The contract for design and construction of the third set of locks is seven months behind, it was acknowledged by the Panama Canal administrator Alberto Aleman Zubieta.

The company Grupo Unidos por el Canal (GUPC), responsible for the design and construction of the locks did not meet the specified mix of concrete to be used. However, although GUPC has a seven month delay in the construction, the corporation ensures that the work will be completed on time for delivery by October 2014.

Clauses

The locks contract has a clause that the company must pay a $300,000 a day penalty for late delivery of the work, with a limit of $54 million.

The ACP administrator said the company has paid the Panama Canal Authority more than $1 million for use of the station in Cartagena, near the town of Pedro Miguel, for use in the assembly of equipment. With this strategy the consortium is making up time to meet the target.

Overall, enlargement has committed $4,497 million, of which $4,200 million is in contracts and other expenses for work being carried out by the ACP. The design and construction of the locks costs $3,200 million.

Until last month, the expansion program was 35% complete, of which the Pacific access channel was 68% finished, design and construction of the third set of locks, 21%, dredging of the Pacific entry, 84%, Atlantic entrance, 97%, dredging of the Gaillard Cut and Gatun Lake, 68% and lifting the operational level of Gatun Lake to its maximum, 6%.

From the Bulletin Panama