Panama canal threatens to take over key expansion project

Panama Canal administrator Jorge Quijano arrives at the National congress in Panama City January 8, 2014. REUTERS/Carlos Jasso

PANAMA CITY (Reuters) - The Panama Canal Authority (PCA) said on Tuesday it might take over a key part of the waterway's expansion if the consortium in charge of the project makes good on a threat to suspend work.

PCA chief Jorge Quijano told reporters the remaining work, which could be taken over as early as February, would cost about $1.5 billion. He added the PCA has the means to cover the sum.