Emera confirms Maritime Link workers in Cape Breton will face layoffs

Emera Newfoundland is confirming that at least some workers on the Maritime Link project in Cape Breton are being laid offafter one of its major contractors filed for bankruptcy protection.

Spanish companyAbengoa, which has an office at theSydportIndustrial Park near Sydney, filed for bankruptcy protection in November.It is operating under creditor protection and is working on a plan to restructure $16 billion in debts.

JeffMyrick, senior manager of communications and public affairsforEmeraNewfoundland and Labrador, confirmed there will be layoffs in Nova Scotia. He said in anemailto CBC NewsthatAbengoais "managing its workforce."

He did not say how many employees would lose their jobs or when.

• Company building Maritime Link lines files for bankruptcy protection

Abengoa was chosen to build 400 kilometres of overhead transmission lines that will connect the Muskrat Falls hydroelectric project in Labrador to the North American grid.

Two weeks ago, the company was unable to meet its payroll, but has since paid employees.

• Maritime Link contractor missed payroll last week, made good yesterday

Despite Abengoa's financial troubles, Myrick saidthe transmission line is on budget and on schedule for completion in 2017.