First Quantum’s Cobre Panama mine has initiated steps to suspend arbitration proceedings against Panama, reported Reuters.
Panama’s Commerce Ministry stipulated that negotiations with the miner could only proceed if the arbitration case was suspended.
Cobre Panama manager Manuel Aizpurua was quoted by the news agency as saying: “We have instructed our lawyers to meet with the government’s legal team to work on suspending the arbitrations… leading to a solution that benefits workers, communities, suppliers and all Panamanians.”
The authenticity of the memo has been confirmed by First Quantum Minerals, the report said.
This move comes after Panama’s president announced export approval for 120,000 million tonnes of copper concentrate, which has been stranded since November 2023, and the restart of the power plant crucial for mine operations.
President Mulino, in a press conference, authorised the removal of the stranded copper products, emphasising the need for Panama to be reimbursed once they are processed outside the country.
He stated that the mine’s future would be reviewed with the national interest in mind, starting next week.
The company previously announced that the final hearing for its Cobre Panama mine under the International Chamber of Commerce proceedings was postponed to February 2026.
The mine, located 120km west of Panama City in Colon Province, has been inactive since November 2023, when a Supreme Court decision declared its contract to be unconstitutional.
The government, under the previous administration, ordered the mine’s closure due to environmental protests, raising concerns about site maintenance and the stockpiled copper concentrate.
Shares in First Quantum rose 1% on Friday afternoon at the Toronto Stock Exchange, following a two-month high on Thursday, a 15% increase after the copper export authorisation news.
Before its closure, Cobre Panama was a significant copper source, contributing 1% to global output.
