Wavering Namibia Flag
Business Directory Search Event Calendar Login
NORTHERN RAILWAY EXTENSION

Objective

The objective is to extend the Namibian railway network from Tsumeb to Ondangwa and on to Oshakati/Oshikango in order to stimulate economic growth in the north-central regions and enhance the traffic links with Angola.

Background

The proposed new railway line from Tsumeb to Ondangwa and on to Oshakati and Oshikango at the Angolan border forms an extension of the existing Namibian railway system. The new line is planned to be eventually linked to the Angolan railway system at a point near Cassinga/Chamutete. Such a connection will promote trade between all the countries within the region but especially between Angola, Namibia and South Africa. It will also enable Angola to export iron ore mined in the vicinity of Cassinga to Namibia, South Africa and, via Walvis Bay, to countries beyond.
The railway line forms a vital link to the new Namibe-Lubango-Oshikango-Walvis Bay Development Corridor which serves as a development chain to promote development, economic growth, eradication of poverty and the creation of employment possibilities in southern Angola and north-central Namibia. The creation of this important development corridor was formally agreed to by the Republic of Angola and the Republic of Namibia in May 1997 in terms of the Protocol on Transport, Communication and Meteorology in the Southern African Development Community. With regards to Namibia, the main objective of the project is to stimulate economic growth in the northern regions.

Description

A comprehensive feasibility study on the project was carried out and submitted to the Ministry of Works, Transport and Communication in May 1999. Copies of the Executive Summary of the study can be made available on request.
The new railway line runs parallel to the existing road for 248 kilometres from Tsumeb to Ondangwa. It then proceeds a further 40 kilometres to the town of Oshakati and another section of 62 kilometres will link Ondangwa to Oshikango at the Angolan border. Main commodities which will be transported on the new line include fuel, cement, aggregates, glass bottles and packaging, maize meal, bricks, kerbs, interlocks and sugar. Passenger traffic will be limited to the three day per week mixed train operation as now offered to and from Tsumeb and week-end round trips between Windhoek/Walvis Bay and Ondangwa. Passenger traffic will at best break even, while the revenue from goods traffic will be sufficient to cover operating expenses as well as part of the capital amortisation. The social benefits will be far reaching.
The feasibility study concluded that the railway extension to Ondangwa should be built. The two sections from Ondangwa to Oshakati and to Oshikango are not considered economically viable at this stage, but they may become viable due to increased development in their catchment areas and a stabilisation of the political situation in Angola. A revision of the present feasibility study focusing on these two sections will thus have to be contemplated in about two years from now. Cabinet decided at its meeting on 29 June 1999 that special priority should be given to the line to Oshikango.

Financing
The total project cost is estimated at US$66 million. The following table reflects the cost per section:
Tsumeb-Ondangwa US$66 million
Ondangwa-Oshakati US$10 million
Ondangwa-Oshikango US$17 million
Total US$92 million

Project Requirements
The financing plan for the section Tsumeb-Ondangwa is complete with four different financiers contributing to the project as follows:
ADB 31%
Kuwait Fund 29%
BADEA 11%
GRN 29%

Negotiations on the financing of the remaining two sections have not commenced yet, but proposals from interested parties will definitely be considered.

Implementation Schedule

The design of the first section from Tsumeb to Ondangwa was carried out by KCIC-WCE joint venture and is completed. The first civil works contracts have been awarded and construction has commenced. Tendering from the remaining civil works contracts is ongoing. The sleeper and rail procurement process is expected to start in August 2002, while tendering for the track laying is scheduled to start in October 2002. Completion date for the section Tsumeb-Ondangwa is March 2005.
The timing of the implementation of the remaining two sections depends largely on the availability of the funds. No concrete dates have been set to date.


WALVIS BAY AIRPORT UPGRADING AND REHABILITATION

Description
The existing aerodrome is to be upgraded to accommodate wide-bodied trans-continental aircraft such as the Boeing 747. The project includes the following:
  • rehabilitation of the existing runway
  • lengthening and widening of the runway
  • provision of turning circles at both thresholds
  • provision of an apron with freight handling facilities
  • deviation of the airport road
  • relocation of small aircraft hangars
  • security fencing
  • lighting; and
  • provision of new taxiway.
Objective

The Walvis Bay Aerodrome is situated 11 kilometres east of Walvis Bay and serves the two major coastal towns, Walvis Bay and Swakopmund, and a number of towns along the coast and inland. The aerodrome is used by scheduled flights, non-scheduled flights and by general civil aviation but is limited to medium sized aircraft. Once upgraded the airport will allow fresh fish, which presently averages 15,000 tonnes annually, to be exported directly to overseas markets. This will reduce transport costs and preserve the fish quality. Presently, the fish is being transported by road to the Windhoek or Johannesburg airports from where it is flown to markets in Europe. A limited quantity is exported directly to European markets from the airport using medium-sized chartered aircraft.
The industrial development at Walvis Bay and the continued growth of the already-established Export Processing Zone (EPZ) will increase the number of passengers and freight tonnage through the aerodrome. In order to determine the technical feasibility of upgrading the aerodrome, the Government commissioned local consultants to prepare a limited master plan for the Walvis Bay Aerodrome. The study recommended widening and lengthening of the runway to 3,440 metres, to accommodate the landing requirements of a Boeing 747 aircraft. Based on the positive outcome of the study, the consultants were instructed to prepare a detailed design and documentation, which was completed in October 1997. The upgrading of the aerodrome has been delayed due to a shortage of funds.

Duration

The estimated duration of the construction phase is 18 months.

Cost
The cost of upgrading the aerodrome is as follows:
  • Construction cost :US$8.8 million
  • Contract administration :US$0.7 million
  • Total :US$9.5 million
Project Requirements

Supply of technologies, financial package structuring and BOT options will be considered.