Metro subway costs jump $5 million in three months

(PanamaNewsRoom) Work has barely begun on the construction of Panama’s subway project, but the price has already climbed by $5 million.

The $1.4 billion contract with the consortium Línea Uno was awarded in August  last year. It was signed in November with an increase of $5 million due due to “currency fluctuations” that took place in the interventing three months..

Roberto Roy, executive secretary of the Metro, said the contract rules stipulate that currency fluctuations will be taken into account as some of the parts of the rail system are being manufactured in Europe.

The contract also allows for fluctuations in the prices of commodities like steel, cement, concrete and diesel.

The first Metro rail line will stretch for 13.7 kilometers with 11 stations, five of them underground.

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Original Source: PanamaNewsRoom

Date Retrieved: February 8, 2011