Angola and DRC ink concession deal for vital Dilolo-Sakania railway line

Angola and DRC ink concession deal for vital Dilolo-Sakania railway line
L'Angola et la RDC signent un contrat de concession pour la ligne ferroviaire Dilolo-Sakania

Angola and the Democratic Republic of Congo have officially signed a significant concession agreement concerning the Dilolo-Sakania railway line. This landmark deal outlines a thirty-year period for the comprehensive rehabilitation, modernization, expansion, and subsequent operation of the crucial rail link, connecting Dilolo in the Lualaba province and Sakania in Haut-Katanga.

Under the terms of this agreement, the Congolese state will maintain full ownership of the railway infrastructure. Furthermore, it will hold a minimum of 10% equity in the project company. Upon the conclusion of the three-decade concession, all upgraded infrastructure will be transferred back to the direct control of the Congolese government.

The concessionaire is tasked with the complete financial responsibility and bears all traffic-related risks, operating without any sovereign guarantees or operational subsidies from the DRC. Congolese President Félix Tshisekedi has underscored the anticipated national economic benefits, emphasizing job creation, youth training initiatives, engagement with local businesses, and vital technology transfer.

This strategic corridor is designed to facilitate the transportation of a diverse range of goods. Beyond mineral resources, it will accommodate agricultural produce, industrial inputs, hydrocarbons, containers, consumer goods, and passenger traffic, significantly boosting regional trade flows.

Kinshasa and Luanda are also committed to synchronizing their railway operations, standardizing tariffs, and streamlining customs procedures to ensure seamless cross-border movement.

With an estimated cost of 1.2 billion, the project extends beyond the railway itself. It includes the development of essential cross-border roads, modern logistics platforms, and robust energy infrastructure. Both nations are also keen on revitalizing their cooperation in the hydrocarbon sector and accelerating electrical interconnection, particularly to bolster power supply to the Katanga region.

sahelvision