China's Zijin Mining subsidiary challenges Canada's potential national security review of La Arena gold mine purchase in Peru.

China's Zijin Mining Group subsidiary argues that Canada should not consider a national security review in the agreement to purchase a gold and copper mine in Peru. In May, Vancouver-based Pan American Silver Corp announced an agreement worth nearly US$300m to sell its stake in Peru's La Arena gold mine to Jinteng (Singapore) Mining, a subsidiary of China's Zijin Mining Group. Canada's Industry Minister François-Philippe Champagne found the agreement "could be injurious to national security," which led to a potential formal review under the act. Jinteng claims in a judicial review application filed in Federal Court that the Minister "lacks jurisdiction under the act" to order a national security review of the La Arena deal, arguing that the targets are Peruvian entities with no connection to Canada and that the Minister's decision is "based on an untenable and unreasonable interpretation of the act, and is therefore wrong in law."

August 11, 2024
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