Lagos, Nigeria — Africa Finance Corporation (AFC), the continent’s leading infrastructure solutions provider, has announced the signing of key financing agreements for the Lobito Atlantic Railway Project in Angola. AFC alongside Eaglestone, acted as Co-Financial Adviser, to Lobito Atlantic Railway S.A. (LAR), the Borrower and Concessionaire of the 1,300-kilometre brownfield railway corridor.
This transformational transport infrastructure initiative is backed by leading sponsors including Mota-Engil, a multinational engineering and construction group with a strong presence across Africa; Trafigura, one of the world’s leading independent commodities trading and logistics companies, and Vecturis, an international rail operator with extensive experience in freight rail concessions, mobilising world-class technical, operational and commercial expertise to ensure the long-term success of the corridor.
The signing of the US$753 million financing package- consisting of US$553 million from the U.S. International Development Finance Corporation (DFC) and US$200 million from the Development Bank of Southern Africa (DBSA), marks a major milestone for the Lobito Atlantic Railway, a flagship regional infrastructure project that will rehabilitate, upgrade and operate the 1,300-kilometer brownfield rail line connecting the Port of Lobito on Angola’s Atlantic coast to the Democratic Republic of Congo (DRC) border, strengthening regional integration and improving access to global markets.
Beyond its trade and logistics benefits, the project is expected to deliver substantial development impact, including job creation during construction and operation, skills development, improved safety standards, and long-term economic opportunities for communities along the corridor. The financing package is expected to increase Lobito’s transportation capacity ten-fold to approximately 4.6 million metric tonnes per annum and to reduce the cost of transporting critical minerals by an estimated 30 percent.
“The signing of the financing agreements for the Lobito Atlantic Railway demonstrates the strength of AFC’s financial advisory expertise in structuring and advancing complex, cross-border infrastructure transactions of strategic significance. This initiative aligns with AFC’s broader development efforts to deliver a transformational transport corridor linking Angola, the DRC, and the wider Southern Africa region, reinforcing the critical role of integrated rail and port infrastructure in unlocking regional trade, industrial growth and supply-chain resilience”, said Samaila Zubairu, President and CEO of Africa Finance Corporation. The Lobito Corridor is also of particular importance for Angola, one of AFC’s valued member countries and shareholders, reaffirming our long-standing commitment to supporting the country’s infrastructure development and economic priorities”, he added.
Nuno Gil, Founding Partner of Eaglestone, said: “We are delighted to have advised LAR in this landmark transport infrastructure transaction that is a key milestone to unlock regional trade and boost economic activity along the Lobito Corridor. The Eaglestone team can be proud in once again delivering world-class services within the project finance advisory industry in Southern Africa.”
Manuel Mota, Deputy CEO of Mota-Engil, said: “The signing with DFC, DBSA, and the Government of Angola marks the culmination of long-term collaboration, together with our partner, Trafigura, to advance the Lobito Corridor. This strategic agreement will expand transport capacity, reduce transit costs, and open access to the mineral-rich regions of the Democratic Republic of Congo and Zambia. Mota-Engil’s participation underscores its commitment to deliver an infrastructure that supports Angola’s national priorities, economic diversification, and regional connectivity. This strategic financing not only enables further investment in the project but also reinforces confidence in Angola’s institutional capacity to attract interest for world-class infrastructure initiatives. We appreciate the expert advisory support from Eaglestone and AFC, whose guidance was instrumental in structuring this financing.”
Richard Holtum, CEO of Trafigura, said: “We are pleased that Lobito Atlantic Railway has secured financing from DFC and DBSA to further advance the rehabilitation and operation of the line in Angola. As a shareholder of LAR, we see the railway as a key domestic and regional asset that will drive economic development and support the movement of critical metals to global markets.”
AFC and Angola have forged a strong and mutually beneficial partnership over the years, strengthened by Angola’s accession as an AFC member state in 2022 and its progression to shareholder status in 2025. Today, AFC is deepening its footprint in the country through a growing portfolio of advisory and investment engagements across infrastructure, energy and industrial sectors, including AFC’s complementary greenfield railway project connecting to Angola.
