Asia/Pacific News
Nicaragua's Panama Canal Alternative "Can Now Move Forward with Full Speed" After Environmental Permit Issued
HKND Group (HKND) says its plan to build a $50-billion alternative to the Panama Canal in Nicaragua can "move forward with full speed" after being issued with an "Environmental Permit" following the Government of Nicaragua's approval of an Environmental and Social Impact Assessment (ESIA).
HKND said the study found that the new Canal "will produce a net positive environmental and social impact" as well as "significantly benefit the Nicaraguan economy as a result of increased economic production, corporate diversity, and markets."
Nicaragua's presentation of the environmental permit to Bill Wild, chief project advisor of HKND Group, during a ceremony capped review processes that saw nine consultation meetings held by the government and HKND, which attracted about 3,000 participants.
The company estimates that the project, which will create a 172-mile waterway, 230 to 520 metres wide and 27.6 metres deep (longer, wider and deeper than the 51-mile Panama Canal), will directly or indirectly create up to 250,000 jobs during the construction phase.
"The ESIA process has been exhaustive and we spent longer completing it than we originally envisaged, because we listened to the input we received about the design and made various changes that have improved it," said Wild.
"We're really pleased that the project can now move forward with full speed and with the sincere support from many sectors of the country."
Earlier this year, HKND reported that 78 percent of Nicaraguans responding to a survey support the project, but analysts have questioned if sufficient demand for the waterway exists, given the impending completion of Panama's $5.25 billion expansion project.
