China Railway Construction wins pair of contracts in Africa

PUBLISHED : Tuesday, 28 April, 2015, 8:49am
UPDATED : Tuesday, 28 April, 2015, 9:17am

China Railway Construction Corporation (CRCC) has won US$5.44 billion (HK$42.2 billion) worth of contracts in Africa, the company announced in filings to the Hong Kong Stock Exchange. 

CRCC’s subsidiary CCECC Nigeria won a US$3.51 billion contract to build the Nigeria Ogun State Intercity Mass transit Project in Nigeria, it said. The intercity railway is 334 kilometres long with a designed speed of 120 km per hour. The financing of this project has not been finalised yet, said the Chinese state-owned rail builder. The contract was awarded by the Ogun State government of Nigeria.

China Civil Engineering Construction Corporation (CCECC), a subsidiary of CRCC, gained a US$1.93 billion contract to build the Magamba 2015 Housing Project from the Zimbabwean Ministry of Local Government, Public Works and National Housing, CRCC said. 

The company announced the deals late on Monday and on Tuesday.

CRCC is reported to be interested in bidding for the 770 km high speed railway between Moscow and Kazan in Russia. Chinese Prime Minister Li Keqiang has been actively promoting Chinese railway companies to countries around the world.

CRCC’s overseas orders soared 59.7 per cent to 127.8 billion yuan last year, according to the Hong Kong and Shanghai-listed company’s website.