The negotiations between the ACP and GUPC are to a critical point and the work of widening of the channel of Panama hat is suspended



The controversy on the prosecuzione of the work of widening of the channel of Panama hat that opposes the Autoridad of the Canal de Panama City (the ACP) and the Grupo Unidos por el Canal (GUPC), the consortium constituted from the Sacyr Vallehermoso Spanish, the Italian Salt Impregilo, the Belgian Jan De Nul and the Panamanian City Constructora (CUSA) that it is charged of the planning and execution of the works, has reached to a critical point.

Yesterday the Panamanian Authority, stating that now - after two weeks of negotiations in the course of which the activity of the yards is come down to 25% - almost all the activities are interrupted, has intimato to the consortium to so resume the work as expected from the contract. L '' administrator of the ACP, Jorge Quijano, has softened the tones having specified that the Autoridad of the continuous Canal de Panama City to look for a solution to the controversy, primed from the demand for the consortium that are recognized additional costs for about 1,6 billion dollars as unexpected geologic conditions have had a meaningful impact on the costs of the civil works ( on 2 January 2014), and that "the continuous ACP to hold the open doors for a reasonable solution in the within of the contract". However Quijano has added that the contractor it must restore the normal activity and has emphasized that this is essential above all in a season moment dries to Panama hat.

The GUPC partner has instead accused the ACP to have "broken the negotiations", while the consortium is "still to the search of a financing solution in order to complete the project and the work in 2015". The consortium has denounced that "the breach of negotiates places in imminent danger the widening of the channel of Panama hat and until 10.000 places of job. Without an immediate solution - it has cut short GUPC in a note - Panama and the ACP will have to face years of controversies dinanzi to the national and international courts on the steps that have carried the project on the border of the failure".

GUPC has emphasized to have already completed beyond 70% of the third series of locks previewed from the project in spite of the difficulties and the losses financial institutions, to have almost daily advanced proposals to the ACP and to have answered to those of the Panamanian authority. Moreover the consortium has announced to have sent a letter to the administrator of the ACP Quijano "inviting it to abandon its unreasonably rigid position and to join to GUPC in the effort to reach a solution that will afford the completion of the project in conformity with the enforced contract and laws". GUPC has specified to have also restated the importance to receive from the ACP the payment of 50 million dollars for a hanging invoice about which it has been discussed in the recent encounters in order to allow the payment of the subcontractors and the workers. The consortium has specified not to have received some answer in merit and of being still to the search of a solution.

GUPC has restated that the possible solution consists in an agreement for the completion of the project based on which the burden of the financing of the completion project will be supported through a co-financing 50:50, "although - has emphasized the consortium - the applicable obligations contractual and laws preview that the owner of the project is in charge of all the financing of the project".

Moreover the consortium has restated that he will be "international a arbitral court to decide who is in charge of the sovracosti additional and who must support them based on the contract and to the applicable laws". "With such agreement - it has found GUPC - the widening of the channel of Panama hat will be completed in possible the more efficient way and the ACP will begin to confiscate the revenues of the widening of the channel that will exceed the amount of the financing in argument".

Remembering that the insurance group Zurich previews that in absence of an agreement the project will endure a delay 3-5-year-old, the consortium has evidenced that "the companies that take part of GUPC are construction enterprises, not banks. It is unjust and impossible - it has concluded GUPC - than the ACP and Panama hat expects that privately-owned companies finance costs for 1,6 billion free lance dollars of a project that would have to be financed entirely from the ACP".