Mota-Engil will operate, manage, and modernize about 1,300 kilometers of railway infrastructure from Lobito Port in Angola to Luau near the Angola-DR Congo border, including a minerals terminal at the port, under a 30-year concession with the government.

The project includes guaranteeing Mota-Engil’s capital investments for development, operation, maintenance, and long-term modernization of the Lobito Corridor, with a minerals terminal at the Angolan port.

Beyond operations, the initiative aims to build local competencies and drive economic growth through modernization of rail infrastructure over the concession period.

The agreement signals strong international confidence in the project and in Mota-Engil’s ability to execute, reflecting a long-standing commitment to Angola spanning several decades.

Estimated peak direct employment exceeds 1,600 workers, with 97% expected to be Angolan; currently about 1,000 workers are employed, including 529 transferred from state rail and port operators, underscoring local skills development.

The World Bank Group’s Multilateral Investment Guarantee Agency (MIGA) issued guarantees totaling $62.6 million to support Mota-Engil’s equity investments in the Lobito Atlantic Railway project.

Manuel Mota, CEO of Mota-Engil, said the MIGA guarantees reinforce the investment’s viability and reflect international confidence in the project and partners.

MIGA’s guarantees cover risks such as expropriation, civil disturbance, disruption, and contract frustration to enable the scale of the Lobito Atlantic Railway and signal confidence in execution partners.

The Lobito Corridor is a key route for copper and cobalt from the Copperbelt in DR Congo to international markets, offering significantly faster transit times than current road transport.

The corridor aims to strengthen regional connectivity and enhance Angola’s strategic infrastructure by facilitating access to Copperbelt minerals for global markets, including materials vital for clean energy technologies.

By shortening transit times for minerals like copper and cobalt, the Lobito Corridor supports export pipelines for materials used in EV batteries and energy storage.