Deal reached on delayed Panama Canal project

[PANAMA CITY] The Panama Canal and a Spanish-led consortium expanding the major maritime artery have reached a preliminary deal to complete work on a project that has been delayed in a dispute over US$1.6 billion in cost overruns, the canal's administrator said late last week.

The deal foresees the consortium, which is led by Spanish builder Sacyr alongside Italy's Salini Impregilo, finishing work by December 2015.

Limited work on the project resumed last Thursday after a two-week stoppage. The dispute has fanned fears that Panama could lose millions of dollars in shipping tolls.