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Friday, August 29 2014 @ 08:15 AM EDT

Panama's President Martinelli Endorses New Mining Law (Under the Radar)

Gold & Mining By DON WINNER for - Yesterday afternoon Panama's president Ricardo Martinelli signed the controversial Bill 394 into law, creating Law 13 of 3 April 2012 - "Which reestablishes the effect of articles of the Code of Mineral Resources, and other dispositions." The law is somewhat technically detailed and it contains pricing and specifications for practically every detail of many different kinds of mining activity - for example if you want to extract river gravel from state lands you have to pay the government 50 cents per cubic meter, as specified in this new law. While those minor details might be important to small and local mining operations in Panama, the "real" money is in gold, copper, and foreign direct investment.

Champagne Corks Popping Last Night: Most importantly, with Law 13 of 3 April 2012 in Panama on mining, now the "big" and economically significant projects such as the Inmet copper project can go forward on much more solid legal footing. The recent "Indian" wars with the protesting Ngabe-Bugle indigenous peoples had to be taken care of with another law that made it illegal to mine in their region. So those issues and conflicts were addressed first (separately) and now this new law has been signed and sort of slipped in quietly, under the radar. A friend and long time Panama Guide reader who monitors the mining investor's nets gave me the heads up that this appeared in the Gaceta Oficial yesterday. You can click on the link to see the signed document, in Spanish. I'm not going to bother to translate it now. The government knows this is a somewhat controversial issue (still) and I think it's funny that they sort of slipped that one in there. I'll be looking for any sign of a clue in the local newspapers, but I think they all missed it as well. The guys who invest in the gold and copper mining stocks in Panama caught it because they watch this stuff like hawks - they have a vested interest so they pay strict attention to anything that might impact stock prices. And obviously this kind of a development (the new law being approved and endorsed by the president) will probably have an impact on stock prices at some point in time.

Good News For Panama: So, there you go. I see this as very good news, exceptionally good news, for Panama's economy. Now the billions of dollars in Foreign Direct Investment that's going to be spent to build the Inmet copper mine can start flowing in. And I'd like to be the first to say 안녕하세요, 제 한국 친구. 파나마에 오신 것을 환영합니다.

Copyright 2012 by Don Winner for Go ahead and use whatever you like as long as you credit the source. Salud.

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Panama's President Martinelli Endorses New Mining Law (Under the Radar) | 1 comments | Create New Account
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Panama\'s President Martinelli Endorses New Mining Law (Under the Radar)
Authored by: Anonymous on Wednesday, April 04 2012 @ 12:48 PM EDT

Hi, my Korean friend. Welcome to Panama. I guess that“s why they have been calling me to back to work at the mine. Good nes for me too.