Canal Expansion: Possible Solution In the WingsTuesday, January 21, 2014 The consortium responsible for the construction has extended until Thursday, January 30th, its ultimatum to suspend the works, at the same time as talks of a possible long-term solution emerge. " ... It has been revealed that the builders of the Canal expansion have extended the deadline for suspension of works. The new date is Thursday, January 30th. " Canal Expansion: Differences Between Companies in the Consortium GUPCTuesday, January 14, 2014 The Spanish Sacyr has distanced itself from its Italian partner Impregilo, indicating its intention to continue the works, negotiating cost overruns within the scope of the original contract with the ACP. In light of the statement by the president of Sacyr, Jorge Luis Quijano, the administrator of the Panama Canal, said of the statement by Manuel Manrique, that the intentions expressed have not been communicated to the Canal Authority in writing. Sacyr Shares Keep Pace With RumorsThursday, February 13, 2014 The rise in the price of shares in Sacyr seems to indicate an interest on the part of investors because the company reached an agreement with the ACP. The rise of 4.7% in shares in Sacyr at the close of Wednesday after the announcement of preliminary agreements between the Authority and the construction company working on the Canal appear to reflect market interest in the conflict being resolved quickly and favorably. Canal Expansion: "Window of Understanding"Monday, February 3, 2014 The parties in conflict have agreed to continue the dialogue to discuss a proposal whose basis is an extension for repayment of cash advances made by the ACP to the construction group. An article in Prensa.com reported that "Yesterday, Grupo Unidos por el Canal (GUPC) and the Panama Canal Authority (ACP) agreed to extend until Tuesday, the negotiation process to find a solution to the problems of insolvency of the consortium and completing the construction of the third set of locks. " Canal Expansion: The Cost of the DelayMonday, January 27, 2014 If the canal is not ready by 2015, the additional revenue that the Panamanian government expected to receive will be pushed forward for at least a year. The first $1.5 billion estimated as additional income from the Canal expansion could be delayed by one year if the project does not meet the original deadlines. Canal Expansion: 2,600 Less WorkersFriday, January 17, 2014 The consortium in charge of the work has made 1600 people redundant and 1000 others have stopped working voluntarily on the Canal expansion. In the past five months over half of the people who worked on the redevelopment of the Panama Canal have left their duties. About 1,600 were dismissed while another 1,000 decided to voluntarily withdraw. Canal Expansion: Date of Stoppage ConfirmedFriday, January 17, 2014 The construction consortium has reaffirmed its ultimatum to stop the works if there is no agreement with the Panama Canal Authority. An article in Prensa.com reports that "Grupo Unidos por el Canal (GUPC), the company under contract for building the third set of locks, is upholding its ultimatum given to the Canal Administration to suspend the most important works on the expansion project, from next Monday. " Canal Expansion: A Light At The End of The TunnelThursday, February 20, 2014 The Canal Authority and the consortium have agreed to resume the works, but delivery times and other key aspects still need to be defined. Grupo Unidos por el Canal has pledged to restart, on February 20, the construction of the Third Set of Locks. As soon as the works are restarted the ACP will remit $36.8 million related to payments billed by the consortium last December. Panama Canal: Lawsuit Withdrawn Because of Increased CostsMonday, December 16, 2013 Grupo Unidos por el Canal has withdrawn its claim for $586 million for additional costs for the construction of the third set of locks. "At the moment there are no suits waiting for resolution," said Jorge Luis Quijano, ACP Administrator, who also said that if the construction consortium decided to withdraw from the work, the ACP has the ability to take over management of the extension of Canal. Canal Expansion: Insurer Opposed to ACPTuesday, January 28, 2014 The Zurich insurance company will not disburse the bond to complete the work if the ACP terminates the contract with the consortium Grupo Unidos por el Canal. The insurance firm Zurich, which holds a performance bond for the work for $400 million, would not be willing to honor the guarantee if the Canal Authority completes the work using another contractor, part of the ACP's plan B which it is considering. Canal Expansion: The Return of DisagreementsWednesday, February 19, 2014 The Canal Authority has reported that the preliminary agreements reached days ago have failed to materialize. The ACP considered this week "critical" in making a decision whether to restart the project restarting as soon as possible. Canal Expansion: Between a Rock and a Hard PlaceThursday, January 23, 2014 The construction consortium has rejected the proposed solutions one by one, as they know that being replaced would be more expensive for the ACP than to acquiesce to its demands. EDITORIAL Canal Expansion: When The Cheap Option Turns Out to Be ExpensiveFriday, January 10, 2014 Having glossed over the Bechtel report on technical deficiencies in the very cheap proposal made by Grupo Unidos por el Canal for the Canal expansion, the project could now turn out to be very expensive for the ACP. At the time of the award of the construction works on the Panama Canal expansion to the consortium Grupo Unidos por el Canal (GUPC), the efforts made by the U.S. Canal Expansion: Agreement Depends on InsurerMonday, February 17, 2014 The possibility of a joint injection of $200 million agreed between the parties now depends on the insurer Zurich to contribute $400 million as a deposit. The Panama Canal Authority (ACP) and Grupo Unidos por el Canal (GUPC) have reached a tentative agreement that includes the co-injection of $200 million, the payment by GUPC of a bill that is due, and extending the term of repayment of funds advanced by the ACP. Canal Expansion: Lack of Financial AgreementFriday, February 21, 2014 Although work has been restarted, there are still differences at the negotiating table that make the final agreement uncertain. Just yesterday afternoon more activity could be seen in the works of the Canal expansion, as the administrator of the Panama Canal, Jorge Luis Quijano said it was "a good restart of works." |
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