Ethiopia, China Communications in $1.5 Billion Rail Deal
CCCC (1800), a Chinese government-owned transportation infrastructure company, will be “mobilizing substantial resources to guarantee completion of the project,” the ministry said, citing the company’s vice president, Zhou Yongheng.
Ethiopia, sub-Saharan Africa’s second-most populous nation, is in the middle of a five-year plan to modernize and upgrade its infrastructure and industries. The government last year signed two agreements with Chinese companies to build a 4,744- kilometer (2,948-mile) rail network to Djibouti.
Landlocked Ethiopia lost its access to the sea after Eritrea voted for independence in 1993. The new rail line will run between the cities of Mekele and Hara Gebaya.
Canada’s Allana Potash Corp. (AAA), Sainik Potash Plc of India, Ethiopian Potash Corp. (FED) and Melbourne-based BHP Billiton Ltd. are all developing projects to extract potash, a fertilizer ingredient, in the Afar region.