First Quantum Minerals is addressing the announcement of a Panama Supreme Court ruling in connection to the constitutionality of Law 9 of 1997 and its potential impact on a large copper mine the company is working on there.
Minera Panama, a subsidiary of First Quantum, said it understands the Supreme Court ruling only affects the enactment of Law 9, and does not affect the mining concession contract itself, which remains in effect, and allows continuity of development of the Cobre Panama project.
Minera Panama is in the process of formally obtaining and examining the ruling and its applicability and is working with the appropriate parties to identify suitable legal remedies. Such remedies would need to be analyzed by the Supreme Court.
The Cobre Panama project employs more than 12,600 people, of which approximately 1,500 are from the nearby villages and towns. The project is the largest single private sector investment in Panama’s history.