Finance and National Planning Minister, Hon. Dr. Situmbeko Musokotwane, Road Development Agency (RDA) Acting Director and Chief Executive Officer, Eng. Jairos Mhango and Commerce, Trade and Industry Permanent Secretary, Mrs. Lillian Bwalya signed on behalf of the Government.
Speaking during the signing ceremony, Infrastructure, Housing and Urban Development Minister, Hon. Eng. Charles Lubasi Milupi in a speech read on his behalf by Education Minister, Hon. Douglas Siakalima said the Government has embarked on the upgrade and reconstruction of key infrastructure facilities across the country.
“One of the key projects earmarked for construction is the Mutanda via Kasempa to Kaoma Road using the Public Private Partnership (PPP) financing model” he said.
He said the concession period is for 25 years, of which 2 years is for construction, while the remaining 23 years is for operation and maintenance by the Concessionaire.
The road will be financed and undertaken by Baroste Highway Limited (BHL) in partnership with First Quantum Minerals (FQM) at an estimated cost of US$ 326,401,330.98 and will be covered by private financing, alleviating the burden on the local economy, with financing repayment plan relying on the forecasted revenue generated from toll fees.