Africa Finance Corporation (AFC) Secures €250M for Lobito Corridor as Rail Projects Drive African Mining Boom
Africa’s railway sector is undergoing a renaissance, with strategic transport corridors rapidly expanding to unlock the continent’s mineral wealth and strengthen global trade ties. In June, the Africa Finance Corporation secured a €250 million (http://apo-opa.co/3Tje8ph), 10-year loan from Italian development finance institution Cassa Depositi e Prestiti to accelerate the development of the Lobito Corridor – an essential mineral transport network linking Angola, Zambia, and the Democratic Republic of Congo to global markets. The loan will finance the procurement of goods and services from Italian companies for both the corridor and associated renewable energy projects.
The Lobito Corridor is among several strategic projects that will feature prominently at African Mining Week (AMW), taking place October 1–3, 2025, in Cape Town. AMW will showcase high-impact investment opportunities across Africa’s mining and infrastructure value chains, with a focus on how rail logistics are transforming landlocked mineral-rich regions into competitive, export-oriented hubs.
Simandou Rail Hits Construction Milestone
In West Africa, Guinea-Conakry marked a key milestone in June with the completion of a 903-meter tunnel on the 650-km Simandou Railway (http://apo-opa.co/45SkT8V). Once operational by early 2026, the line will transport up to 120 million tons of high-grade iron ore annually from the Simandou deposit — home to an estimated 2 billion tons of reserves. U.S. company Wabtec (http://apo-opa.co/4l9hRlk) was awarded a $248 million contract in February to supply locomotives for the project. At AMW 2025, a high-level panel, “From Mines to Markets: Strengthening Trade and Connectivity for Africa’s Mineral Future (http://apo-opa.co/44sE5Yv),” will explore how megaprojects like Simandou are strengthening Africa’s mineral value chain.
Mauritania Advances Iron Ore Rail Expansion
Mauritania has also made strides in rail development, securing a €113 million loan from the European Investment Bank (EIB) (http://apo-opa.co/45SWH6n) in June to co-finance the expansion of a key iron ore railway between Zouérat and Nouadhibou. The project – backed by a total €461 million investment involving national mining company SNIM, EIB and private investors – will optimize exports of Mauritania’s iron ore to international markets. AMW 2025 will provide a platform for global investors to engage with opportunities emerging in Mauritania and similar markets.
Cameroon Strengthens Bauxite Logistics
In Central Africa, Australia’s Canyon Resources acquired a 9.1% stake in Cameroon’s national rail operator, Camrail (http://apo-opa.co/4kn52D4), to bolster logistics for the Minim Martap Bauxite Mine (http://apo-opa.co/3TnW8Kn). The acquisition – from TotalEnergies and Société d’Exploitation des Bois du Cameroun – aims to enhance rail access from the mine to port infrastructure, facilitating the export of up to 6.4 million tons of bauxite annually. AMW will feature investment-ready opportunities tied to bauxite and other critical minerals (http://apo-opa.co/45SkV0x) driving the energy transition.
China Deepens Rail Footprint in Africa
In East Africa, the China Railway Engineering Group signed a $2.15 billion agreement in February with Tanzania and Burundi (http://apo-opa.co/3ZYN8Pz) to build a 282-km cross-border railway. The line is expected to support the export of up to 3 million tons of minerals annually, improving regional and global market access. In Nigeria, the China Development Bank (http://apo-opa.co/3TZOrdr) provided a $254.76 million grant in January to finance the Kano-Kaduna rail line – a vital link between the Lagos-Ibadan and Kano-Maradi corridors. This project will enhance mineral and energy transportation across West Africa. At AMW 2025, the China-Africa Cooperation on Minerals Roundtable (http://apo-opa.co/45SkWl7) will convene public and private sector leaders to strengthen bilateral ties, while the Invest in Nigeria Infrastructure session (http://apo-opa.co/4la5V2L) will further spotlight opportunities like the Kano-Kaduna rail project as cornerstones of Nigeria’s mining and logistics growth.
Distributed by APO Group on behalf of Energy Capital&Power.
About African Mining Week:
African Mining Week serves as a premier platform for exploring the full spectrum of mining opportunities across Africa. The event is held alongside the African Energy Week: Invest in African Energies 2025 conference from October 1-3 in Cape Town. Sponsors, exhibitors and delegates can learn more by contacting sales@energycapitalpower.com.
