Coronavirus in the mining sector and its effect on contract performance: A checklist

As mining projects around the globe are hit by the extreme situation caused by the coronavirus, many mining businesses are likely to face important practical difficulties. This comes as a second impact for many: with international trade and supply chains for commodities already impacted by the progressive shutdown of manufacturing in many jurisdictions, the mining sector has already felt a first shock-wave from the impact of the coronavirus on the international commodities trade.

As more jurisdictions become affected by COVID-19, including jurisdictions where there are active mining operations, a key question for mining businesses is whether the coronavirus outbreak can excuse them or their counterparts from performing their contractual obligations, such as by triggering a force majeure clause.

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