Lobito Corridor Railway Line Linking Zambia, the DRC, and Angola Supported by the US and EU
Zambia is one of three countries at the heart of a planned trans-African railway line connecting southern Democratic Republic of Congo (DRC) and northwestern Zambia to regional and global markets through the port of Lobito on Angola’s Atlantic Coast.
The original railway line, which will be used as the foundation for the Lobito Corridor, was first constructed early in the twentieth century but severely damaged during Angola’s civil war. The new projected line will run along the existing railway for 1,300km across the country, connecting the Lobito port to Luau in eastern Angola. It will then extend another 400km through to Kolwezi in the DRC and Zambia, in the heart of the copper belt region.
Presidents Tshisekedi, Lourenço and Hichilema at the ceremony for the concession transfer the corridor (DRC Presidency)
A Partnership of Countries and Companies
On 4 July, the presidents of the three countries – Zambia’s Hakainde Hichilema, DRC’s Félix Tshisekedi, and Angola’s João Louenço – gathered at the Lobito Corridor Ceremony to mark the official transfer of operational concession for the railway line and mineral terminal to the Lobito Atlantic Railway (LAR) consortium joint venture company.
LAR is comprised of Trafigura, a market leader in the global commodities industry, Mota-Engil, an international construction and infrastructure management company, and Vecturis SA, an independent rail contractor.
Jeremy Wier, speaking on behalf of the LAR concession companies, described the corridor as “a partnership between the private and public sectors”, as well as a partnership of three countries and three companies. “We believe the Lobito rail corridor has huge potential to boost the development of sectors along the line including heavy industry, agriculture and mining, creating new jobs and opportunities”, he added.
Trafigura of LAR has revealed its plans to invest $455 million in Angola and up to $100 million DRC. Its plans for Zambia are yet to be announced.
Support from the US and the EU
On 9 September, at the G20 Forum in India, a joint statement was released from the United States (US) and the European Union (EU), welcoming the project and promising the support of the two countries.
As a first step, the US and EU have pledged to launch feasibility studies for a greenfield rail-line expansion between Zambia and Angola. They also promise to upgrade critical infrastructure across sub-Saharan Africa in order to “unlock the enormous potential of this region”.
The region is rich in critical minerals, such as copper, cobalt, manganese, zinc, and lithium. The Corridor would offer the shortest route to transport these minerals from inland to the coast; various routes previously used – such as through South Africa, Tanzania, Namibia, or Mozambique – take longer. The estimated average travel time from southeastern DRC to the coast will be cut from 30 days to eight.
Map of the Lobito Corridor (US Government)
The US-EU statement says, “By significantly reducing the average transport time, the new railway will lower the logistics costs and carbon footprint of exporting metals, agricultural goods, and other products, as well as for future development of any mineral discoveries”.
The Corridor will also be hugely beneficial for the region’s import economy. Mining inputs, as well as agricultural products and consumer goods, can be channelled into the region at greater speed.
Critical to the Green Energy Transition
The Lobito Corridor development is inextricably tied to the global transition towards clean energy systems. A plentiful supply of critical minerals is essential to this shift: the International Energy Agency said clean energy technologies, such as solar photovoltaic (PV) plants, wind farms, and electric vehicles generally require more wind to build than their fossil-fuel equivalents. It is therefore central to the project that critical minerals such as copper, cobalt, and lithium are mined in high quantities in the countries linked by the Corridor.
The new railway line will aid a greener and brighter future in the region in other ways. Rail has a much lower carbon footprint compared to road transport. In a statement released to mark the transfer of the railway services concession, LAR said the development of the rail corridor “promises environmental and safety benefits” by removing trucks from the road and thus reducing border delays and road traffic accidents, as well as cutting air pollution and carbon emissions.
Additionally, the US and EU have said they would cooperate with the three African countries in growing agricultural value chains to enhance local food production for the region’s growing population, as well as pledging support for local Small and Medium Enterprises (SMEs) and economic diversification.
The international and regional communities’ support for the Lobito Corridor project demonstrates its potential as a catalyst for growth and investment in Zambia, as well as for the transition to clean energy globally.