The Africa Finance Corporation (AFC) has announced the selection of consortia that include Portugal’s Mota-Engil and Brazil’s Odebrecht Engenharia e Construção to design and build 830 kilometres of new railway line along the Lobito Corridor, which will connect Angola to Zambia. The project aims to strengthen rail links and facilitate the movement of goods between the two countries.

According to a statement cited by Lusa, Mota-Engil forms part of the consortium selected for the Zambian section, alongside Italian group Webuild S.p.A. and Turkish firm IC İçtaş Construction. The Portuguese company is also a member of the consortium chosen for the Angolan section, where it will partner with Brazil’s Odebrecht Engenharia e Construção.

At this stage, the consortia hold the status of preferred bidders, meaning the selection does not yet constitute a final contract award. Negotiations are expected to begin in November and run for eight to twelve weeks, according to the AFC.

The new railway line will connect Zambia to the Atlantic coast of Angola via the Lobito Corridor, which also traverses the Democratic Republic of Congo. The infrastructure is intended to facilitate the transport of strategic minerals such as copper and cobalt, as well as agricultural products, helping to reduce logistics costs and improve access to international markets.

The project is being developed by the AFC through Trans African Rail Company FZCO (TARC), the company responsible for the undertaking, along with Zambia Lobito Railway Limited and Zambia Lobito Railway S.A. The process began in October 2023 with the signing of the first memorandum of understanding between the governments of Angola and Zambia, the European Union, the Italian government, and the African Development Bank.

Following that agreement, technical and feasibility studies were carried out. In 2024, concession agreements were signed, and in 2025, intergovernmental agreements were concluded. Preliminary engineering studies have also been completed, advancing the project toward the subsequent contracting and development phases.

The Lobito Corridor and its associated projects are backed by several international financial institutions. The United States International Development Finance Corporation is contributing approximately €478 million, while the Development Bank of Southern Africa is providing a loan of €173 million. The European Union is also supporting the initiative through its Global Gateway programme.

Among the remaining financiers are the French Development Agency, contributing around €150 million, and the World Bank through complementary projects. Italy’s Mattei Plan envisages an additional financing mechanism of €250 million. These resources are earmarked to support the development of the Lobito Corridor and its associated infrastructure.