Why was the Cobre Panama copper mine shut down in 2023, and what were the immediate economic consequences for Panama?

The Cobre Panama copper mine was shut down in 2023 after Panama's Supreme Court ruled First Quantum's 20-year-old mining contract unconstitutional, amid widespread opposition on environmental and governance grounds. That shutdown wiped out 4.5% of Panama's GDP, more than 1% of global copper production, and 40% of First Quantum's revenues.

What is Panama considering as a legal and operational pathway to re-open Cobre Panama, and how would it address the 2023 mining ban?

Panama is considering creating a state-owned mining firm to partner with First Quantum in a public-private partnership, under which the underlying mining concession would be owned by Panama — a potential workaround for the 2023 law banning new mining concessions, since the law is ambiguous regarding concessions granted to a state-owned entity and allows for such entities to be created for public-private partnerships.

Panama weighs creation of state-owned miner to pave way for Cobre Panama re-opening

Jul 22, 2026

Panama considers creating a state-owned mining entity to partner with First Quantum on reopening the shuttered Cobre Panama copper mine, potentially restoring over 1% of global copper supply amid market shortages.

reuters

2026-07-22

Panama weighs creation of state-owned miner to pave way for Cobre Panama re-opening

2026-09-30

Giant Panama Copper Mine Gets Pathway to Temporary Restart

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Panama Panel Recommends First Quantum Mine Restart to Fund Phased Closure

Panama weighs creation of state-owned miner to pave way for Cobre Panama re-opening

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