THE European Investment Bank (EIB) has approved a $US 125m loan towards state-owned iron ore mining company SNIM’s $US 512m rail modernisation programme.
This involves increasing capacity on SNIM’s existing 704km line that links the iron ore mining region of Zouerate with the port of Nouadhibou. It also includes a 42km extension to serve new mines at El Aouj and Atomai, which are likely to increase ore movements by rail. Trains of up to 3000m in length already run on the main line.
SNIM plans to invest in new rolling stock, including 36 diesel locomotives and 1743 wagons, infrastructure maintenance equipment, and the extension of maintenance facilities. The programme aims to enhance the quality, capacity, availability, and reliability of rail operations.
EIB says that the investment programme is expected to reduce transit times, lower vehicle operating and infrastructure maintenance costs, and improve safety. The programme also seeks to prevent modal shift from rail to road, delivering climate, environmental, and road safety benefits.
At the beginning of this year SNIM received a $US 150m loan from the African Development Bank (AfDB).
