ZRL/Chinese firm ink US$2.7b deal
Published On August 18, 2015 » 1492 Views» By Davies M.M Chanda » Business, Stories
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ZRL 628x350By CHARITY MOONGA –
THE Zambia Railways Limited (ZRL) has, through the Zambian Government, signed a Memorandum of Understanding (MoU) with a Chinese firm for the construction of a railway line from Chipata to Mpika District.
ZRL head of corporate affairs Benson Ngula said in an interview that the MoU, which was signed by the Government and the Chinese firm recently, was to a tune of US$2.7 billion.
“We are looking at introducing a route from Chipata to Mpika which will cost about US$2.7 billion. So far a Chinese firm has already signed an MoU with the Government to commence the works,” Mr Ngula said.
Early this year, China Civil Engineering Construction Corporation (CCECC) said it would start construction of railway lines from Chipata to Mpika station and from Nseluka to Mpulungu next year.
Feasibility studies commenced and the Eastern railway line would cost $1,992,028,500, while the Northern line would gobble $668,115,000.
The railway line from Mpika to Chipata would cover 569.151 kilometres while the line from Nseluka to Mpulungu is 190.89 kilometres.
The total length for the two railway lines is 760.04 kilometres.
In 2011, the Chinese company signed a feasibility agreement with the Zambian Government on the construction of the Chipata to Tanzania-Zambia Railway Authority (TAZARA) point at Mpika through Petauke and Nseluka to the port of Mpulungu.
CCECC vice-president Zhao Zhongning said the works would be done after the company had successfully completed the feasibility studies on the construction of the railway line.
The construction of the railway lines would be done concurrently within five years.
It is hoped that the railway lines would assist integration and promotion of economic growth in the country.

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