IL Postcard

BOOM Goes Paradise Hill as Canal Expansion Gets Underway

Date: 09/04/2007

BOOM! That's the sound that signaled to the world that the Panama Canal expansion mega-project has begun . The day: Monday, September 3, 2007-the 30th anniversary of the signing of the U.S.-Panama treaty better known as the Torrijos-Carter treaty. Panama President Martin Torrijos "pressed the button," causing a powerful explosion to rip apart Cerro Paraiso (Paradise Hill), where excavation for the $5.25 billion expansion has already begun.

Some 30,000 people were present for the symbolic act, including VIPs such as Colombia President Alvaro Uribe; El Salvador President Antonio Saca; Nicaragua President Daniel Ortega; and Honduras President Manuel Zelaya. A guest of honor, former U.S. President Jimmy Carter arrived on Torrijos' presidential plane. Carter co-signed the Torrijos-Carter treaty (along with Martin Torrijos' father and then-dictator of Panama, Omar Torrijos) in which the U.S. agreed to hand over the Canal in 1999.

With the explosion, the song Patria (Homeland), by Panamanian singer-songwriter and Minister of Tourism Ruben Blades, began to blare over loudspeakers. The song-dear to the hearts of many and considered the informal national anthem-had its usual effect, causing many in the crowds to close their eyes or cry from emotion as they sang along.

Worries on a happy day
Though the nation is celebrating, many are concerned about the effect recent events may have on Panama-U.S. relations, which have nearly always been excellent: The U.S. has expressed displeasure at the Panama National Assembly's choice of President, the newly elected Pedro Miguel Gonzalez. The Assembly President allegedly shot and killed a U.S. soldier named Zak Hernandez just before the U.S. invasion of Panama in 1989. Gonzalez was quickly acquitted by Panama courts in what is both locally and internationally viewed as a sham trial, and is still wanted in the U.S. Though the U.S. has not made any threats, many are calling for Gonzalez (who was absent from the celebration) to step down before he causes any "real damage" to the relationship between the U.S. and Panama. Gonzalez, however, has kept mum since his recent acceptance speech.

About the Canal
Local company Constructora Urbana S.A. (CUSA) has been hired to level Paraiso Hill from its current height of about 446 feet to just over 150 feet in the next 945 days. This first phase of the expansion requires removal and disposal of over 9.6 million cubic yards of material from Paraiso, according to CUSA project manager Hermenegildo Pinzon. Some 300 people will work on this phase, including security guards, topographers, mechanics, and specialists who will rescue and relocate fauna from the area.

Overall, nearly 1.7 billion cubic yards of material will be excavated for the expansion, scheduled for completion by 2014 (the 100th anniversary of the Panama Canal's completion). The newly expanded Canal will have double its current capacity, allowing it to accommodate "Post-Panamax" mega-vessels that are currently too large to use the waterway. According to the Panama Canal Authority (ACP), the expansion will generate some 8,000 direct jobs and an additional 35,000 indirect jobs in related supply and service fields.

Best Regards,

Jessica Ramesch
Editor, Panama Insider
International Living

P.S. Yes, it's certainly an exciting time to be in Panama. If you're coming here this October, you can check out the Panama Canal mega-project and attend IL's mega-event of the year…and if that's too many "megas," there'll also be an opportunity to show your charitable side by helping the local community (while having fun).