tasks, and the other under the international alliance among Canada and Panama, the public authority added.
A representative of Panama’s ministry of commerce and industry stated that the government has been and will continue to collaborate with the law firms Squire Patton Boggs and Allen & Overy to resolve the disagreements. A request for clarification was not immediately met by either company.
The company, which is regarded as the largest private investment in the Central American nation and contributes approximately 3.5% of the country’s gross domestic product, was the subject of a request from Panama for a maintenance plan.
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The ministry issued a statement in which it stated, “The resolution… that orders Minera Panama to accomplish a care and maintenance plan for the Panama copper mine remains in force, and the government will monitor its full compliance.”
