Business
First Quantum Minerals Provides Update on Status of Cobre Panamá and the Punta Rincón Port
TORONTO, Feb. 06, 2023 (GLOBE NEWSWIRE) -- First Quantum Minerals Ltd. (“First Quantum” or “the Company”) (TSX: FM) announces that on January 26, 2023, Minera
About this update from First Quantum Minerals Ltd.
[{"type":"text","content":" TORONTO, Feb. 06, 2023 (GLOBE NEWSWIRE) -- First Quantum Minerals Ltd. (“First Quantum” or “the Company”) (TSX: FM) announces that on January 26, 2023, Minera Panamá, S.A. (“MPSA”) received Resolution No. 007-2023 (the “Resolution”). The Resolution was issued by the Panamá Maritime Authority (“AMP”) and requires the suspension of concentrate loading operations at the Cobre Panamá port, Punta Rincón, until evidence is provided that the process of certification of the calibration of the scales by an accredited company has been initiated. MPSA submitted the required proof of the initiation of the certification process by an accredited company on February 3, 2023. This Resolution deviates from the prior process of internationally accepted certifications that MPSA has previously provided to AMP, which have been accepted until now. As a result, MPSA has suspended loading operations while it awaits a response from the AMP. It will be to the detriment of Panamá, the mine’s employees, suppliers and the broader Panamanian economy if the Government of Panamá (“the Government”) forces MPSA to shut Cobre Panamá, which may become necessary if concentrate is not shipped by mid-February due to limited storage capacity on site. The Resolution is part of a series of escalating attempts by the Government to pressure the Company into accepting a refreshed concession contract on the Government’s terms. Recent steps taken by the Panamanian authorities include the following actions, which prejudice good-faith negotiations and are both untimely and unnecessary, in particular given the recent progress that both parties have made towards resolving outstanding issues: Taking Steps to Block Copper Exports: The AMP has taken several actions to obstruct operations at MPSA’s Punta Rincón shipping terminal. These include conducting extraordinary and unusual inspections, instructing maritime pilots not to provide service to vessels and issuing the Resolution, Attempting to Place Cobre Panamá on “Care & Maintenance”: On December 19, 2022, by way of executive Resolution No. 234, the Government directed MPSA to submit a plan to place the mine under “care and maintenance.” First Quantum believes the Government’s requirement is an unnecessary step that will have serious and negative consequences. MPSA has pursued a long series of appeals which remain pending wi...