The end of the hold off seemed very near in January, when First Quantum agreed to up its royalty payments for the giant Cobre Panama copper mine to $375 million a year.
As part of that deal, the miner also accepted to give the government between 12% and 16% of its gross profit, which would replace the previous 2% revenue royalty.
First Quantum agreed as well to start paying 25% corporation tax, from which it was previously exempted until its investments at the mine were recovered.
More than nine months later, the new contract has yet to be completed.
Panama’s trade and industry minister Federico Alfaro brought back hope of a near resolution this week, as he said he expected the final contract to be drawn up in November.
Speaking to local news outlet Eco TV Panamá, Alfaro said that once the final document sees the light, it would be subject to a 30-day public consultation and then it will go to Congress for debate.
“We must be…
