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Rubio begins Latin America tour in Panama to discuss canal and migration
Marco Rubio, the top diplomat of President Donald Trump’s administration, made his first overseas visit on Sunday. He met with Panamanian President Jose Raul Mulino and discussed U.S. concerns regarding Chinese companies that could potentially affect American shipping around the Panama Canal as well as regional migration issues. U.S. Secretary of State John Kerry is on a first-foray tour to Central America and Caribbean. He wants to refocus U.S. Diplomacy to the Western Hemisphere, in part in order to recruit assistance in stemming migration towards the southern border of the United States. Trump started his second term in office on January 20. The U.S. also wants to counter China's growing influence in Latin America. Trump, upon his return to office, threatened to seize control of the Panama Canal. The canal was built by the United States during the early 20th Century and given to Panama by a 1977 Treaty. Trump claimed that the canal was being operated by China. Public outrage followed the comments, and Panama's response to Trump's threat. China said that it does not play a role in the operation of the canal, and respects Panamanian sovereignty and independence. Panama Canal Authority is an autonomous agency under the supervision of the Panamanian Government. Panama, in response to Trump's threats to retake the canal, launched an audit on the publicly listed Hong Kong firm CK Hutchison Holdings which operates two ports near the Atlantic and Pacific entrances of the canal. Rubio, who was a China hawk in his Senate career for many years, stated last week that China would be able to use the ports as a way to close the canal, which is a vital shipping route for the United States, if there were a conflict between Beijing, and Washington. Rubio and his delegation then met Mulino in the residence of the President in Panama City. Rubio, his delegation and Mulino then met with Javier Martinez-Acha Vasquez, Panama's Foreign Minister and other officials. Before the meeting, neither side spoke to the media. Mulino said that Rubio and Mulino did not discuss the ownership of canal. Rubio will also discuss immigration issues in Panama. The country works with the United States to prevent migration across the Darien Gap, a route that crosses Panama's rugged border with Colombia, used by drug smugglers and human traffickers. Rubio has directed the State Department that migration issues be at the forefront of diplomacy in the region. Officials said that Rubio would use the trip in order to ease the acceptance of U.S. flights for deportation to the region. (Reporting and editing by Aurora Ellis, Will Dunham and Simon Lewis)
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Greece issues a warning about Santorini earthquake activity
After increased seismic activity, Greek authorities on the Aegean Island of Santorini have advised residents to close schools on Monday. They also advise people not to gather in enclosed spaces and avoid two small ports. The civil protection ministry announced in a Saturday afternoon statement that a series of tremors of up to a magnitude of 4.3 were recorded on Friday and on Saturday between the volcanic islands of Santorini, and Amorgos. According to the ministry, the activity is not related to volcanic activity. It has also receded. However, experts have proposed precautionary measures such as the closure of schools on February 3. The ministry also warned people not to enter or stay in the small port Ammoudi, and Fira harbour which is mainly used by cruise ships. According to the Athens Geodynamic Institute, Sunday morning there were a series of earthquakes measuring between 2.8-4.5, but no damage was caused. Greece is located on several fault lines, and earthquakes are common. Santorini, Greece's most popular tourist destination. Around 1600 BC, one of the largest volcanic eruptions in human history shaped the island into its present shape. The last eruption that occurred in the area was in 1950.
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Mali's Barrick hardball talks are being driven by two former Barrick employees
According to sources familiar with the discussions, two former Barrick Gold executives who have inside information about the Canadian miner's operations in West Africa help drive Mali's demand for a payment from the Canadian company of approximately $200 million. Mamou and Samba Toure were both employed by Randgold in Mali, now part of Barrick, which is a mining firm. Mali's military government, which seized in December three metric tonnes of gold worth approximately $245 million from Barrick, has given miners until Saturday midnight to respond to their demands. According to a source with knowledge of the situation, it wants Barrick pay back taxes totaling 125 billion CFA Francs ($199m) according to a source. Source: If the deal is finalised Mali will return the gold seized and release the four Barrick executives who have been detained since November. Barrick has publicly announced that he is a member of the Barrick rejected The charges brought against its employees are not specified. According to the court documents reviewed by, these include money laundering and funding of terrorism. Barrick declined to answer any questions regarding the current status of the negotiations, and the Mali mines ministry also did not respond. The dispute will have ramifications on global miners, foreign investors and others who have invested billions of dollars in West Africa. They are now being forced to follow a different set of rules because the military governments of Mali Niger and Burkina Faso want a larger share of mining revenue. Beverly Ochieng is senior analyst at Control Risks for Francophone Africa. She said that the standoff with Barrick shows just how far governments led by military forces in the Sahel region are willing to go in order to force foreign operators to adhere to new regulations aligned with their pursuit of resource nationalism. We spoke with more than 20 people, including mining executives and consultants, diplomats, and people who had direct knowledge of the discussions, to get a better picture of the negotiation. Sources requested anonymity due to the sensitive nature of the situation. Nine people with knowledge of the situation say that the two Toures form part of a small group on the Malian front, including junta chief Assimi Goita and the Minister of Finance and Economy Alousseini Sanou. They are not related, despite sharing a common surname. Samba Toure was older than the other two men by several decades and was West Africa Operations Director at Randgold. Mamou worked as underground manager at the Loulo Mine. Sources said that Mamou is the most influential negotiator in Mali due to his close relationship with the powerful Finance Minister Sanou. Mamou’s Iventus consultancy won the contract for auditing foreign mining companies in Mali. This led to the new mining code of 2023 and the renegotiation of the miner's contracts. Samba works now for him in the consultancy. Mamou is the current boss, said a former co-worker. Samba's technical and managerial expertise was still crucial to decision making. "The decisions are made more by Samba than Mamou." Mamou responded to detailed questions by saying that gold production has not benefited the Mali people as it should for many decades. Mali is Africa’s second largest gold producer. He said, "It's only natural for the state to ask for a correction." "The state made great efforts to reach an accord, which is the reason all other companies reached an agreement with state." Samba Toure has not responded to a comment request. ACRIMONIOUS TALKS Barrick's talks have been acrimonious, while other Western miners, including Canada's B2Gold, Allied Gold, and Australia's Resolute, have reached deals with Mali over the past few months. Legal disputes, arrests, nationalisations, and threats are being used by the military governments of Mali, Niger, and Burkina Faso to strengthen their ties with Russia and gain greater control over gold and uranium. Ochieng of Control Risks, however, said that this did not mean Western operators would be unwelcome. She said that several western mining companies were allowed to expand their operations and acquire new assets, provided they met the latest taxation and regulatory demands. The Mali junta, which will take power in 2020 has pledged to examine its mining industry so that the state can benefit from gold prices at record highs. Some companies, such as B2Gold, were able to reach an agreement quickly. Some companies, such as Australia's Resolute whose CEO was arrested while in Mali to hold talks, took a little longer. B2Gold said it would proceed with its planned investments at its Fekola complex this year after achieving the deal. Resolute said on Thursday that its deal with the Mali government would allow for better collaboration as the mine is developed. The relationship with Barrick deteriorated in the last year. Barrick paid 80 million dollars to release four Malians who were arrested by the authorities in September. Mali demanded more payments, as it is owed a total amount of $350 million. Barrick generated $949m in revenue in the first nine-month period of last year from its operations in Mali. Bristow announced in early November that it had agreed to offer Mali 55% economic benefits from the Loulo-Gounkoto mining complex, similar to the agreement struck by the miner with Tanzania five years earlier. Mali demanded that the remaining amount be paid in one go, rather than in installments. Mali began to block Barrick's imports in early November. Mali claims that Barrick still has 125 billion CFA Francs to pay after discounting VAT credits. Mali issued a warrant of arrest for Barrick CEO Mark Bristow in December 5 after four Barrick employees were again detained when no payment was received. Contacts continued in the background. On Dec. 6, a source who spoke with Barrick senior management said that Barrick was on the verge of paying a second 50 billion CFA tranche. The payment never materialized and the conversation ceased. On Tuesday, formal talks resumed. Freddie Brooks is a metals & Mining analyst at BMI. A FitchSolutions Company. He said that Barrick, under Bristow, had the highest level of tolerance for operational risks among major miners. He said that if they failed to negotiate a deal with Mali's junta military, it wasn't for lack of effort. CLASHES WITH BRISTOW Samba Toure left Randgold nine years ago, after an argument with Bristow who was the CEO at that time. Samba's rift grew after he resigned and was denied the right to sell his Randgold shares, based in London. Mamou Toure left Randgold after a dispute in 2015 with Bristow regarding the use of foreign contractors. Barrick declined to comment on the circumstances surrounding the Toures departure. Mamou's company Iventus Mining won the consulting contract when the government announced that it would audit the mines. Two sources claim that Samba Toure was the one who led the audits. Samba became chairman of the board in 2022 after Mali established a state-owned mine, SOREM. Mamou was appointed as a member. However, the influence of Toures cannot be denied. Last summer, junta leader Goita grew frustrated with the negotiations and brought in the director of state security, Modibo Kone, one of the five colonels-turned-generals who lead the junta, one source said. Kone's participation in the talks was confirmed by a second source. According to a source familiar with these talks, at least once, the Finance Minister has taken over the negotiations and told Mamou to step down when he had gone too far in his requests. Five sources claimed that the Mines Minister, a technocrat without any military ties, had been marginalized. Mamou, however, denied this, pointing out that the ministry has two members on the commission. He said that the commission receives its orders both from the Finance Ministry and the Mines Ministry. The Mali finance ministry and the presidency have not responded to any requests for comment. The state security service could not be reached. Special Forces Raid Stockpiles of gold were increasing in the "gold room" located at Loulo-Gounkoto's complex, despite exports being banned. According to a court order dated Jan. 2, Barrick had just over 3 tons of gold in its vaults as of Dec. 27. Unannounced, a helicopter arrived at the landing strip of the mine complex in mid-morning Jan. 11. One source said that four special forces soldiers and a customs officer, along with two officers from the state mining department and other plainclothes personnel, disembarked the helicopter and handed paperwork to Barrick employees authorizing them to seize gold. The source added that the second shipment was made in the evening. The gold that Barrick's mines seized is currently in the vaults at the Banque Malienne de Solidarite, a state-owned bank in Bamako. The bank declined comment. Barrick, the company that confirmed the seizure, has announced it will suspend operations at Loulo-Gounkoto. According to the Jan. 2, order, the seizure of Bristow's and other Barrick employee's property was taken as a precautionary measure in connection with the money laundering charges and other unspecified crimes against Bristow. Two sources claim that Barrick has resisted the government's request to migrate to the 2023 mining code due to increased taxes. Barrick's mining license will be renewed next year. The government has indicated that it may refuse the permit. A source who had previously consulted with the Malian government said that the government wanted leverage in the negotiation while the company was looking to secure a long-term contract renewal at favorable terms. The person stated, "I don't think they trust each other but no one is interested in a split-up." Some investors are predicting a difficult road for Barrick Mali. They even think the company may lose its assets. Martin Pradier is a materials analyst with Veritas, a Toronto-based investment research firm that covers Barrick. The exchange rate is $1 = 626.7500 CFA francs. (Additional reporting from Tiemoko and Fadimata in Bamako. Writing by David Lewis, Portia Crowe and Daniel Flynn. Editing by Silvia Aloisi, Veronica Brown, and Daniel Flynn.
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Norway Releases Ship Suspected of Baltic Sea Cable Damage
Police in Norway said that a Norwegian cargo ship, with a crew made up entirely of Russians, suspected of damaging a Baltic Sea Telecoms Cable has been released after authorities found no connection to the incident. Tromsoe police, in northern Norway, said that the Silver Dania had been seized on the request of Latvian officials and with the assistance of the Norwegian coast guard. "The investigation is continuing, but there's no reason why the ship should remain in Tromsoe." The police stated that no evidence has been found to link the ship with the act of damaging the cable. Norwegian broadcaster TV2 reports that Silver Sea Shipping Group, owner of the Silver Dania, denies involvement in the incident. Sweden and Latvia have launched an investigation into the Sunday suspected sabotage of the cable connecting the two countries. The Swedish police boarded and seized the Maltese flagged cargo ship Vezhen, on suspicion that it was the cause of the damage. The Bulgarian operator of Vezhen, the head of that company, admitted on Monday they may have hit the cable with their anchor, but denied malicious intent. Mats Ljungqvist said that the Swedish prosecutor who is handling the investigation dismissed the Norwegian ship's involvement on Friday. Since Russia's invasion of Ukraine in 2022, the Baltic Sea region has been on high alert. This is because there have been a series of power cables, telecom links, and gas pipelines outages. NATO recently increased its presence by adding aircraft, frigates and naval drones.
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INDIA BUDGET - India to establish $3 billion maritime development fund for the shipping industry
Nirmala Sitharaman, India's Finance Minister, announced on Saturday that the country will create a maritime development fund of 250 billion rupees ($2.9 billion) to finance the shipbuilding and repairs industry for a long time. India, a South Asian nation, is investing billions in infrastructure to upgrade it to a level of world-class manufacturing. Prime Minister Narendra modi wants India to be developed by 2047. Sitharaman, in her budget proposals for the fiscal period starting April 1, said that the government would contribute 49% and ports and private sector will provide the rest. India's fleet of ships has not kept up with the rapid growth of its trade, which includes imports of energy products and exports refined oil products. Last year, it was reported that the government planned to create a new shipping firm with participation from Indian oil refiners as well as Shipping Corp of India in order to expand its fleet and reduce freight payments to foreign carriers. Shipping Corp. shares rose by 3.8% following the announcement of the budget. Sitharaman stated that the governments will also promote clusters of shipbuilding to increase the types, sizes and capacities of ships. This will include new infrastructure, skills and technology in order to develop the ecosystem. India will issue credit notes to encourage the demolition of old ships and construction of new vessels. Sitharaman extended the exemption from import taxes by 10 years for inputs required for shipbuilding and shipbreaking activities.
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Why the US claims that China's presence in Panama violates the neutrality treaty
Some U.S. officials and lawmakers are citing a nearly 50-year-old treaty signed between the United States of America and Panama as a way to justify Trump's threat to take back the Panama Canal, provided they can prove that the waterway's operations are threatened. Some, however, believe that obstacles would arise if the U.S. tried to use the 1997 Panama Canal Neutrality Treaty - which went into effect in 1999 - to claim the canal. The treaty guarantees the canal will remain neutral and available to ships from any country. Since 1999, the Panama Canal Authority has controlled the 82-km waterway. This autonomous agency is overseen by Panamanian government. Donald Trump, during his inauguration speech on Jan. 20, falsely claimed that China was operating the second-largest interoceanic canal in the world. He has also complained about Panamanian firms based in China and Hong Kong, as well the tolls on the canal. At a Senate hearing held on Tuesday, Federal Maritime Commission Chairman Louis Sola stated that the agency overseeing U.S. ocean transport and merchant marine will "consider broad reviews" of Panama's nautical sector and may impose fines or restrictions on Panamanian flagged vessels entering U.S. port. Panama is the flag and registration country for more than 8,000 vessels worldwide. In advance of the weekend visit by U.S. Secretary Marco Rubio to Panama, President Jose Mulino said on Thursday that he was unable "to negotiate and even less open a negotiation process on the canal." He added, "The canal belongs Panama." Is China a threat? Some U.S. officials claim that, in addition to stipulating the canal will "remain secure and open for peaceful transit by vessels of all countries," the treaty gives the U.S. military the right to defend the canal. In this week’s hearing, U.S. Senator Ted Cruz stated that a new bridge being built over the canal by Chinese contractors could cause a shutdown of transit. He also said the Chinese ports at both ends of the canal posed "acute" risks to security. After listening to U.S. officials, experts and other Texas Republicans, the Texas Republican stated that "Panama could well be violating this treaty." After delays and contract modifications, the $1.3 billion bridge is expected to be finished by 2026. CK Hutchison Holdings, a Hong Kong-based company, has operated the Balboa Port and Cristobal ports for more than 20 years. Hong Kong-based CK Hutchison Holdings, a publicly listed company, is not financially linked to the Chinese government. At the hearing, Eugene Kontorovich of George Mason University, a law professor and research fellow with the Heritage Foundation (a conservative organization), said: "The presence and involvement of Chinese companies and the Chinese government raises serious questions and concerns about the neutrality and integrity of the treaty." The favorable financial terms offered to the company by CK Hutchison led to criticism both in the U.S.A. and Panama. Security was not a concern at the time. Hutchison Port Holdings is a global company that operates in hundreds of ports, including the U.S. Why don't the U.S. terminate Hutchison contracts if these ports are a threat to their security? In a recent opinion piece published in a local paper, Julio Yao wrote that he was one of Panama’s advisors at the time it signed its neutrality treaty. The U.S. can't force Panama to terminate or review contracts with Chinese companies. Yao, an expert in international relations, says that arguments for intervention are based upon 1978 amendments by the U.S. Senate, which guaranteed the U.S. protection of the canal from any threats. Panama should not acknowledge those amendments, said Yao. The eight-paragraph agreement and its annexes don't include any provisions on the resolution of disputes, or a date for expiration. Do higher tolls on canals violate neutrality? Some U.S. officials also claimed that the increase in Panama Canal passage fees in recent years "disproportionately impacts Americans". The toll system for the canal does not distinguish between flags, origins or destinations. The severe drought in the year ended September saw the canal report a 5% drop in toll revenues to $3.18billion. The annual reports show that the toll revenue of the canal increased by almost 26% between 2020 and 2023. The canal's fee structure, however, is based on the number of reservations made by vessel type and size. This is combined with auctions to determine ships that arrive without reservations, and a variable surcharge for water. The toll for military vessels is different than that of commercial vessels. Priority is given to U.S. military vessels. The treaty states only that "tolls, other charges, and fees for transit, ancillary service, and related services, shall be reasonable, fair, and consistent with international law principles." Daniel Maffei, a commissioner from the FMC, said that the U.S. was disproportionately affected because "the U.S. uses it disproportionately." He added, "We are aware that it is an important trade corridor. We want to continue using this corridor and to be treated fairly." Shipping experts warned that toll increases were applied by Panama and other waterways, including the Suez Canal in recent years. This was due to a spike in demand, geopolitical conflict, and weather conditions made worse by climate change. "The U.S. does not operate a fleet commercial vessels." In the 1960s, less than 10% of cargo entering or leaving the U.S. was under American flag. In a recent TV interview, John Feeley said that the toll has increased to 1.5%. He added that Panama's use of freshwater is what caused this increase.
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Can the US declare that China's presence in Panama violates the neutrality treaty with Panama?
Some U.S. officials and lawmakers are citing a nearly 50-year-old treaty signed between the United States of America and Panama as a way to justify Trump's threat to take back the Panama Canal, provided they can prove that the waterway's operations are threatened. Some, however, believe that obstacles would arise if the U.S. tried to use the 1997 Panama Canal Neutrality Treaty - which went into effect in 1999 - to claim the canal. The treaty guarantees the canal will remain neutral and available to ships from any country. Since 1999, the Panama Canal Authority has controlled the 82-km waterway. This autonomous agency is overseen by Panamanian government. Donald Trump, during his inauguration speech on Jan. 20, falsely claimed that China was operating the second-largest interoceanic canal in the world. He has also complained about Panamanian firms based in China and Hong Kong, as well the tolls on the canal. At a Senate hearing held on Tuesday, Federal Maritime Commission Chairman Louis Sola stated that the agency overseeing U.S. ocean transport and merchant marine will "consider broad reviews" of Panama's nautical sector and may impose fines or restrictions on Panamanian flagged vessels entering U.S. port. Panama is the flag and registration country for more than 8,000 vessels worldwide. In advance of the weekend visit by U.S. Secretary Marco Rubio to Panama, President Jose Mulino said on Thursday that he was unable "to negotiate and even less open a negotiation process on the canal." He added, "The canal belongs Panama." Is China a threat? Some U.S. officials claim that, in addition to stipulating the canal will "remain secure and open for peaceful transit by vessels of all countries," the treaty gives the U.S. military the right to defend the canal. During this week's hearing U.S. Senator Ted Cruz stated that a new bridge being built over the canal by Chinese contractors could cause a shutdown of transit. He also said the Chinese ports at both ends of the waterway posed "acute" risks to security. After listening to U.S. officials, experts and other Texas Republicans, the Texas Republican stated that "Panama could well be violating this treaty." After delays and contract modifications, the $1.3 billion bridge is expected to be finished by 2026. CK Hutchison Holdings, a Hong Kong-based company, has operated the Balboa Port and Cristobal ports for more than 20 years. Hong Kong-based CK Hutchison Holdings, a publicly listed company, is not financially linked to the Chinese government. At the hearing, Eugene Kontorovich of George Mason University, a law professor and research fellow with the Heritage Foundation (a conservative organization), said: "The presence and involvement of Chinese state-owned companies and the Chinese government raises serious questions and concerns about the neutrality and integrity of the treaty." The favorable financial terms offered to the company by CK Hutchison led to criticism both in the U.S.A. and Panama. Security was not a concern at the time. Hutchison Port Holdings is a global company that operates in hundreds of ports, including the U.S. Why don't the U.S. terminate Hutchison contracts in their own country if these ports are a threat to U.S. national security? In a recent opinion piece published in a local paper, Julio Yao wrote that he was one of Panama’s advisors at the time it signed its neutrality treaty. The U.S. can't force Panama to terminate or review contracts with Chinese companies. Yao, an expert in international relations, says that arguments for intervention are based upon 1978 amendments by the U.S. Senate, which guaranteed the U.S. protection of the canal from any threats. Panama should not acknowledge those amendments, said Yao. The eight-paragraph agreement and its annexes don't include any provisions on the resolution of disputes, or an expiration date. Do higher tolls on canals violate neutrality? Several U.S. officials also claimed that the increase in Panama Canal passage fees in recent years "disproportionately impacts Americans". The toll system for the canal does not distinguish between flags, origins or destinations. The severe drought in the year ended September saw the canal report a 5% drop in toll revenues to $3.18billion. The annual reports show that the toll revenue of the canal increased by almost 26% between 2020 and 2023. The canal's fee structure, however, is based on the number of reservations made by vessel type and size. This is combined with auctions to determine ships that arrive without reservations, and a variable surcharge for water. The tolls for military vessels are different than those charged to commercial vessels. Priority is given to U.S. military vessels. The treaty states only that "tolls, other charges, and fees for transit, ancillary service, and related services, shall be reasonable, fair, and consistent with international law principles." Daniel Maffei, a commissioner from the FMC, said that the U.S. was disproportionately affected because "the U.S. uses it disproportionately." He added, "We are aware that it is an important trade corridor. We want to continue using this corridor and to be treated fairly." Shipping experts warned that toll increases were applied by Panama and other waterways, including the Suez Canal in recent years. This was due to a spike in demand, geopolitical conflict, and weather conditions made worse by climate change. "The U.S. does not operate a fleet commercial vessels." In the 1960s, less than 10% of cargo entering or leaving the U.S. was under American flag. In a recent TV interview, John Feeley said that the toll has increased to 1.5%. He added that Panama's use of freshwater is what caused this increase.
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After 10 months of uninterrupted power supply, South African power cutbacks return
Officials announced on Friday that South African households and businesses will be experiencing scheduled power outages for the first 10 months because of breakdowns and planned maintenance at Eskom's coal fired power stations. Kgosientsho RAMOKGOPA, the Energy Minister told reporters Eskom's reserves had been depleted and that as a result "Stage 3 power cuts" would be implemented. This could require up to 3,000 Megawatts to be removed from the national grid. Outages will begin at 5 pm (1500 GMT) Friday. He said that the breakdowns occurred when several units were off-line for maintenance. Ramokgopa called the return of power outages in Africa's largest industrialised economy a "temporary reversal" and said that the country is still on track to ending the electricity outages. Since more than a century, power cuts have slowed down South Africa's economy. However, since March of last year there has been no power cut after Eskom's generator fleet suddenly improved its performance. Eskom announced last month that they expect to make their first profit in 8 years. This is due to improved power supplies and the debt relief package provided by the government. South Africa's energy regulator, however, could have dealt a blow to its efforts at a turnaround. On Thursday, it awarded the company a tariff increase average of 12.7% for the fiscal year starting in April. This is about a third less than what they had requested. Eskom's request for tens or even hundreds of millions of rands to cover coal contracts, an increased carbon tax, and increasing municipal debt is effectively denied by the regulator.
Panama president rules out debate over canal, eyes expanding U.S. migration deal
After talks with U.S. State Secretary Marco Rubio, Panama's president Jose Raul Mulino said that the sovereignty of his nation's canal was not in question, but he did mention the possibility of returning more migrants.
The canal has become a flashpoint in the relationship between the United States and China. U.S. president Donald Trump has claimed that due to the influence of China, the United States should retake this waterway.
Mulino, in remarks to reporters Mulino suggested that a possible extension of the existing agreement between the United States and Panama from July last year could pave the path for the direct deportation of non-Panamanian immigrants who cross the Darien Gap Jungle on Panama's border with Colombia. Mulino insisted that the U.S. would have to pay for the costs.
In the last few years, there has been a huge influx of migrants heading to the United States.
He noted that an expanded agreement could allow the deportation migrants from Venezuela and Colombia.
Mulino said, "We discussed extensively the issue of migration with the understanding that Panama was a transit country," after meeting Rubio.
Mulino's discussions with Rubio, Trump’s top diplomat, are the first of Rubio's stops on his tour to Central America, including the Dominican Republic, over the next couple of days. (Reporting and editing by David Alire Garcia, Anthony Esposito and Elida Moreno)
(source: Reuters)