A plan to provide 1,100 jobs in Co Cork has been indefinitely postponed.

Biotechnology company Amgen was to have provided the jobs in a billion dollar investment at a manufacturing facility in Carrigtwohill, Co Cork.

However, the company has decided to put off the project indefinitely.

IDA Ireland has described the decision as disappointing.

It said decisions by the US Medicare authorities, concerning some of Amgen's main drugs, have caused business difficulties for the company.

Amgen is reducing its staff globally by up to 14%, closing two plants in the US, and reducing its planned capital expenditure.

IDA Ireland said the decision to halt the project did not reflect in any way on the business environment in Ireland, and that further investments could be expected over the coming months.

IDA Ireland said Amgen will retain the Cork site, so that changed circumstances may lead to a recommencement of plans.

In a statement, Amgen said it will cease all current activities on the site in co-operation with the Government and its agencies, community groups and business participants.

'The decision will affect up to 79 staff, 65 of whom are based in Cork. All staff will be notified regarding the likelihood of redundancy', according to the statement.

Amgen said it would work with staff during the consultation period to identify potential options elsewhere in the company. However, it is likely that the majority of people will be offered redundancy packages.