Close-up of railway tracks in a desert, highlighting transportation infrastructure.
The Democratic Republic of Congo has awarded Mota-Engil Africa a 30-year concession to rehabilitate, extend, and operate the 1,000-kilometer Dilolo-Sakania railway, committing the Portuguese group to invest $1.25 billion. The line will connect mining and industrial centers in the country with Angola’s railway system and the Port of Lobito. The Congolese government will retain at least a 10% stake in the project company and receive a royalty equivalent to 7.5% of annual gross revenue. Once complete, the railway is expected to reduce freight transit times from southeastern DRC to Lobito to just five to eight days, compared with roughly 25 days via South Africa’s Durban route, potentially slashing logistics costs by 30%. However, challenges remain, including harmonizing track gauges between the Congolese and Angolan networks and competing with existing logistics arrangements tied to Chinese mining interests operating in the region.