China Eximbank provides $46 million buyer’s credit loan for Package 7 of the N’Zeto-Soyo Highway Construction Project (linked to #34750, #65330)

In 2011, the Government of Angola reportedly drew down on one or more of its lines of credit (master loan facility agreements) with China Eximbank to obtain two subsidiary buyer’s credit loans for the 149 km N’Zeto-Soyo Highway Construction Project: a $46 million buyer’s credit loan for Package 7 of the N’Zeto-Soyo Highway Construction Project and an $85 million buyer’s credit loan for Package 5 of the N’Zeto-Soyo Highway Construction Project. Package 5 involved the construction of a 96.9 km two-way, four-lane, highway segment (Km 8 + 800 to Km 104 + 800) in Zaire Province. Package 7 involved the construction of bridges over the Lucunga, Quimiana, Moanda, Sango, Luculo, Bua, Quimbuenbo and Kifuma rivers. These bridges collectively measure 2.4 km in length. Sinohydro Engineering Bureau 4 Co,. Ltd was the contract responsible for implementation. It was reported to have signed approximately a $600 million construction contract with the Government of Angola on 1 December, 2008. However, it appears as though Presidential Order n°32/14 from 2 April, 2014 approved the commercial contract between National Institute of Estradas de Angola (INEA) and the company Sinohydro, in the equivalent amount in Kwanzas in the amount of $514,578,031.66. A 2016 report from República de Angola Tribunal de Contas records the contract amount as $605,385,919.60. Construction began on 19 April, 2009; however, due to “financial difficulties” (which appear to be in line with the increased construction contract costs), construction stopped for a number of years until the Government of Angola and China Eximbank loan signed a third buyer’s credit loan agreement worth $509,433,034.27 on 25 September, 2015 for Package 5 of the N’Zeto-Soyo Highway Construction Project. Construction restarted in May 2016, and the road was opened to traffic on 17 August, 2017. Project ID#34750 captures the $85 million loan from China Eximbank, and this project captures the $46 million loan from China Eximbank. Project ID#65330 captures the $509,433,034.27 loan from China Eximbank.

Additional details

The Chinese project title is 恩赞托－索尤公路 or 安哥拉索约公路 or 恩泽托-索约公路 or 安哥拉索约公路项目一期二阶段. The Portuguese project title is Construção da Auto-estrada N’Zeto/Soyo Pacote 7. Sinohydro reports that 25 September, 2008 was the project start date (prior to the signing of the construction contract on on 1 December, 2008); however, AidData relies on the project start date (19 April, 2009) that follows the signing of the construction contract. This project may have been financed through the 2007 China Eximbank MLFA (project #31742) or the 2009 China Eximbank MLFA (project #34031).

Number of official sources

12

Number of total sources

15