Mining arbitration would be detrimental to both parties

After withdrawing the contract with Minera Panamá from the legislature, Panama Chamber of Mines (Camipa) He hopes that the Government will meet with the company to modify it and that it will be ratified after it returns to the Assembly to ensure a positive reputation for the country.

“As a country that respects legal stability, protection of free enterprise, thousands of jobs and contract companies that depend on itand to avoid a greater impact on the risk assessment of investments in Panama,” the union’s extensive press release states.

He The union is concerned about the way this contract was negotiatedwith sectors that are completely against the development of mining in the country.

In this sense, they call for every discussion about mining to be through an honest and constructive conversation, with scientific and real support, without the use of myths and false claims that try to create fear in the populationand without political and ideological biases that pursue very different interests than the pursuit of well-being, security and sustainable development.

Camipa claims that the mine, along with the Panama Canal, engines of the national economywhich is widely recognized by international organizations and international risk assessment agencies, achieving, for the first time in the republic’s history, that the highest average wages in Panama appear in the interior of the country

On the other hand, he warns against implications that the arbitration procedure would bring to the state if the company requests it.

He mentions a case which the state lost with Dominion Minerals which, after fulfilling all the conditions, was not extended the concession to which it was entitled.

He On November 5, 2020, Panama was ordered to pay nearly $30 million. In a resolution dated July 21, 2022, the appeal filed by Dominion is accepted and a decision is awaited on the final amount to be paid.

“What must be clear to us Panamanians is that, whatever the outcome of the arbitration“Both the company and the state would be seriously affected by a temporary or permanent suspension (as the case may be) of mine operations,” the union said.

The Chamber of Mines recognizes that after an extensive consultation process carried out by the Government and the Assembly, “the door is open for changes to specific issues that are requested by citizens repeatedly and responsibly“.

He considers it important that Minera Panamá and the executive board evaluate the proposed change proposal in a cooperative manner and that the desired result be achieved. mutual benefit for all parties involvedand the state in general.