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Transnordestina has a new completion deadline: 2016

The Transnordestina railway construction, originally scheduled for completion in December 2015, has been postponed to September 2016. This new deadline is due to the cancellation of the contract with the construction company Odebrecht. However, the budget of R$ 7,5 billion is not expected to be affected by this change. With this extension, the number of months the project has already been delayed rises to 69.

The Transnordestina railway works, scheduled for completion in December 2015, have had their completion postponed to September 2016; the new deadline is due to the cancellation of the contract with the contractor Obebrecht for the execution of the work; the budget of R$ 7,5 billion, however, should not be affected by the change; with this extension, the number of months by which the completion of the work has already been delayed rises to 69 (Photo: Paulo Emílio)

PE247- The Transnordestina railway construction, originally scheduled for completion in December 2015, has been postponed to September 2016. This new deadline is due to the cancellation of the contract with the construction company Obebrecht. The budget of R$ 7,5 billion, however, is not expected to be affected by this change. With this extension, the number of months the project has already been delayed rises to 69. The initial plan was for the railway to be operational by mid-2007.

The company responsible for the railway, Transnordestina Logística S/A (TLSA), reported that a hiring process is already underway for a new contractor to take over the project and continue the works, following the cancellation of the contract with Odebrecht in September.

However, the pace of the work, previously considered adequate, now receives the "attention" label in the latest survey conducted by the Federal Government, indicating that the construction of the railway should be expedited. The Ministry of Planning, Budget and Management expects to resume the pace of work in November. The Transnordestina railway, initially scheduled for completion in 2007, will connect the Sertão region of Northeast Brazil to the ports of Suape, in Pernambuco, and Pecém, in Ceará.