I was contacted for contract work by a employment agency for a position for a company I really wanted to work for as a full time employee; the agency offered a contract role for 12 months. However, since I also applied for an actual job with the company I wanted to work for, I was fortunately contacted for an official position with the company after I notified them of this employment agency contact.
I recently finished an in person interview and I called a HR person today (a week after) about if I had the position. She said she was 90% sure and was going to get back to me today. They are very swamped with hiring right now apparently. However, she also wanted me to cancel contact via an email or other means with the contract employment company for the other available position for that same company.
What should I do in this case to have the best chance to work for this company? I want to work for the company (I would prefer an actual employment vs. contract) but don't want to ruin any chances / burn any bridges. 90% is not 100% and I don't have an official offer yet, although for what its worth this HR person seems trustworthy and kind.
P.S. This was cross posted from Meta Workplace because I wasn't sure if it was a duplicate via: "How do I coordinate the process of pursuing multiple job opportunities at the same time?"
EDIT: I emailed the contractor and said I was no longer interested and she accepted that. I also called the HR of the company I wanted to work for and they said they were "still undergoing hiring and need to wait for a shift to open up", but they seemed confident I had a place. She explained that internal interviews were being done and people were being moved around at levels higher than my position. She gave me an "ETA" of a few weeks (near end of march / start of April), so with that in mind should I still continue to search for jobs / actively apply?