Maravi

Govt restores Kavindele’s North West Rail licence

Govt restores Kavindele’s North West Rail licence
By Chiwoyu Sinyangwe
Thu 24 Feb. 2011, 04:01 CAT

ENOCH Kavindele's licence to build a railway line between Chingola and Solwezi has been restored. And Kavindele has entered into joint partnership with some foreign investors to pump US$1.4 billion in large-scale mining and other projects in agriculture and education in North Western Province.

Kavindele, a former Republican vice-president, said the government restored North West Rail (NWR) company's licence to build the railway line estimated to gobble US$500 million three works ago.

“President Rupiah Banda is going to lay the foundation stone in April and construction is expected to commence between the second and third quarter of this year,” Kavindele said in an interview.

“The North West Railway project which was unjustly taken away was reinstated about three weeks ago.”

Kavindele, who is also executive chairman of NWR, said the railway project expected to be built in two years would be financially and technically backed by key institutions from the United States via private equity funds.

Kavindele said he was not bitter with the people who led to the revocation of the licence at the time the firm had even completed the feasibility study for the line that would ultimately provide Zambia's rail link to oil-rich Angola.

In May 2008, then communications minister Dora Siliya announced the termination of NWR’s railway, alleging the company was “not serious” about developing the 405-kilometre line.

“We have wasted two years and we would have completed the line by now but anyway, we will finally commence construction,” Kavindele said.

He also said NWR did not expect hostility from mining firms in North Western Province as previously both Lumwana and Kansanshi mines refused to sign off-take agreements committing them to using the line once it came on stream.

He said the road network between Chingola and Solwezi was incapable of hulling the amount of tonnage expected out of North Western Province as new multi-billion dollar mining projects were planned.

“Those are no longer an issue because the government and the mines have now discovered that the railway line is efficient to the operations of the mining sector,” Kavindele said.

Kavindele and UK mining firm - Cluff mining - were set to start a large-scale mining operation in North Western Province as the former vice-president enter into separate partnership with Brazilians to develop an ethanol processing plant.

He is also spearheading the establishment of a university of science and technology.

“The project I have in a pipeline are worth US$1.4 billion and the rail alone is expected to employ 4,000 people during construction while the sugar ethanol project will attract 3,000,” he said.

“This will help to alleviate high unemployment levels in the country.”

Kavindele said the people of North Western Province were failing to benefit from the rich mineral wealth in the area due to limited education.

“Some of its North Western Province people need to have the skills in order to partake in the development of province,” said Kavindele.

“And we hope the mines will support this university to be established through private public partnership whose feasibility study has already been given to the government.”

Labels: ENOCH KAVINDELE, NORTH WESTERNN RAILWAY

posted by MrK @ 2:25 PM