The Red Frog Beach project consists of the construction of a gigantic tourist complex on Bastimentos Island. In 2007, the firm sought approval from Panamas national environmental agency, ANAM, to begin phase two of its project, which would include 800 more residential units, luxury hotel facilities and a second marina. By that time, the first phase of the project was still under construction. Opponents claimed the project risks profoundly affecting Bastimentos fragile rainforest, beach and coral-reef habitats and jeopardizing the cultural heritage of the island's indigenous peoples, such as the Ngobe-Bugle, who have consistently voiced their opposition to the Red Frog Beach Club project through direct protests and petitions.
The National Environmental Authority (ANAM) approved the Environmental Impact Study (EIA) proposed by Red Frog Beach but the Supreme Court of Justice positively answered to “Centro de Incidencia Ambiental” request for the annulment of the previous EIA. The Court ordered in December 2008 a new EIA blaming ANAM for violating the national laws and International conventions signed by Panama for the protection of marine and rainforest biodiversity, but also for ignoring not only the interests of the community, but also momentous aspects of ecological impacts in the short, medium and long term that the residential and touristic works would cause. In October 2008 the first phase of the project was relaunched after 20 months of immobilization provoked by the workforce strike, coordinated by the labor union SUNTRACS.
The Supreme Court decision contained the Red Frog Beach project, shrinking it to only one marina instead of two and diminishing the number of luxury houses.
The completion of the first phase of the project took a new focus on green amenities rather than traditional tourist amenities. It was finished, including the marina, by mid-2009. Still no matters how “green” are the amenities, the immensity and energy-greedy of luxury villas, of a golf club and of a marina inevitably imbalance the precarious environmental equilibrium of the Bastimentos Island’s rainforest and coastal biodiversity.