Lobito Corridor Investment Promotion Authority

[NEWSLETTER] Welcome to the 7th edition of "Thoughts on the Corridor", the official newsletter of the Lobito Corridor Investment Promotion Authority presenting news, views, and announcements impacting the Lobito Corridor. 🚂 🚂

US EXPLORING EXPANDING THE #LOBITOCORRIDOR TO #TANZANIA 🚂 In addition to refurbishing existing lines, the project envisions adding 1,300 kilometers of railway from Zambia to Tanzania. The project is slated to be finished by 2029. 🗣 “Special Coordinator Helaina Matza will review her travel to the DRC and Tanzania, including opportunities to expand the Lobito Corridor focus on the DRC and integrate Tanzania with the Lobito Corridor investments” 🗣 "..but it’s working on the connection between Kabanga and Kahama, and working how to develop a special economic zone that not only creates opportunities for processing here in country – the nickel products coming out – but hopefully more feedstock from other parts of the country and the region, while investing at the same time in training of local Tanzanians to participate in every part of the value chain of that industry.  " 🗣 "But now we’re ready for phase three, and that includes deepening our engagement in DRC, expanding those economic benefits to Tanzania, and then thinking about, beyond the rail, what sectors, as I mentioned in my opening remarks, we can offer the best opportunities for our support as they reflect the development growth needs and desires of the countries we’re working in." [Note: audio sped up to meet LinkedIn's 15 minute limitation]

[NEWSLETTER] Last week, the 1st (🥇) copper shipments destined for the US (Baltimore) left the Port of Lobito. The Cathodes arrived in Lobito six days after being dispatched demonstrating the time-efficient nature of the Corridor. Asia (e.g., Vietnam and China) and Europe have already received copper shipments from the port in Angola 👏 👏👏

The strategic significance of the Lobito Corridor is as relevant today as it was decades ago. The enduring importance of this critical trade route is highlighted by the attached Times of Zambia clipping from February 3, 1967. (source: @mininghistory) Excerpt from the Lobito Corridor IPA website: Several years later, "[i]n 1973 the railway reached peak operational efficiency when it employed 13,000 employees as Angola’s largest employer. In the same year, it transported 3.3 million tons of cargo over the single track and managed to generate $30 million in freight revenues. Before Angola’s civil war, and the subsequent slowdown of rail traffic, the Benguela Railway was undergoing modernization to diesel and handled 60% of Zaire’s (i.e., today’s DRC) copper and 45% of Zambia’s." Read what happened next, and before, on our website under the "Corridor Background" section. The Lobito Corridor Investment Promotion Authority is grateful for your support of the vital revitalization efforts of this historic route. The future is bright!

[NEWSLETTER & EXCLUSIVE DOWNLOAD] Our friends at Africa Sunrise Partners have graciously permitted the readers of “Thoughts on the Corridor” to download an informative update report on the Lobito Corridor for FREE. The author is Melissa Cook, CFA who was head of Global Research at Lazard Asset Management before setting up her own consultancy in 2010 focused on informing Africa investors and decision makers. Open the newsletter to read the report and other news impacting the Lobito Corridor. Brought to you by the Lobito Corridor Investment Promotion Authority.

[NEWSLETTER] Unlocking a huge milestone for the upgraded Lobito Corridor railway infrastructure, the #LobitoCorridor received its first vessel at the Port of Lobito on Friday, July 12, marking the beginning of the port operations under the Trafigura- and Mota-Engil-led consortium. The Qatar-originated vessel arrived in Lobito after a one-month journey and was loaded with 40,500 tons of sulfur. 🏆

Welcome to the 3rd edition of the official newsletter of the Lobito Corridor Investment Promotion Authority presenting news, views, and announcements impacting the Lobito Corridor. Enjoy! Subscribe for free on the website. We thank you for your support and interest in the Lobito Corridor. 🙏 #lobitocorridor #newsletter #investments

Jito Kayumba, Special Assistant to the President of #Zambia, gives the Zambian perspective on the importance of the Lobito Corridor. 📽

📽 HISTORY OF THE KAMOA-KAKULA COPPER COMPLEX ALONG THE LOBITO CORRIDOR IN THE DRC The Kamoa-Kakula Copper Complex is operated by Kamoa Copper S.A., a joint venture between Canadian mining company Ivanhoe Mines (which indirectly holds 39.6%), Chinese multinational mining company Zijin Mining Group (which indirectly holds 39.6%), and private Hong Kong-based company Crystal River Global Limited (which indirectly holds 0.8%). It began production in July 2021 and is currently undergoing its third phase of expansion, anticipated to be completed by the end of 2024, which consists of a 33% increase in copper production capacity. The complex has undergone phased expansions to increase its production capacity. The Phase 1 and Phase 2 concentrators have a combined design processing capacity of 9.2 million tonnes per annum, with an annual copper output of more than 450,000 tonnes per annum of contained copper by Q2, 2023. The Phase 3 expansion, with a 5 million tonne per annum concentrator plant, is expected to boost total copper production to approximately 600,000 tonnes per annum and is currently scheduled to begin operations by the fourth quarter of 2024. Since the Kamoa-Kakula Copper Complex began production it has paid over $600 million in taxes and royalties to the government of the DRC. In 2023 the mine was responsible for 4% of the DRC's GDP.

[NEWSLETTER] LOBITO CORRIDOR ENERGIZED BY $150 MILLION AFC LOAN FOR KAMOA-KAKULA EXPANSION On Wednesday, the Africa Finance Corporation announced the closing of a $150 million senior loan to support the expansion of the Kamoa-Kakula Copper Complex. With this expansion, by the fourth quarter of 2024, the complex is expected to become the world's third-largest copper mining operation, boosting its annual production to around 600,000 tonnes of copper. Before utilizing the Lobito Corridor, Kamoa-Kakula relied on trucks to haul copper concentrate across sub-Saharan Africa to the ports of Durban in South Africa, Dar es Salaam in Tanzania, Veria in Mozambique, and Walvis Bay in Namibia. To give context, the port of Lobito is approximately half the distance of the distance between Durban and the Kamoa-Kakula mine. 🗣 "This is a key milestone in our mission to develop infrastructure ecosystems that help integrate economies and drive economic transformation in Africa,” said Samaila Zubairu, President and CEO of AFC. “#Copper is one of the #criticalminerals for the global energy transition and this mine expansion will not only solidify Africa’s position in the global copper market but contribute to the continent’s path to net zero while creating employment opportunities and generating significant revenue for the DRC."