By JOHN MUBAMBE
The Government of Zambia has signed a US$320 million Public-Private Partnership (PPP) concession agreement with Barotse Highway Limited (BHL) for the construction, upgrade, and maintenance of the 370-km Mutanda-Kasempa-Kaoma Road.
This transformative US$326 million project aims to boost trade, enhance transportation, and drive regional development in the Western and Northwestern Provinces.
The signing ceremony, held on December 1, 2024, in Kasempa District, was officiated by the Minister of Finance and National Planning Dr Situmbeko Musokotwane. Other key officials included the Minister of Education, Douglas Siakalima, the Minister of Labour and Social Security, Brenda Tambatamba, and representatives of BHL and First Quantum Minerals (FQM), an investor and technical advisor in the project.
The Mutanda-Kasempa-Kaoma Road spans 371 km and is a vital corridor connecting Zambia’s North-Western and Western provinces. The project includes the construction of two bridges over the Lalafuta and Luena rivers and the upgrading of urban roads in Kasempa and Kaoma towns to bituminous standards.
This road will facilitate the movement of goods, reduce transportation costs, and improve logistics efficiency, benefiting sectors like agriculture and mining.
It is a link to Walvis Bay in Namibia and aligns with Zambia’s broader goal of fostering economic growth through infrastructure development. “This agreement demonstrates our commitment to enhancing regional connectivity, boosting trade, and improving access to essential services for our people,” said Dr Musokotwane.
BHL, a Special Purpose Vehicle (SPV), is responsible for designing, financing, building, operating, and maintaining the road. The concession agreement ensures BHL will manage the road for 25 years, including two years for construction and 23 years for operations and maintenance. FQM is an investor and technical advisor, contributing in-kind works as part of its equity investment.
FQM Country Manager Dr Godwin Beene said the project was a catalyst for regional development. “We are proud to invest in creating efficient transport networks that will benefit not only the mining sector but also local communities through improved access to markets and services.”
Buks Van Rensburg, CEO and Founder of Barotse Highway Limited, highlighted the transformative potential of the project. “The Mutanda-Kasempa-Kaoma Road project is a game-changer for Zambia’s Western Corridor. It will significantly improve logistical efficiency, enhance trade opportunities, and stimulate economic growth in the region. This road is not just about improving transport; it is about empowering local communities, fostering economic resilience, and shaping a prosperous future for Zambia,” he added.
The project was expected to create hundreds of direct jobs during construction, with additional indirect employment generated through local contractors and supply chains.
Social infrastructure such as schools, health posts, markets, and police stations would be developed along the road corridor to benefit local communities.
Toll fees collected would be used to repay investors, fund road maintenance, and provide revenue-sharing opportunities for the government.
Minister of Infrastructure, Housing, and Urban Development Minister Charles Milupi directed BHL to prioritize local employment and contractor engagement for broad-based economic benefits.
