AFC Announces Preferred EPC Contractors for Zambia Lobito Railway, Advancing Atlantic Trade Corridor to Project Implementation
Lagos, Nigeria, 27th October 2026 - Africa Finance Corporation (AFC), Lead Sponsor and Developer of the Zambia Lobito Railway Project, has selected the preferred bidders for the Engineering, Procurement and Construction (EPC) contracts for the 830-kilometre greenfield railway, following a competitive international tender process.
The consortium comprising Webuild S.p.A., Mota-Engil and IC İçtaş Construction has been selected as the Preferred Bidder for the Zambian section, while the consortium comprising Mota-Engil and Odebrecht Engineering and Construction has been selected as the Preferred Bidder for the Angolan section of the Project
Contract negotiations will begin in November 2026, with the aim of concluding EPC agreements within 8 to 12 weeks, subject to satisfactory technical, commercial and legal negotiations.
The Zambia Lobito Railway Project is expected to unlock billions of dollars in economic value through new opportunities for trade and industrialisation along the corridor connecting Zambia to Angola's Atlantic coast, facilitating value addition to the region’s strategic minerals, including copper and cobalt, as well as agricultural products. By reducing logistics costs and improving access to global markets, the railway will strengthen regional integration and enable African economies to process their resources locally.
The project is being developed by AFC through the Trans African Rail Company FZCO (TARC), the project holding company, and the project companies, Zambia Lobito Railway Limited and Zambia Lobito Railway S.A.
Samaila Zubairu, President and CEO of Africa Finance Corporation, said: “Africa’s growing market needs infrastructure that connects our resources to production, our producers to consumers, and our people to opportunity. The Zambia Lobito Railway will help build competitive battery mineral and agricultural value chains, anchoring new industrial cities and creating jobs along the corridor. Selecting preferred EPC bidders brings us closer to delivery. Working with our partners, we are building the foundations for African economies to produce more, trade more and retain more of the value they create.”
The announcement follows significant progress since the signing of a Memorandum of Understanding in October 2023 involving the governments of Angola and Zambia, the European Union, the United States Government, the Government of Italy and the African Development Bank. Subsequent milestones include the completion of feasibility and technical studies, the signing of concession agreements in 2024 and intergovernmental agreements in 2025, and the completion of preliminary engineering designs.
The Lobito Corridor is a flagship project under Italy’s Mattei Plan for Africa, a government initiative to strengthen investment and economic partnerships with African countries. This includes a €250 million financing facility from Italian development finance institution CDP, backed by Italian export credit agency SACE, to support Italian participation in infrastructure projects, including the railway.
Throughout this process, AFC has worked closely with the governments of Angola and Zambia to coordinate key approvals, align priorities and advance the project towards implementation.
AFC and its partners have also advanced the Environmental and Social Impact Assessments (ESIAs) and Resettlement Action Plans (RAPs), alongside preparations for the competitive EPC tender process.
The selection marks a significant milestone towards delivering the strategic railway corridor connecting Zambia to Angola's Atlantic coast through the Port of Lobito. The Project is expected to transform regional connectivity, reduce logistics costs, facilitate mineral and agricultural exports, and unlock new opportunities for industrialisation and regional trade.
AFC remains committed to advancing this transformative infrastructure investment alongside its partners and mobilising capital to accelerate its implementation.
ENDS
About AFC
AFC was established in 2007 to be the catalyst for pragmatic infrastructure and industrial investments across Africa. AFC’s approach combines specialist industry expertise with a focus on financial and technical advisory, project structuring, project development, and risk capital to address Africa’s infrastructure development needs and drive sustainable economic growth.
Nineteen years on, AFC has developed a track record as the partner of choice in Africa for investing and delivering on instrumental, high-quality infrastructure assets that provide essential services in the core infrastructure sectors of power, natural resources, heavy industry, transport, and telecommunications. AFC has 49 member countries and has invested over US$20 billion in 36 African countries since its inception.
Media Enquiries:
Yewande Thorpe
Communications
Africa Finance Corporation
Mobile +234 1 279 9654
Email: yewande.thorpe@africafc.org