[Sino-Congolese Programme] China Eximbank provides $284.6 million loan for Phase 2 of Lwambo-Mitwaba-Manono-Kalemie Road Rehabilitation Project (Linked to Record ID#450, #59228)

Project narrative

In 2008, China Eximbank issued a $3.003 billion general buyer's credit loan to Sino–Congolais des Mines (Sicomines SARL) — a joint venture — to finance infrastructure projects in the DRC (as captured via Record ID#450). All subsidiary borrowings under the (government-guaranteed) general buyer's credit loan agreement were to be repaid with revenues from mining projects managed by Sicomines SARL. Each subsidiary loan carried a maturity of 25 years, a grace period of 10 years, and an interest rate of 6-month LIBOR plus a 1% margin (or 3.839% at the time of the agreement). All infrastructure projects supported through the general buyer's credit loan were part of the so-called “Sino-Congolese Programme." One of the subsidiary loans issued as part of the 'Sino-Congolese Programme' was a $284,681,120 loan for Phase 2 of Lwambo-Mitwaba-Manono-Kalemie Road Rehabilitation Project. The Lwambo-Mitwaba-Manono-Kalemie Road Rehabilitation Project involved the paving and modernization of 466.12 km of roads in Haut Katanga, Haut Lomami and Tanganyika provinces (including the development of the road network in Bunkeya, Benkeni Bridge located at PK 45+145, Dikulwe bridge: located at PK 107+281, and Kyubo bridge located at PK 161+060). Phase 2 involved the asphalting and rehabilitation of a 294.52 km section along the 466.12 km Lwambo-Mitwaba-Manono-Kalemie Road. China Railway Engineering Corporation (CREC) was awarded to be contractor responsible for project implementation on August 17, 2015. Construction began on October 6, 2015 and this project was provisionally completed on January 19, 2018.