The Africa Finance Corporation (AFC) has named two international consortia as preferred bidders to build the roughly 830-kilometre Zambia–Angola railway, a major advance for the Lobito Corridor and its plan to move copper, cobalt and agricultural freight from central Africa to the Atlantic.

For the Zambian section, AFC chose a consortium led by Italy’s Webuild, with Portugal’s Mota-Engil and Türkiye’s IC İçtaş Construction. Webuild will hold a 40 percent stake, while Mota-Engil and İçtaş each hold 30%, according to the AFC website.

Their Lot 1B package covers about 517 kilometers from the Angolan border to Chingola in Zambia’s Copperbelt. It includes 22 bridges and viaducts, eight stations and three maintenance depots designed for heavy freight.

For Angola’s 314-kilometre section, AFC selected Mota-Engil and Brazil’s Odebrecht Engineering and Construction. Mota-Engil is the only contractor in both consortia and also participates in Lobito Atlantic Railway, which operates the existing Benguela line to the Port of Lobito.

Contract negotiations are due to start in November 2026. AFC aims to conclude the engineering, procurement and construction agreements within eight to 12 weeks, subject to technical, commercial and legal terms.

The new line will run from Chingola to Luacano in eastern Angola, where it will connect with the existing Benguela railway and provide access to Lobito port. AFC says the route could reduce freight transit times to about seven days, compared with as much as 16 days on alternative corridors.

An environmental study estimates the project could cost between $3 billion and $5 billion, including rolling stock. The African Development Bank approved a $255 million loan and $10 million grant for Zambia’s participation in August, while Italy’s Cassa Depositi e Prestiti provided a €250 million facility backed by SACE under the Mattei Plan for Africa. Those commitments do not fully fund the railway’s estimated cost.

The project is intended to create an Atlantic export route for minerals from Zambia and the wider Copperbelt, reducing dependence on longer southern and eastern African corridors. It also positions the Lobito Corridor as a Western-backed alternative to China-supported infrastructure, including the planned rehabilitation of the Tanzania–Zambia Railway.

AFC President Samaila Zubairu said the railway would support mineral-processing and agricultural value chains, create jobs and help African economies retain more value from their resources.

The contractor selection moves Lobito closer to implementation, but construction still depends on final EPC agreements, financial close targeted for late 2027, and completion of environmental and resettlement preparations.