Progress on safe and responsible mobilization of ammonium nitrate

Panama, January 23, 2025. – As part of a safe and responsible management, Cobre Panama and Austin Powder have evaluated several options for mobilizing the ammonium nitrate stored at Punta Rincón, both by land and by sea.

As of January 23, Austin Powder will be moving four (4) trucks per week, each with 20 tons of product, to its industrial facilities in Costa Rica, guaranteeing safe handling, thus contributing to reduce the amount of inventory stored at a rate of two thousand (2,000) tons, over a period of 6 months, while other viable and safe options are evaluated for the transfer of the rest of the material.

Since the cessation of operations, both companies have maintained communication with government authorities, notifying them of the ammonium nitrate in storage, as well as the Safe Management Plan, in order to guarantee the physical and chemical stability of Cobre Panama, which we have been awaiting approval from the Ministry of Commerce and Industries for several months.

For security reasons, the competent authorities suspended the mobilization of ammonium nitrate during the year 2024, which led to the cancellation of sales scheduled for re-export and the restarting of the process, until this year when the national government finally authorized its mobilization, which has allowed resuming the sales process.

It is important to note that ammonium nitrate is a chemical compound in the form of a white crystalline solid, widely used in agriculture as a fertilizer, and in mining, as a raw material to manufacture explosives that are regulated and supervised so that they do not represent a hazard during storage or at the time of use.

Cobre Panama and Austin Powder, as responsible companies, continue to analyze safe alternatives for the mobilization of ammonium nitrate, reaffirming our commitment to responsible management and the well-being of neighboring communities.