Mota-Engil Africa-led consortium to invest $450mn in Angola's Lobito corridor concession

Mota-Engil Africa-led consortium to invest $450mn in Angola's Lobito corridor concession
/ bne IntelliNews
By Elena Kachkova in Johannesburg November 10, 2022

Mota-Engil Africa, a subsidiary of Portuguese infrastructure group Mota-Engil, has signed an agreement for the concession of rail services and logistical support for the Lobito corridor in Angola in a consortium with Singapore-based logistics firm Trafigura and Belgian rail operator Vecturis.

With an initial term of 30 years, the agreement provides for a total investment of $450mn, of which $166mn in infrastructure and $70mn in rolling stock, Mota-Engil, which is partly owned by China’s construction company CCCC, said in a media statement.

The Lobito corridor is a key route connecting the border town of Luau in eastern Angola, close to the mines in the Democratic Republic of Congo (DRC), to the Angolan port of Lobito and the international markets. 

According to the statement, Mota-Engil Africa participates with 49.5% in the consortium. The consortium will be responsible for the exploration, management and maintenance of the road infrastructure for the transport of goods, minerals, liquids and gases to the corridor.

Earlier this year, China International Trust Investment Corporation and Shandong Port Group won the public tender for the management and operation of Angola’s Port of Lobito Multipurpose Container and General Cargo Terminal, Macao News reports.

The concession, for a period of 20 years, followed a public tender in which the Chinese bid surpassed another by the Philippine group ICTSI, which had already lost the tender for the management of the Port of Luanda terminal, which went to DP World, from Dubai, according to the publication.