Panama: the Supreme Court analyzes the unconstitutionality of a controversial mining contract

PANAMA (AP) — Panama’s Supreme Court on Friday began analyzing the legality of the controversial contractual right between the state and a subsidiary of the Canadian company First Quantum Minerals to extract copper for at least 20 years in an area of in the Panamanian Caribbean and which sparked massive protests across the country.

The highest court of justice, composed of nine magistrates, will remain in office until it rules on two complaints for the unconstitutionality of the contract approved by the National Assembly on October 20 then signed by President Laurentino Cortizo, who since sparked numerous protests in the country. the capital and within the country.

The contract allows the subsidiary of the Canadian company Minera Panamá to continue the extraction and marketing of copper for the next 20 years, extendable for another 20 years, in an open-cast mine built in an area rich in biodiversity in the north of country. It is the largest copper mine in Central America and one of the canal country’s largest private investments.

The Communications Secretariat of the Judiciary informed that the session of the Supreme Court had started and showed images of the meeting of the nine judges. It has not been officially announced when they might make a decision.

The protests were led by environmentalists, educators, indigenous people, construction workers, youth and social movements demanding the cancellation of the contract and the closure of the mine. Protesters warn of the environmental risks posed by open-cast mining and say the government has granted huge concessions to the mining company.

They also claim that in 2017, a previous contract for the same mining project was declared unconstitutional, although the state did not comply with the Court’s mandate. Panamanian lawyers said that in order to repeal the new contract law and be able to face possible legal action from the mining company, it would be more practical to declare it unconstitutional. Others consider that the contract can be repealed by a law approved by Parliament.

Environmental leader Raisa Banfield told The Associated Press that the court’s decision is “the last iota of confidence in the last remaining government institution.” He added that “it would be fatal for the Panamanian State if, with everything that the Executive and Legislative have already done to us on several occasions, the judiciary did not fulfill its constitutional duty to restore legal order and social peace.

The protests, which include the blocking of the country’s main roads, have affected the transportation of goods and the supply of all kinds of products. The business sector recently said losses exceeded $1.7 billion, a figure that represents 2% of gross domestic product. The agri-food sector as well as the logistics and industrial sectors were the most affected, according to businessmen.

Theodore Davis

"Entrepreneur. Amateur gamer. Zombie advocate. Infuriatingly humble communicator. Proud reader."

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