The Trans-Kalahari Railway Project Management Office (TKR-PMO) says 12 companies have shown interest in funding the feasibility study as well as developing the new Trans-Kalahari railway corridor between Namibia and Botswana.
The project is expected to cost around US$10 billion and will connect the two countries’ rail networks, providing a vital link for trade and transportation. The new railway line will be approximately 1,500 kilometers long and will run from Mmamabula in Botswana to the port of Walvis Bay in Namibia.
Of the companies, seven are foreign while five are local including Helo Group, West Coast Energy, Fullbright Investment, Grindrod, and Mega North Holdings.
Among the foreign contenders are NGE Contracting from France, Orascom Construction from Egypt, China Civil Engineering Construction Corporation, Lesedi Nehawu Investment JV from South Africa and Rail Vikas Nigam Limited from India.
The Trans-Kalahari Railway Initiative Consortium, a collaborative effort between Namibia and South Africa, Nations Capital Projects PTY (LTD) and Seven Five Investments CC, both from South Africa, have also expressed their interest.
According to a notice, the companies are expected to identify the optimal route alignment through a financially viable feasibility study.
Additionally, the plan involves identifying suitable collaborators to finance and enhance the current rail infrastructure, along with the construction of a new 1,500-kilometre line connecting the two countries.
“Components of the project include loading facilities at Mmamabula in Botswana, the construction of the railway line and/or the upgrade of existing railway infrastructure from Mmamabula to the Port of Walvis Bay in Namibia,” the notice from TKR-PMO reads.
The corridor is being undertaken through a bilateral agreement between the governments of Botswana and Namibia and will be used to transport commodities like fuel, iron ore, copper, and coal to and from overseas markets.
“The responses received will help in shaping the project requirements, funding model and anticipated procurement processes and inform Member States on the decisions related to heavy-haul transport,” TKR-PMO said.
A Memorandum of Understanding for the railway line was signed in 2010 and a pre-feasibility study was concluded in 2011. A bilateral agreement was signed in 2014 and a development study was conducted in 2016.