With an offer of $5.1 billion, the Canadian mining company has finally gained control of the Cobre Panama mining project.
As indicated by The Globe and Mail, holders of more than 61% of the shares of Inmet Mining accepted the hostile bid from First Quantum, for more than $5 billion in cash and shares.In theory, the purchase could fall if another friendly bidder appeared, but this is seems very unlikely, says the newspaper.
With this operation, which took six months of back and forth, First Quantum takes over the mining project “Cobre Panama” (Minera Panama), one of the largest undeveloped copper reserves in the world.
The project, which already has 100% financing, will be the largest initiative in Panama since the construction of the Canal, and the largest mining project in the history of Central America. It should be operational in 2016, producing 300,000 tonnes of copper over 40 years.
First Quantum hopes to reduce the cost of the project, estimated at $6.2 billion, by $1 billion, a goal seen as difficult by several analysts, who note that the company has never undertaken a project of this magnitude.
Source: Theglobeandmail.com
I wonder how many more indigenous people will die before the project gets under way. The Panamanian government will, once again, break the treaty with the Ngobe – Bugle people.