Description of the Initiative

The project centres on the rehabilitation, upgrading and commercial operation of a 1,300-kilometre brownfield railway line linking the Port of Lobito directly to the border with the Democratic Republic of Congo. The concessionaire, Lobito Atlantic Railway S.A. (LAR), is supported by a robust international consortium including Mota-Engil in construction, Trafigura in logistics and commodities, and Vecturis in railway operations.

The US$753 million financing structure consists of US$553 million from the U.S. International Development Finance Corporation and US$200 million from the Development Bank of Southern Africa, with Africa Finance Corporation and Eaglestone acting as co-financial advisers.

Economic Impact for Angola and the Region

The Lobito Atlantic Railway will transform Angola’s transport infrastructure and materially reshape regional trade flows. Upon completion of rehabilitation works, annual transport capacity along the corridor is expected to increase to approximately 4.6 million metric tonnes. Transport costs for critical minerals, including copper and cobalt from Zambia and the Democratic Republic of Congo, are projected to decline by approximately 30 percent.

The corridor will provide a faster, more secure and lower-cost Atlantic export route, offering a credible alternative to southern transit routes and reinforcing Angola’s strategic maritime position. Beyond mineral exports, the project will stimulate agricultural production, value-added mining, logistics services, energy development and SME growth along the corridor’s axis.

The employment impact will be significant, both during the rehabilitation phase and throughout long-term operations. Skills transfer and technical training will accompany infrastructure modernisation, strengthening Angola’s domestic industrial and engineering capacity. The project directly supports Angola’s economic diversification agenda and consolidates its role as a regional logistics and trade hub linking Southern and Central Africa to global markets.

Opportunities for Czech Companies

Czech industry is exceptionally well positioned to participate in this flagship infrastructure initiative. The Czech Republic is internationally recognised for advanced rail engineering, rolling stock production, signalling systems, electrification technologies and infrastructure modernisation capabilities required for the successful delivery and expansion of the Lobito line.

Opportunities extend to the supply and installation of modern locomotives, freight wagons and passenger rolling stock; deployment of advanced signalling and digital traffic management systems; track rehabilitation and bridge engineering works; and the modernisation of port-rail interfaces and associated logistics infrastructure. As the corridor evolves into a broader economic development platform, additional demand is likely to emerge in industrial services, maintenance systems and specialised technical consultancy. Czech companies with relevant expertise are strongly encouraged to engage proactively.

Author: Amogelang Segole, Industry and Trade Specialist