A Chinese state-owned company is expected to finalize an agreement to take over the concession for the railway connecting Zambia’s copper mines to a Tanzanian port by the end of 2024, according to the Tanzania-Zambia Railway Authority (Tazara).
Last week, the heads of state from Zambia, Tanzania, and China witnessed the signing of a memorandum of understanding (MoU) to rehabilitate the 1,860-kilometer (1,160 miles) railway, originally built in the 1970s with financing from Mao Zedong’s China.
This marks the beginning of the largest upgrade to the line, with the Chinese government previously announcing an investment of over $1 billion for the project.
“We are actively negotiating with China Civil Engineering Construction Corp.,” Tazara confirmed in an emailed statement on Tuesday.
The railway could play a critical role in the energy transition, particularly for copper and cobalt mine operators in Zambia and the Democratic Republic of Congo (DRC), who are seeking efficient routes to transport their growing production to international ports.
Road transport currently faces congestion and lengthy delays, making the railway an attractive alternative. The revamped line will also compete with the US-backed Lobito Corridor, which connects to an Angolan port.
Tazara estimates that the rehabilitation of the railway infrastructure and rolling stock will take about two years.
The concession period is set for up to 30 years, and the line’s annual cargo capacity is expected to quadruple to approximately 2 million tons.
