Panama road contract extension for construction firm

Contractor Constructora Meco has been awarded an extension to the package of works it is carrying out in Panama to upgrade the road running through Pedregal, Gonzalillo and Transistmica. The Costa Rican contractor was awarded the extension by Panama’s Ministry of Public Works (MOP). The work involves improvements to an 11km road section that will help improve traffic flow between the east and north of Panama City. The work was originally expected to cost US$97 million but has now increased to $127.8 million. A major factor in the increased pricetag has been the unexpectedly high compensation rates paid for the land.